119th (2025–2027)
H.R. 7837
This bill requires the Center for Medicare and Medicaid Innovation to launch a drug pricing model starting January 1, 2029, that ties U.S. prices to the second-lowest price charged for the same medications in eight wealthy countries (Canada, Denmark, France, Germany, Italy, Japan, Switzerland, and the United Kingdom). Drug manufacturers without a voluntary agreement with the government must offer this "most-favored-nation price" to Medicare beneficiaries, Medicaid recipients, and those in prescription drug plans when those medications are dispensed by pharmacies or administered by hospitals and doctors. The model will run for five years, though manufacturers can avoid the requirement if they negotiate a separate deal with the government by December 31, 2028, which includes commitments to increase U.S. manufacturing. The bill does not specify new federal funding, as it operates within existing Medicare and Medicaid programs, and requires the government to report its progress to Congress by April 1, 2029.