[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4321 Introduced in House (IH)]






108th CONGRESS
  2d Session
                                H. R. 4321

 To amend part D of title XVIII of the Social Security Act to require 
 the Secretary of Health and Human Services to negotiate and disclose 
   lowest possible prices for prescription drug prices for Medicare 
                             beneficiaries.


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                    IN THE HOUSE OF REPRESENTATIVES

                              May 10, 2004

  Mr. Lynch introduced the following bill; which was referred to the 
 Committee on Energy and Commerce, and in addition to the Committee on 
   Ways and Means, for a period to be subsequently determined by the 
  Speaker, in each case for consideration of such provisions as fall 
           within the jurisdiction of the committee concerned

_______________________________________________________________________

                                 A BILL


 
 To amend part D of title XVIII of the Social Security Act to require 
 the Secretary of Health and Human Services to negotiate and disclose 
   lowest possible prices for prescription drug prices for Medicare 
                             beneficiaries.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. NEGOTIATION AND DISCLOSURE OF LOWEST POSSIBLE PRICES FOR 
              PRESCRIPTION DRUGS UNDER MEDICARE.

    Section 1860D-11 of the Social Security Act, as added by section 
101(a) of the Medicare Prescription Drug, Improvement, and 
Modernization Act of 2003 (Public Law 108-173), is amended by striking 
subsection (i) (relating to noninterference) and by inserting the 
following:
    ``(i) Negotiation and Disclosure of Best Prices.--
            ``(1) Negotiation.--In order to ensure that beneficiaries 
        enrolled under prescription drug plans and MA-PD plans pay the 
        lowest possible price, the Secretary shall have and exercise 
        authority similar to that of the Secretary of Veterans Affairs, 
        the Secretary of Defense, and the heads of other Federal 
        agencies and departments that purchase prescription drugs in 
        bulk to negotiate contracts with manufacturers of covered part 
        D drugs, consistent with the requirements and in furtherance of 
        the goals of providing quality care and containing costs under 
        this part. In exercising such authority, the Secretary shall 
        negotiate the best possible prices for such drugs.
            ``(2) Disclosure.--The Secretary shall widely disseminate 
        information on the prices for covered part D drugs negotiated 
        under paragraph (1).''.
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