27-03-2025
James and McDonald Rivet collaborate on prescription drug transparency legislation
U.S. Reps. John James (R-Shelby Township) and Kristen McDonald Rivet (D-Bay City). Andrew Roth photos.
A bipartisan duo of Michigan members of Congress are working together on legislation to increase transparency in the prescription drug pricing system.
U.S. Reps. Kristen McDonald Rivet (D-Bay City) and John James (R-Shelby Township) are two of four sponsors on the bill. U.S. Reps. Buddy Carter, a Republican from Georgia, and Rob Menendez, a Democrat from New Jersey, also signed on.
The legislation would require Pharmacy Benefit Managers and others who serve as intermediaries between insurers, drug manufacturers and pharmacies to disclose financial transactions related to prescription drug pricing, including rebates and discounts intended to be passed on to patients.
'With this bill, we're bringing much-needed transparency to how drugs are priced in this country, which will ultimately push prices down and make things easier for consumers,' McDonald Rivet said.
Organizations that fail to report the required information could face fines of up to $100,000 per violation.
The Department of Health and Human Services, which on Thursday announced it would be eliminating about 10,000 full-time jobs and closing half its regional offices, would be responsible for ensuring all reports are publicly available.
'The days of Big Pharma profiting from your pain are over,' James said. 'Americans deserve quality and affordable health care of their choosing. The Prescription Drug Transparency and Affordability Act is a market-based approach that returns the power to you.'
Similar legislation introduced during a previous Congress would save consumers approximately $2.3 billion over 10 years, according to an analysis by the Congressional Budget Office.
Last year, Michigan Attorney General Dana Nessel joined a bipartisan coalition of 39 attorneys general in urging Congress to reform the current practices of pharmacy benefit managers.
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