Us Congress 2025-2026 Regular Session

Us Congress House Bill HB2542 Compare Versions

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11 I
22 119THCONGRESS
33 1
44 STSESSION H. R. 2542
55 To amend titles XVIII and XIX of the Social Security Act to provide that
66 priority research drugs shall not be treated as line extensions of existing
77 drugs for purposes of calculating manufacturer rebates under the Medi-
88 care and Medicaid programs, and for other purposes.
99 IN THE HOUSE OF REPRESENTATIVES
1010 APRIL1, 2025
1111 Mr. D
1212 AVISof North Carolina (for himself and Mr. PFLUGER) introduced the
1313 following bill; which was referred to the Committee on Energy and Com-
1414 merce, and in addition to the Committee on Ways and Means, for a pe-
1515 riod to be subsequently determined by the Speaker, in each case for con-
1616 sideration of such provisions as fall within the jurisdiction of the com-
1717 mittee concerned
1818 A BILL
1919 To amend titles XVIII and XIX of the Social Security Act
2020 to provide that priority research drugs shall not be treat-
2121 ed as line extensions of existing drugs for purposes of
2222 calculating manufacturer rebates under the Medicare and
2323 Medicaid programs, and for other purposes.
2424 Be it enacted by the Senate and House of Representa-1
2525 tives of the United States of America in Congress assembled, 2
2626 SECTION 1. SHORT TITLE. 3
2727 This Act may be cited as the ‘‘Old Drugs, New Cures 4
2828 Act’’. 5
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3131 •HR 2542 IH
3232 SEC. 2. PRIORITY RESEARCH DRUGS. 1
3333 (a) I
3434 NGENERAL.—Section 1927(c)(2)(C) of the So-2
3535 cial Security Act (42 U.S.C. 1396r–8(c)(2)(C)) is amend-3
3636 ed by inserting the following new clause before the flush 4
3737 matter at the end: 5
3838 ‘‘(iv) P
3939 RIORITY RESEARCH DRUG .— 6
4040 ‘‘(I) R
4141 EQUEST FOR DESIGNA -7
4242 TION.—Not later than 90 days fol-8
4343 lowing the date of enactment of this 9
4444 clause, the Secretary shall establish 10
4545 and make effective a process for the 11
4646 manufacturer of a covered outpatient 12
4747 drug to request that the Secretary 13
4848 designate the drug as a priority re-14
4949 search drug. 15
5050 ‘‘(II) D
5151 ESIGNATION.—Not later 16
5252 than 60 calendar days after the re-17
5353 ceipt of a request under subclause (I), 18
5454 the Secretary shall designate a cov-19
5555 ered outpatient drug as a priority re-20
5656 search drug so long as it meets the 21
5757 following criteria: 22
5858 ‘‘(aa) As of the date of sub-23
5959 mission of such request, at least 24
6060 10 years have elapsed since the 25
6161 date the drug was approved 26
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6464 •HR 2542 IH
6565 under section 505(c) of the Fed-1
6666 eral Food, Drug, and Cosmetic 2
6767 Act or section 351(a) of the Pub-3
6868 lic Health Service Act. 4
6969 ‘‘(bb) The manufacturer of 5
7070 the drug is investigating such 6
7171 drug under section 505(i) of the 7
7272 Federal Food, Drug, and Cos-8
7373 metic Act or section 351(a)(3) of 9
7474 the Public Health Service Act for 10
7575 a new indication that would ad-11
7676 dress a significant unmet medical 12
7777 need because there is no alter-13
7878 native drug approved under sec-14
7979 tion 505 of the Federal Food, 15
8080 Drug, and Cosmetic Act or li-16
8181 censed under section 351 of the 17
8282 Public Health Service Act for 18
8383 such indication on the date that 19
8484 the request under subclause (I) 20
8585 was submitted to the Secretary. 21
8686 ‘‘(cc) The new indication de-22
8787 scribed in item (bb) is for a dis-23
8888 ease or condition that has a high 24
8989 prevalence among beneficiaries of 25
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9292 •HR 2542 IH
9393 Federal health care programs. 1
9494 For purposes of this clause, a 2
9595 disease or condition has a high 3
9696 prevalence among beneficiaries of 4
9797 Federal health care programs if 5
9898 at least 33 percent of claims in 6
9999 the population targeted by the 7
100100 new indication during the prior 8
101101 calendar year were paid for 9
102102 under— 10
103103 ‘‘(AA) a State plan 11
104104 under this title or a State 12
105105 child health plan under title 13
106106 XXI; 14
107107 ‘‘(BB) part D of title 15
108108 XVIII with respect to an in-16
109109 dividual who is eligible for 17
110110 subsidies under section 18
111111 1860D–14; 19
112112 ‘‘(CC) the drug dis-20
113113 count program under section 21
114114 340B of the Public Health 22
115115 Service Act (42 U.S.C. 23
116116 256b; or 24
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119119 •HR 2542 IH
120120 ‘‘(DD) a health care 1
121121 program administered by the 2
122122 Department of Veterans Af-3
123123 fairs.’’. 4
124124 (b) E
125125 XCLUSION OF PRIORITYRESEARCHDRUGS 5
126126 F
127127 ROMMEDICAIDDEFINITION OFLINEEXTENSION.— 6
128128 The flush matter at the end of section 1927(c)(2)(C) of 7
129129 the Social Security Act (42 U.S.C. 1396r–8(c)(2)(C)) is 8
130130 amended by inserting ‘‘a priority research drug (as des-9
131131 ignated under clause (iv)) or’’ after ‘‘does not include’’. 10
132132 (c) E
133133 XCLUSION OF PRIORITYRESEARCHDRUGS 11
134134 F
135135 ROMMEDICAIDBESTPRICESPECIALRULE FORSE-12
136136 LECTEDDRUGS.—Section 1927(c)(1)(C)(ii)(V) of the So-13
137137 cial Security Act (42 U.S.C. 1396r–8(c)(1)(C)(ii)(V)) is 14
138138 amended by inserting ‘‘unless such drug is also designated 15
139139 as a priority research drug under paragraph (2)(C)(iv) 16
140140 during such period’’ before the period. 17
141141 (d) E
142142 XCLUSION OF PRIORITYRESEARCHDRUGS 18
143143 F
144144 ROMMEDICAREDEFINITION OFLINEEXTENSION.— 19
145145 Section 1860D–14B(b)(5)(B)(ii) of the Social Security 20
146146 Act (42 U.S.C. 1395w–114b(b)(5)(B)(ii)) is amended by 21
147147 inserting ‘‘a priority research drug (as designated under 22
148148 section 1927(c)(2)(C)(iv)) or’’ after ‘‘does not include’’. 23
149149 Æ
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