Wyden introduces price transparency bill
Sen. Ron Wyden (D-Ore.) introduced the Stopping the Pharmaceutical Industry from Keeping Drugs Expensive (SPIKE) Act, a bill which would require pharmaceutical companies to publicly explain reasons for “exorbitant” price hikes. Wyden also reintroduced the Reducing Existing Costs Associated with Pharmaceuticals for Seniors (RxCAP) Act, which would cap out-of-pocket payments for prescription drugs by seniors in Medicare Part D.
The SPIKE Act would require drug manufacturers to justify price increases for two sets of drugs: those that cost at least $10 per dose and had a price increase of at least 300% over five years or 100% over one year; or those within the top fiftieth percentile of net Medicare or Medicaid spending, and that have had a price increase of at least 50% over five years or 15% over one. The bill's summary says the justification could include individual factors which contributed to the price increase, the percentage of R&D expenses derived from federal funds, and advertising and marketing costs...