President Joe Biden has instructed the Department of Health and Human Services (HHS) to work alongside Congress to explore changes to the current law that gives Medicare the authority to negotiate prescription drug prices.
This order reinforces the administration’s ongoing effort to reduce the cost of prescription medications, particularly for seniors and those enrolled in Medicare. The Inflation Reduction Act, passed in 2022, granted Medicare the ability to negotiate prices for certain high-cost drugs, a significant shift in U.S. healthcare policy. However, Biden and his administration are seeking to expand and strengthen this capability.
The Department of Health and Human Services is expected to analyze potential legislative improvements and collaborate with lawmakers to identify opportunities for more comprehensive cost-control strategies. The initiative is part of a broader campaign to make healthcare more affordable across the United States.
No specific legislative proposals were announced, but administration officials have suggested that expanding the list of drugs eligible for negotiation and shortening the negotiation timelines could be among the changes considered.
The directive reflects the Biden administration’s commitment to addressing the high cost of prescription drugs and underscores a broader political push ahead of upcoming national elections.
