Cortez Masto, Welch, Wyden Fight to Protect Seniors from Republicans’ Big Pharma Bailout, Ensure Access to Life-Saving Prescription Drugs

Washington, D.C. - Today, U.S. Senators Catherine Cortez Masto (D-Nev.), Peter Welch (D-Vt.), and Ron Wyden (D-Ore.) introduced the No Big Blockbuster Bailouts Act, a bill to reverse Republicans' policies in their July tax law that block Medicare from negotiating the price of blockbuster drugs. This legislation would ensure seniors, people with disabilities on Medicare, and families can access the lower-priced lifesaving medications they need.

The non-partisan Congressional Budget Office (CBO) found this week that the Republican tax bill's Medicare drug price negotiation exemptions provided a staggering $8.8 billion bailout to Big Pharma - nearly double the original estimate. This exclusion included several extremely popular cancer and rare disease drugs, including Keytruda (Merck), Opdivo (Bristol-Myers Squibb), and Darzalex (Johnson & Johnson). As a result, Americans will be forced to pay higher out-of-pocket costs on drugs while Big Pharma profits.

"The Republican tax bill was a big pharma bailout, exempting life-saving drugs that Americans rely on from potentially lower prices," said Senator Cortez Masto. "When Democrats gave Medicare the authority to negotiate prescription drug prices, it was a promise to give seniors real financial relief, but Republicans' tax bill broke that promise. We must overturn these disastrous policies making life more expensive for seniors across America."

"Republicans are forcing seniors with cancer to pay more for the prescription drugs they need and foot the bill for Big Pharma's massive $8.8 billion bailout. It's beyond outrageous," said Senator Welch. "Our commonsense bill blocks the Trump Administration's bailout, lowers costs for seniors and families, and protects the hard-fought ability for Medicare to negotiate drug prices."

"Republicans can't stop giving sweetheart deals to Big Pharma. While Trump continues to trot out Big Pharma executives at the White House, Republicans in Congress have been busy making sure these corporations get bailed out while Americans continue to pay more for their prescriptions. This legislation is a no-brainer to correct this Trojan Horse effort to undermine Medicare negotiation," said Senate Finance Committee Ranking Member Wyden.

The No Big Blockbuster Bailouts Act would repeal Republicans' bailout for certain blockbuster drugs - an outrageous policy that Cortez Masto first called attention to in August. Under current law, all "orphan-only drugs" - medications that can be used to treat rare diseases - are ineligible for negotiation, regardless of how much Medicare spends on them, or how widely they are used. Under this legislation, if Medicare spending on a drug exceeds $400 million annually, that drug would be eligible for negotiation regardless of orphan status.

Read the full bill here.

Senator Cortez Masto is a leader in the Senate in ensuring older Nevadans can access quality, affordable health care, including through Medicare. She has led efforts to lower drug costs for seniors, hold Big Pharma accountable, and expand Medicare drug price negotiation. Next year, lower prices will take effect for the first 10 prescription drugs, saving taxpayers an estimated $6 billion, and saving Medicare enrollees - seniors and people with disabilities - an estimated $1.5 billion in out-of-pocket costs. She has also championed legislation to strengthen Medicare-funded behavioral health services and telehealth services, as well as protect access to ambulance services in rural and underserved areas.

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