1 | 1 | | I |
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2 | 2 | | 119THCONGRESS |
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3 | 3 | | 1 |
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4 | 4 | | STSESSION H. R. 2542 |
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5 | 5 | | To amend titles XVIII and XIX of the Social Security Act to provide that |
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6 | 6 | | priority research drugs shall not be treated as line extensions of existing |
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7 | 7 | | drugs for purposes of calculating manufacturer rebates under the Medi- |
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8 | 8 | | care and Medicaid programs, and for other purposes. |
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9 | 9 | | IN THE HOUSE OF REPRESENTATIVES |
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10 | 10 | | APRIL1, 2025 |
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11 | 11 | | Mr. D |
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12 | 12 | | AVISof North Carolina (for himself and Mr. PFLUGER) introduced the |
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13 | 13 | | following bill; which was referred to the Committee on Energy and Com- |
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14 | 14 | | merce, and in addition to the Committee on Ways and Means, for a pe- |
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15 | 15 | | riod to be subsequently determined by the Speaker, in each case for con- |
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16 | 16 | | sideration of such provisions as fall within the jurisdiction of the com- |
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17 | 17 | | mittee concerned |
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18 | 18 | | A BILL |
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19 | 19 | | To amend titles XVIII and XIX of the Social Security Act |
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20 | 20 | | to provide that priority research drugs shall not be treat- |
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21 | 21 | | ed as line extensions of existing drugs for purposes of |
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22 | 22 | | calculating manufacturer rebates under the Medicare and |
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23 | 23 | | Medicaid programs, and for other purposes. |
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24 | 24 | | Be it enacted by the Senate and House of Representa-1 |
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25 | 25 | | tives of the United States of America in Congress assembled, 2 |
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26 | 26 | | SECTION 1. SHORT TITLE. 3 |
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27 | 27 | | This Act may be cited as the ‘‘Old Drugs, New Cures 4 |
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28 | 28 | | Act’’. 5 |
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29 | 29 | | VerDate Sep 11 2014 04:41 Apr 04, 2025 Jkt 059200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H2542.IH H2542 |
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30 | 30 | | kjohnson on DSK7ZCZBW3PROD with $$_JOB 2 |
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31 | 31 | | •HR 2542 IH |
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32 | 32 | | SEC. 2. PRIORITY RESEARCH DRUGS. 1 |
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33 | 33 | | (a) I |
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34 | 34 | | NGENERAL.—Section 1927(c)(2)(C) of the So-2 |
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35 | 35 | | cial Security Act (42 U.S.C. 1396r–8(c)(2)(C)) is amend-3 |
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36 | 36 | | ed by inserting the following new clause before the flush 4 |
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37 | 37 | | matter at the end: 5 |
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38 | 38 | | ‘‘(iv) P |
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39 | 39 | | RIORITY RESEARCH DRUG .— 6 |
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40 | 40 | | ‘‘(I) R |
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41 | 41 | | EQUEST FOR DESIGNA -7 |
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42 | 42 | | TION.—Not later than 90 days fol-8 |
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43 | 43 | | lowing the date of enactment of this 9 |
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44 | 44 | | clause, the Secretary shall establish 10 |
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45 | 45 | | and make effective a process for the 11 |
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46 | 46 | | manufacturer of a covered outpatient 12 |
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47 | 47 | | drug to request that the Secretary 13 |
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48 | 48 | | designate the drug as a priority re-14 |
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49 | 49 | | search drug. 15 |
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50 | 50 | | ‘‘(II) D |
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51 | 51 | | ESIGNATION.—Not later 16 |
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52 | 52 | | than 60 calendar days after the re-17 |
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53 | 53 | | ceipt of a request under subclause (I), 18 |
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54 | 54 | | the Secretary shall designate a cov-19 |
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55 | 55 | | ered outpatient drug as a priority re-20 |
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56 | 56 | | search drug so long as it meets the 21 |
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57 | 57 | | following criteria: 22 |
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58 | 58 | | ‘‘(aa) As of the date of sub-23 |
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59 | 59 | | mission of such request, at least 24 |
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60 | 60 | | 10 years have elapsed since the 25 |
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61 | 61 | | date the drug was approved 26 |
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62 | 62 | | VerDate Sep 11 2014 04:41 Apr 04, 2025 Jkt 059200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H2542.IH H2542 |
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63 | 63 | | kjohnson on DSK7ZCZBW3PROD with $$_JOB 3 |
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64 | 64 | | •HR 2542 IH |
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65 | 65 | | under section 505(c) of the Fed-1 |
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66 | 66 | | eral Food, Drug, and Cosmetic 2 |
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67 | 67 | | Act or section 351(a) of the Pub-3 |
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68 | 68 | | lic Health Service Act. 4 |
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69 | 69 | | ‘‘(bb) The manufacturer of 5 |
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70 | 70 | | the drug is investigating such 6 |
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71 | 71 | | drug under section 505(i) of the 7 |
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72 | 72 | | Federal Food, Drug, and Cos-8 |
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73 | 73 | | metic Act or section 351(a)(3) of 9 |
