Medicare's Equitable Drugs for Seniors Act of 2004

Medicare's Equitable Drugs for Seniors Act of 2004 - Amends title XVIII (Medicare) of the Social Security Act, as amended by the Medicare Prescription Drug, Improvement, and Modernization Act of 2003, to repeal provisions prohibiting the Secretary of Health and Human Services from: (1) interfering with the negotiations between drug manufacturers and pharmacies and prescription drug plan sponsors; and (2) requiring a particular formulary to institute a price structure for the reimbursement of covered Medicare part D (Voluntary Prescription Drug Benefit Program) drugs.

Grants the Secretary instead, in order to ensure that beneficiaries enrolled under prescription drug plans and Medicare Advantage prescription drug plans pay the lowest possible price, authority similar to that of the Secretary of Veterans Affairs, 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 Medicare part D drugs, consistent with the requirements and in furtherance of the goals of providing quality care and containing costs under such part.

[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3707 Introduced in House (IH)]






108th CONGRESS
  2d Session
                                H. R. 3707

   To amend title XVIII of the Social Security Act to authorize the 
  Secretary of Health and Human Services to negotiate fair prices for 
    Medicare prescription drugs on behalf of Medicare beneficiaries.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            January 20, 2004

Mr. Moore (for himself, Mrs. Emerson, Mr. Davis of Florida, Mr. Burton 
 of Indiana, Mr. Emanuel, and Mr. Wamp) 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 authorize the 
  Secretary of Health and Human Services to negotiate fair prices for 
    Medicare prescription drugs on behalf of Medicare beneficiaries.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Medicare's Equitable Drugs for 
Seniors Act of 2004''.

SEC. 2. NEGOTIATING FAIR PRICES FOR MEDICARE PRESCRIPTION DRUGS ON 
              BEHALF OF MEDICARE BENEFICIARIES.

    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, is amended by striking subsection (i) 
(relating to noninterference) and by inserting the following:
    ``(i) Authority to Negotiate Prices With Manufacturers.--In order 
to ensure that beneficiaries enrolled under prescription drug plans and 
MA-PD plans pay the lowest possible price, the Secretary shall have 
authority similar to that of the Secretary of Veterans Affairs, 
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.''.
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