Tuesday, February 3, 2015

Obama administration seeks to negotiate Medicare drug prices

Obama makes remarks highlighting investments to improve health and treat disease through precision medicine while in the East Room of the White House in Washington By David Morgan WASHINGTON (Reuters) - The Obama administration said on Monday it would seek authority to negotiate prices for high-cost drugs under the government's Medicare Part D program, which offers private drug coverage for senior citizens and the disabled. President Barack Obama's new $3.99 trillion budget for fiscal-year 2016 proposes allowing the U.S. secretary for health and human services to negotiate prices for biotechnology treatments and other high-cost drugs in Part D "to ensure access to and affordability of these treatments." But the plan would require the administration to get a green light from Congress, where Republicans who control the House of Representatives and Senate have openly favored market forces over government intervention as a vehicle for containing healthcare costs. Congress prohibited Medicare from negotiating directly with drug companies in 2003 when it created Part D under then-President George W. Bush.








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