July 27, 2020
President issues series of Executive Orders aimed at lowering drug prices
Orders affect insulin and epinephrine, drug importation, PBM rebates; President will sign fourth order establishing 'MFN' price for Part B drugs if Congress, pharmas fail to act
On Friday, July 24, the Trump Administration released a highly anticipated plan aimed at lowering drug prices. The plan, a series of four executive orders, is intended to reduce the price of prescription drugs and increase affordability and accessibility for affected Americans. The four orders would:
These orders include policies long under consideration by the administration and will all require regulatory action prior to taking effect. The administration released the first three executive orders after the president's signing ceremony. The fourth executive order on the price of certain Part B drugs (MFN) is being held back. The White House indicated that the president will move forward with the fourth order if Congress fails to act on prescription drug legislation prior to August 24.
The attached Tax Alert has additional details.
Full text of Tax Alert