Kristen McDonald Rivet (D-MI)
Prescription Drug Transparency and Affordability Act
A Democratic bill with 2 Republican cosponsors · See all 3 cosponsors
Last activity — Referred to the Committee on Energy and Commerce, and in addition to the Committees on Education and Workforce, and Ways and Means, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
In committee
Introduced and handed to a committee in the chamber it started in.
The committee holds it, and most bills are never heard from again. A hearing or a committee vote would be news; silence is the usual outcome, and it kills the bill without anyone voting against it.
Its path through Congress
- Introduced
- In Committee
What this bill would do
The Prescription Drug Transparency and Affordability Act aims to increase oversight of pharmacy benefit management services. It amends the Public Health Service Act, the Employee Retirement Income Security Act of 1974, and the Internal Revenue Code of 1984. The bill requires entities providing pharmacy benefit management services to submit regular reports to group health plans. These reports must include detailed information regarding drug costs, compensation, and spending. The Act also establishes specific privacy requirements and enforcement mechanisms through civil monetary penalties.
Yes· 3 of 6
- Scored +6
Does this make what the government does easier for the public to see?
The bill mandates transparency in drug costs and compensation through required reporting.
- Scored +5
Does this lower the price of prescription medicines?
The bill aims to lower costs through increased transparency of drug prices and rebate structures.
- Scored +5
Does this give people more protection from unfair business practices?
The bill increases consumer protection by requiring greater transparency in pharmacy benefit management services.
The opposite
No question was scored the opposite.
Who it would affect, and how
Potential Positive Impacts for People
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Increased Transparency for Health Plans: Entities providing pharmacy benefit management services must provide reports to group health plans at least every 6 months, which helps plans understand their drug spending and compensation structures. (Section 2(a)(1); Section 2(b)(1))
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Access to Information for Participants: Participants and beneficiaries can request specific information regarding their claims and a summary document to better understand their plan or coverage. (Section 2(c)(1) and (2))
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Improved Insight into Drug Costs: Reports must include specific data such as the wholesale acquisition cost for brand name drugs and the average wholesale price for generic drugs, as well as net prices after rebates. (Section s 2(b)(2)(A)(vi)(aa) and (VII))
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Oversight of Affiliated Pharmacies: The bill requires explanations of benefit design parameters that encourage use of affiliated pharmacies and provides cost comparisons for drugs dispensed by those pharmacies. (Section 2(b)(2)(A)(iv))
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Accountability through Penalties: The Act establishes civil monetary penalties of $10,000 per day for failure to provide required information and up to $100,000 for providing false information, ensuring entities follow the rules. (Section 2(d)(2) and (3))
Potential Negative Impacts for People
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Delayed Implementation: The new oversight and reporting requirements do not take effect until 30 months after the date of enactment. (Section 2(a)(1); Section 2(b)(1))
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Potential Privacy Risks: While the bill includes privacy protections, it requires the transmission of information that must be handled in accordance with HIPAA and other privacy regulations to protect sensitive health data. (Section 2(a)(4))
Groups and Interests Ranking
Every group the model scored this bill for, from -10 to +10. Tap or hover a score for the reason it gave.
- Governance And Ideology
- Does this make what the government does easier for the public to see? — The bill mandates transparency in drug costs and compensation through required reporting. Does this give the federal government more power? — The bill expands federal oversight through the Secretary's enforcement authority over PBMs.
- Healthcare
- Does this lower the price of prescription medicines? — The bill aims to lower costs through increased transparency of drug prices and rebate structures. Does this lower what people pay for private health insurance? — Increased transparency in drug costs and rebates may lead to lower insurance premiums over time.
- Economy And Finance
- Does this give people more protection from unfair business practices? — The bill increases consumer protection by requiring greater transparency in pharmacy benefit management services.
- Demographic And Interest Groups
- Would households on low incomes be better off under this? — Increased transparency could lead to more affordable drug costs for low-income individuals.
- 3/27/2025
- Referred to the Committee on Energy and Commerce, and in addition to the Committees on Education and Workforce, and Ways and Means, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- 3 Cosponsors added.
- Introduced in House
4 bills Congress.gov lists as related to this one — companions in the other chamber, earlier versions, and bills this one absorbed or was folded into.
Earl CarterRepublican · Georgia
John JamesRepublican · Michigan
Robert MenendezDemocrat · New Jersey