What does Preamble of End Price Gouging for Medications Act do?

This bill, formally titled 'To require the Secretary of Health and Human Services to establish reference prices for prescription drugs for purposes of Federal health programs, and for other purposes,' aims to require the Secretary of Health and Human Services to establish reference prices for prescription drugs. The bill was introduced in the House of Representatives on May 14, 2025, by Mrs. Dingell.

What does SHORT TITLE. of End Price Gouging for Medications Act do?

This bill is formally titled the 'End Price Gouging for Medications Act'.

What does REFERENCE PRICES FOR PRESCRIPTION DRUGS. of End Price Gouging for Medications Act do?

This section establishes annual reference prices for prescription drugs, to be determined by the Secretary of Health and Human Services. The retail list price for a drug shall not exceed the established reference price for enrollees or beneficiaries in specified Federal health programs. Reference prices are determined either by the lowest retail list price in at least three reference countries (Australia, Austria, Belgium, Canada, France, Germany, Italy, Japan, the Netherlands, Sweden, Switzerland, and the United Kingdom) or based on factors like therapeutic effect, value, patient access, and research and development costs. The reference prices apply to Medicare, Medicaid, CHIP, TRICARE, VA health programs, the Federal Employees Health Benefits Program, and health programs funded under the Indian Health Care Improvement Act. Drug manufacturers are required to offer prescription drugs at the reference price to all individuals, including those without insurance. Drug manufacturers who violate the requirements are subject to a civil penalty equal to five times the difference between the amount received and what would have been received if they complied. Civil penalties collected will be transferred to the National Institutes of Health for drug research and development.

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End Price Gouging for Medications Act

Last updated: 7/2/2025 · Introduced: 5/14/2025

Author: Debbie Dingell (D-MI)

TL;DR (AI)

This bill requires the Secretary of Health and Human Services to establish annual reference prices for prescription drugs, limiting the retail list price for enrollees and beneficiaries in federal health programs.
Reference prices will be based on the lowest retail list price in select countries or factors like therapeutic effect and research and development costs.
Drug manufacturers who fail to offer drugs at the reference price face civil penalties, with collected funds directed towards drug research and development.

119th Congressin committeeS. 1753(In Committee)Official page

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Other Sections

Includes provisions on preamble, short title., and 1 more.

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