[Congressional Record Volume 153, Number 10 (Thursday, January 18, 2007)]
[Extensions of Remarks]
[Page E141]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                 MEDICARE PRESCRIPTION DRUG ACT OF 2007

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                               speech of

                           HON. RAHM EMANUEL

                              of illinois

                    in the house of representatives

                        Friday, January 12, 2007

  Mr. EMANUEL. Mr. Speaker, I rise today in strong support of H.R. 4, 
the Medicare Prescription Drug Negotiation Act. This legislation 
corrects a grave mistake of the past by striking a provision in the 
Medicare Modernization Act of 2003 which prohibited the Secretary of 
Health and Human Services from directly negotiating with pharmaceutical 
companies. In addition, H.R. 4 explicitly requires the Secretary of 
Health and Human Services to directly negotiate with the pharmaceutical 
industry for lower prescription drug prices.
  This legislation is necessary because Medicare drug plans have failed 
to obtain significant price discounts for seniors. In fact, the drug 
plans' prices are over 60 percent higher than prices for identical 
drugs in Canada. Requiring the Secretary to negotiate with the drug 
companies will bring much needed relief to millions of Medicare 
beneficiaries.
  More than 90 percent of Americans agree that the Secretary should be 
directly negotiating with the pharmaceutical industry.
  Unfortunately, the current Secretary has said he does not support the 
underlying legislation. His predecessor, though, has demonstrated the 
authority for and efficacy of the HHS Secretary negotiating with the 
pharmaceutical industry for lower prices. In 2001, former HHS Secretary 
Tommy Thompson successfully negotiated a reduced price for Cipro. In 
fact, the Secretary negotiated the price down from $4.67 to $1.77 per 
dose--a reduction of nearly 500 percent. Additionally, when Secretary 
Thompson resigned his position at HHS, he explicitly stated he wished 
Congress had given him the power to negotiate with drug manufacturers 
to secure lower prices for Medicare beneficiaries.
  The Medicare Prescription Drug Negotiation Act will save seniors 
money both at the pharmacy counter and in the form of lower premiums.
  Mr. Speaker, I am proud that helping seniors obtain prescription 
drugs at prices they can afford is part of the Democratic 100 hours 
plan. I thank the gentlemen from California and Michigan, and the 
gentlewoman from Missouri for their leadership on this issue, and I 
urge my colleagues to join me in voting for H.R. 4, the Medicare 
Prescription Drug Negotiation Act.

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