Baldwin, Colleagues Introduce Legislation to Expand Medicare Drug Price Negotiation and Lower Costs for Americans

WASHINGTON, D.C. – U.S. Senator Tammy Baldwin (D-WI) joined Senators Amy Klobuchar (D-MN) and Peter Welch (D-VT) to introduce the Strengthening Medicare and Reducing Taxpayer (SMART) Prices Act. The legislation would expand the number of drugs that Medicare can negotiate lower drug prices for, reduce federal spending, and give the Department of Health and Human Services stronger tools to negotiate lower drug prices in Medicare Part B and Part D.

“No Wisconsinite should be forced to forgo the medication they need to stay healthy because of cost,” said Senator Baldwin. “This bill will build on the progress we’ve made to give more Americans some breathing room – cracking down on greedy drug companies and helping ensure no Wisconsinite has to choose between affording their medication and putting food on the table.”

This legislation builds on the Baldwin-backed Inflation Reduction Act, which was passed into law in 2022, and empowered Medicare to negotiate prescription drug prices for the first time, unleashing the power of 53 million seniors enrolled in Medicare Part D Drug Coverage. The SMART Prices Act would extend this progress by more than doubling the number of prescription drugs Medicare must negotiate to a minimum of 50 per year, allowing the costliest prescription drugs to have negotiated prices five years after approval by the Food and Drug Administration, and by increasing the discount that Medicare is allowed to negotiate.

According to preliminary estimates from a model by West Health and Verdant Research, if the SMART Prices Act was enacted in 2026, it would save 33 percent more by 2030 than current law. It would also allow Medicare to begin negotiations earlier and bring down the price of more expensive drugs.

The bill is endorsed by Center for American Progress, FamiliesUSA, Patients For Affordable Drugs NOW, Protect Our Care, and Public Citizen.

“The SMART Prices Act builds on the progress of the Inflation Reduction Act to help bring down today’s exorbitant prescription drug prices,” said Andrea Ducas, Vice President of Health Policy at the Center for American Progress. “The bill is an important step forward in holding pharmaceutical companies accountable and ensuring seniors are paying fair and affordable prices for life-saving medications.”

[inarticled ad=”UM-In-Article-2″]“One in three Americans can’t afford their prescription drugs. We hear from patients every day who are rationing medication or skipping doses because of high drug costs. The SMART Prices Act is a welcome step that builds on the historic drug price reforms in the Inflation Reduction Act by increasing the number of drugs subject to Medicare negotiation – a proposal that has broad support from Americans on both sides of the aisle. We are grateful to Senator Klobuchar for her tireless leadership on this critical issue and are eager to expand Medicare negotiation to secure a better deal for more patients on Medicare,” said Merith Basey, Executive Director of Patients For Affordable Drugs Now.

“Senators Klobuchar and Welch are fighting for seniors and their families by bringing down the high cost of prescription drugs,” said Protect Our Care Chair Leslie Dach. “Americans across the political spectrum support Medicare’s ability to negotiate drug prices and want to see the program expand. Instead, Trump and his cronies in Congress are charging ahead with their budget that not only guts Medicaid and the Affordable Care Act to fund billionaire tax breaks, but hands billions in give-aways over to Big Pharma. The contrast couldn’t be more clear. If Republicans are serious about wanting to lower drug prices and save taxpayer dollars, they should join Senators Klobuchar and Welch in passing the SMART Prices Act and deliver real, lasting relief for the American people.”

“The SMART Prices Act would save billions of dollars by empowering Medicare to negotiate lower prices for more patients sooner. We applaud Senators Klobuchar, Welch, and cosponsors for their leadership. Congressional Republicans should follow their lead instead of seeking to undermine Medicare drug price negotiations and take away health insurance from millions of our society’s most vulnerable people,” said Robert Weissman, Co-President of Public Citizen.

NOTE: This press release was submitted to Urban Milwaukee and was not written by an Urban Milwaukee writer. While it is believed to be reliable, Urban Milwaukee does not guarantee its accuracy or completeness.