Nov 2, 2021 - Politics & Policy

Democrats circulate prescription drug framework

 Speaker of the House Nancy Pelosi (D-CA)
Speaker of the House Nancy Pelosi leaves a House Democratic caucus meeting at the U.S. Capitol on Nov. 2. Photo: Allison Shelley/Getty Images

Democrats' latest version of a prescription drug pricing deal limits Medicare negotiations to only 20 drugs by 2028 and gives some new drugs a longer period of time after they first come to market during which they're exempt from negotiations, according to a draft of the plan obtained by Axios.

Why it matters: It's still a deal on Medicare negotiations, a huge Democratic priority. But it's a much more moderate version than what most of the party had been pushing for.

What we're hearing: The bill text for Rx prices is being drafted off this paper, two sources familiar with the talks tell Axios.

Details: The plan allows Medicare to negotiate the prices of drugs covered by Parts B and D without competition outside of an initial exclusivity period.

  • That time period is nine years for small molecule drugs and 12 for biologics.
  • Medicare will negotiate the prices of 10 years in 2025, rising to 20 in 2028.

Read the outline.

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