Value-Based Pricing Bill with New Protections for Medicare and Medicaid Clears House Panel

Energy and Commerce Committee made some changes to a Trump-era regulation designed to make it easier for manufacturers to enter into value-based drug pricing contracts with commercial payers to limit unintended consequences for Medicaid and Medicare, but most Democrats say the tweaks don’t outweigh the harms of codifying the regulation.

Rep. Frank Pallone
Rep. Frank Pallone squared off with fellow Democrat Anna Eshoo saying her changes to a value-based contracts bill were not enough. • Source: House Energy and Commerce Committee

The House Energy and Commerce Committee cleared a Medicaid "best price" bill on 24 May that offers greater protections to Medicaid and Medicare from the impact of pharmaceutical value-based pricing arrangements than were contained in the regulation the bill attempts to codify, but that wasn’t enough to get most Democrats on board with a plan they worry could hurt state and federal budgets.

The Medicaid VBPs for Patients Act (H. 2666 or the MVP Act) cleared the committee on a 31-19 vote. Co-sponsor Rep. Anna Eshoo, D-Calif

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