Why Did It Fail?
Republicans oppose allowing the government to negotiate drug prices, echoing the pharmaceutical industry’s main argument that federal pressure on prices would lead companies to curb investment in research and kill innovation. They have supported efforts to bring more competing drugs into the market, including cheaper generic versions, as a way to bring down prices.
They were joined in their opposition to “The Lower Drug Costs Now Act” by dissenting Democrats, some of whom advocated alternative scaled-back reforms. Several of those Democratic lawmakers are among the largest recipients of industry campaign donations.
Four centrist House Democrats—Scott Peters of California, Kathleen Rice of New York, Kurt Schrader of Oregon and Stephanie Murphy of Florida—voted against the bill.
It also faced opposition from Sen. Kyrsten Sinema (D-Ariz.) and Sen. Robert Menendez (D-N.J.). Democrats have razor-thin majorities in both chambers of Congress; one senator or three representatives are enough to kill a bill.
Peters and Schrader introduced their own drug price reform bill, “The Reduced Costs and Continued Cures Act,” which covered Medicare Part B drugs only and would have generated lower savings. Rice and Murphy backed it.
The final agreement between the White House and congressional Democrats is largely based on it. However, expands it to make Medicare Part D drug prices negotiable and add other provisions like the insulin and inflation caps. Peters, Rice, Schrader, Murphy, Menendez and Sinema all back it.
