Hickenlooper, Democratic Colleagues Demand Answers from Big Pharma on Backroom Deals with Trump Admin

WASHINGTON - U.S. Senator John Hickenlooper and seven of his Senate Democratic colleagues demanded information from major pharmaceutical companies about their 'deals' with the Trump administration and specific evidence on how these 'deals' will lower drug costs for Medicaid patients.

"We write today to seek more information from [company] about which drugs are subject to the Medicaid components of your agreement with the Trump administration and whether the prices you will make available on these drugs are actually lower than the net pricing states currently receive on the same products in Medicaid," the senators wrote. "It is difficult to discern what American patients and taxpayers stand to gain from your agreement with the Trump Administration."

The letters to AbbVie, Amgen, Boehringer Ingelheim, Bristol Myers Squibb, Genentech, Gilead, GlaxoSmithKline, Johnson & Johnson, Merck, Novartis, and Sanofi ask the pharmaceutical companies to list the drugs that will be affected by the deals with the Trump administration, and provide both the "most favored nation" price for the drug as well as the current state Medicaid price.

Hickenlooper has sounded the alarm about Trump's broken promise to lower the cost of prescription drugs. He previously challenged Pfizer, AstraZeneca, Novo Nordisk, and Eli Lilly to provide specific pricing information on the drugs that are part of their 'deals' with the Trump admin.

Hickenlooper has also been a vocal opponent of the Trump administration's massive cuts to health care. MAGA Republicans passed President Trump's so-called One Big Ugly Betrayal, which slashes over $1 trillion from Medicaid and the Affordable Care Act. In total, Republican cuts are expected to force 15 million Americans off their health insurance. Hickenlooper voted no.

Full text of the letter can be found HERE and below.

Dear Mr. Miels:

On July 4, 2025, President Trump signed the Republican reconciliation bill (H.R. 1) into law. That bill included nearly $900 billion in cuts to the Medicaid program, which will create disastrous consequences for state budgets, and, in turn, access to health care services for Americans all across the country. States have few options when it comes to filling the hole left by massive federal cuts - all of which lead to less access for patients. States can either cut provider rates, cut services, or cut eligibility for Medicaid - each of these options will make Americans sicker, force hospitals to close and cut services, and increase health care costs for all.

The deep Medicaid cuts in H.R. 1 have put states in the impossible position of trying to figure out how to keep our Medicaid programs afloat and ensure continued patient access across the health care system writ large. With that in mind, we write today to seek more information from GSK about which drugs are subject to the Medicaid components of your agreement with the Trump Administration and whether the prices you will make available on these drugs are actually lower than the net pricing states currently receive on the same products in Medicaid.

On December 19, 2025, you held a press conference with President Trump announcing that GSK would offer "most-favored nation" pricing on certain prescription drugs in Medicaid. It is clear that GSK stands to gain a lot from this agreement, including relief from tariffs and potential priority review of new drug applications at the Food and Drug Administration (FDA). The Trump Administration is also pressuring other countries, such as the U.K., to pay higher prices for drugs, which will further increase revenues for industry, even though it is unclear whether industry will be expected to proportionally lower pricing in the U.S.

It is difficult to discern, however, what American patients and taxpayers stand to gain from your agreement with the Trump Administration. On November 6, 2025, CMS announced the Generating Cost Reductions for U.S. Medicaid Model (GENEROUS) model and released a corresponding request for applications from manufacturers. The GENEROUS model is a voluntary demonstration program under which CMS will negotiate supplemental rebates and coverage terms on prescription drugs with participating manufacturers. The Trump Administration claims that these rebates will bring Medicaid drug costs closer to international pricing on covered outpatient drugs for states that choose to participate in the model.

Presumably, manufacturers like GSK that have announced agreements with the Trump Administration will be able to effectuate the Medicaid components of those agreements through the GENEROUS model.

States won't benefit if GENEROUS model prices are essentially the same as current Medicaid net prices or higher. Medicaid already pays the lowest drug prices in the U.S., often in line with the prices paid in other wealthy countries. For example, a 2021 analysis by the Congressional Budget Office (CBO) found that the average net price of top-selling brand drugs in Medicaid was $118, relative to an average price of $343 in Medicare Part D. Critical details about the GENEROUS model also remain unclear, including whether manufacturers can seek exemptions for the drugs where this model could potentially have the greatest impact. Furthermore, the RFA explicitly states that terms under CMS agreements with manufacturers can differ from the terms CMS just publicly released about the model. Thus, it is difficult to draw any firm conclusions about what pricing manufacturers will have to offer states under the model and on which drugs.

Attached to this letter, you will find a table listing brand drugs currently marketed by GSK and a list of GSK subsidiary and affiliate companies. We ask that GSK promptly respond by populating those tables and providing the following information:

1. Does GSK plan to effectuate the Medicaid components of its drug pricing agreement with the Trump Administration through the GENEROUS model? If not, please explain how GSK will effectuate its Medicaid drug pricing agreement with the Trump Administration.

1. During which calendar years does GSK plan to either participate in the GENEROUS model or otherwise offer agreed upon pricing to state Medicaid programs pursuant to your agreement with the Trump Administration?

1. Please populate Table 1 by:

1. Identifying which drugs in your current book of business are subject to the Medicaid part of your agreement with the Trump Administration and/or will be included in the GENEROUS model;

1. Providing the second lowest country specific average net price on each drug identified above over the last 12 months from the following countries: the United Kingdom, France, Germany, Italy, Canada, Japan, Denmark, and Switzerland;
2. Providing the net price available to state Medicaid programs under your agreement with the Trump Administration and/or the GENEROUS model for each such drug identified above; and

1. Confirming whether the price listed above is lower than the lowest net price GSK currently offers to any state Medicaid program for such drug (including both statutorily required rebates under the Medicaid Drug Rebate Program and any supplemental rebates).

1. Please populate Table 2 by:

1. Listing all drugs marketed in the United States under labels of GSK subsidiary or affiliate companies;

1. Identifying which drugs among those listed above are subject to the Medicaid part of your agreement with the Trump Administration and/or will be included in the GENEROUS model;

1. Providing the second lowest country specific average net price on each drug identified above over the last 12 months from the following countries: the United Kingdom, France, Germany, Italy, Canada, Japan, Denmark, and Switzerland;

1. Providing the net price available to state Medicaid programs under your agreement with the Trump Administration and/or the GENEROUS model for each such drug identified above; and

1. Confirming whether the price listed above is lower than the lowest net price GSK currently offers to any state Medicaid program for such drug (including both statutorily required rebates under the Medicaid Drug Rebate Program and any supplemental rebates).

1. If GSK is effectuating the Medicaid components of your agreement with the Trump Administration through a method other than the GENEROUS model:

1. Please explain how state Medicaid programs would receive any additional discounts or rebates on the relevant drugs.

1. In order to access any additional discounts on GSK drugs under the agreement, would state Medicaid programs need to agree to any conditions related to coverage, formulary placement, or utilization management for such drugs? If yes, would states have to opt into the agreement with respect to the entire bundle of drugs subject to the arrangement? Or could states make separate decisions with respect to each individual drug?

1. How would any additional discounts or rebates relate to the statutorily required rebates under the Medicaid Drug Rebate Program or supplemental rebates obtained by state Medicaid programs?

Our states need timely access to this information in order to make urgent state budgetary decisions due to the loss of Medicaid funding, including during special sessions and in preparation of budgets for the upcoming state fiscal year, and prioritize preserving patient access to health care. Therefore, we ask that you provide this information no later than March 23, 2026.

Sincerely,

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