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Bipartisan Carter Bill to Increase Transparency in Drug Pricing System Approved by Subcommittee

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Washington, March 27, 2019 | comments
Congressman Earl L. "Buddy" Carter's (R-Ga.) bipartisan legislation to increase transparency in the drug pricing system was approved by the House Energy and Commerce Committee's Health Subcommittee today. 

Currently, Congress’ independent advisory commissions, the Medicare Payment Advisory Commission (MedPAC) and the Medicaid and CHIP Payment and Access Commission (MACPAC), do not have access to certain drug pricing data. MedPAC and MACPAC need data, such as information about drug rebates, in order to make recommendations to Congress on how to improve the Medicare and Medicaid programs and lower prescription drug prices.

This legislation, the Payment Commission Data Act, gives MedPAC and MACPAC access to drug pricing data so the industry experts on the commissions have access to the information needed to do their important work. This will increase transparency and help provide recommendations to Congress that will ultimately create policy reforms to help patients.

"It is great news that this legislation was approved by the subcommittee today," said Carter."Plain and simple, the experts tasked with providing recommendations to Congress about this important issue need access to drug pricing data. Not only will access to this data help the commissions make better recommendations, it will also increase transparency in the entire drug pricing system. One of my top priorities is lowering prescription drug prices, and transparency will certainly help us do that. I thank my colleagues from both sides of the aisle for their help and support of this legislation."

MedPAC and MACPAC came to Congress with concerns that they do not have access to the drug pricing data they need to provide accurate and complete recommendations. Some examples of data the commissions need access to include prices charged by drug manufacturers and wholesalers and the amounts and sources of rebates, price concessions, or other direct or indirect remuneration under such prescription drug plan.

Original cosponsors include Representatives Tom O’Halleran (D-Az.), Tom Rice (R-Sc.), Jimmy Panetta (D-Ca.), Greg Gianforte (R-Mt.) and Peter Welch (D-Vt.).
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