[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2770 Introduced in House (IH)]







110th CONGRESS
  1st Session
                                H. R. 2770

    To amend title XVIII of the Social Security Act to ensure more 
 appropriate payment amounts for drugs and biologicals under part B of 
   the Medicare Program by excluding customary prompt pay discounts 
  extended to wholesalers from the manufacturer's average sales price.


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                    IN THE HOUSE OF REPRESENTATIVES

                             June 19, 2007

  Mr. Towns (for himself and Mr. Whitfield) 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 title XVIII of the Social Security Act to ensure more 
 appropriate payment amounts for drugs and biologicals under part B of 
   the Medicare Program by excluding customary prompt pay discounts 
  extended to wholesalers from the manufacturer's average sales price.

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

SECTION 1. EXCLUSION OF CUSTOMARY PROMPT PAY DISCOUNTS EXTENDED TO 
              WHOLESALERS FROM MANUFACTURER'S AVERAGE SALES PRICE FOR 
              PAYMENTS FOR DRUGS AND BIOLOGICALS UNDER MEDICARE PART B.

    (a) In General.--Section 1847A(c)(3) of the Social Security Act (42 
U.S.C. 1395w-3a(c)(3)) is amended--
            (1) in the first sentence, by inserting ``(other than 
        customary prompt pay discounts extended to wholesalers)'' after 
        ``prompt pay discounts''; and
            (2) in the second sentence, by inserting ``(other than 
        customary prompt pay discounts extended to wholesalers)'' after 
        ``other price concessions''.
    (b) Effective Date.--The amendments made by this section shall 
apply to drugs and biologicals that are furnished on or after January 
1, 2008.
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