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74 | 74 | | the Public Health Service Act for 10 |
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75 | 75 | | a new indication that would ad-11 |
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76 | 76 | | dress a significant unmet medical 12 |
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77 | 77 | | need because there is no alter-13 |
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78 | 78 | | native drug approved under sec-14 |
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79 | 79 | | tion 505 of the Federal Food, 15 |
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80 | 80 | | Drug, and Cosmetic Act or li-16 |
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81 | 81 | | censed under section 351 of the 17 |
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82 | 82 | | Public Health Service Act for 18 |
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83 | 83 | | such indication on the date that 19 |
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84 | 84 | | the request under subclause (I) 20 |
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85 | 85 | | was submitted to the Secretary. 21 |
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86 | 86 | | ‘‘(cc) The new indication de-22 |
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87 | 87 | | scribed in item (bb) is for a dis-23 |
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88 | 88 | | ease or condition that has a high 24 |
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89 | 89 | | prevalence among beneficiaries of 25 |
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91 | 91 | | kjohnson on DSK7ZCZBW3PROD with $$_JOB 4 |
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92 | 92 | | •HR 2542 IH |
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93 | 93 | | Federal health care programs. 1 |
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94 | 94 | | For purposes of this clause, a 2 |
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95 | 95 | | disease or condition has a high 3 |
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96 | 96 | | prevalence among beneficiaries of 4 |
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97 | 97 | | Federal health care programs if 5 |
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98 | 98 | | at least 33 percent of claims in 6 |
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99 | 99 | | the population targeted by the 7 |
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100 | 100 | | new indication during the prior 8 |
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101 | 101 | | calendar year were paid for 9 |
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102 | 102 | | under— 10 |
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103 | 103 | | ‘‘(AA) a State plan 11 |
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104 | 104 | | under this title or a State 12 |
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105 | 105 | | child health plan under title 13 |
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106 | 106 | | XXI; 14 |
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107 | 107 | | ‘‘(BB) part D of title 15 |
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108 | 108 | | XVIII with respect to an in-16 |
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109 | 109 | | dividual who is eligible for 17 |
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110 | 110 | | subsidies under section 18 |
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111 | 111 | | 1860D–14; 19 |
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112 | 112 | | ‘‘(CC) the drug dis-20 |
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113 | 113 | | count program under section 21 |
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114 | 114 | | 340B of the Public Health 22 |
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115 | 115 | | Service Act (42 U.S.C. 23 |
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116 | 116 | | 256b; or 24 |
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118 | 118 | | kjohnson on DSK7ZCZBW3PROD with $$_JOB 5 |
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119 | 119 | | •HR 2542 IH |
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120 | 120 | | ‘‘(DD) a health care 1 |
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121 | 121 | | program administered by the 2 |
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122 | 122 | | Department of Veterans Af-3 |
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123 | 123 | | fairs.’’. 4 |
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124 | 124 | | (b) E |
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125 | 125 | | XCLUSION OF PRIORITYRESEARCHDRUGS 5 |
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126 | 126 | | F |
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127 | 127 | | ROMMEDICAIDDEFINITION OFLINEEXTENSION.— 6 |
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128 | 128 | | The flush matter at the end of section 1927(c)(2)(C) of 7 |
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129 | 129 | | the Social Security Act (42 U.S.C. 1396r–8(c)(2)(C)) is 8 |
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130 | 130 | | amended by inserting ‘‘a priority research drug (as des-9 |
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131 | 131 | | ignated under clause (iv)) or’’ after ‘‘does not include’’. 10 |
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132 | 132 | | (c) E |
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133 | 133 | | XCLUSION OF PRIORITYRESEARCHDRUGS 11 |
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134 | 134 | | F |
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135 | 135 | | ROMMEDICAIDBESTPRICESPECIALRULE FORSE-12 |
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136 | 136 | | LECTEDDRUGS.—Section 1927(c)(1)(C)(ii)(V) of the So-13 |
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137 | 137 | | cial Security Act (42 U.S.C. 1396r–8(c)(1)(C)(ii)(V)) is 14 |
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138 | 138 | | amended by inserting ‘‘unless such drug is also designated 15 |
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139 | 139 | | as a priority research drug under paragraph (2)(C)(iv) 16 |
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140 | 140 | | during such period’’ before the period. 17 |
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141 | 141 | | (d) E |
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142 | 142 | | XCLUSION OF PRIORITYRESEARCHDRUGS 18 |
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143 | 143 | | F |
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144 | 144 | | ROMMEDICAREDEFINITION OFLINEEXTENSION.— 19 |
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145 | 145 | | Section 1860D–14B(b)(5)(B)(ii) of the Social Security 20 |
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146 | 146 | | Act (42 U.S.C. 1395w–114b(b)(5)(B)(ii)) is amended by 21 |
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147 | 147 | | inserting ‘‘a priority research drug (as designated under 22 |
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148 | 148 | | section 1927(c)(2)(C)(iv)) or’’ after ‘‘does not include’’. 23 |
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149 | 149 | | Æ |
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151 | 151 | | kjohnson on DSK7ZCZBW3PROD with $$_JOB |
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