Booker, Sanders propose new federal agency to control drug prices

Booker, Sanders propose new federal agency to control drug prices
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Sens. Cory BookerCory Anthony BookerCastro hits fundraising threshold for December debate The Hill's 12:30 Report: Pelosi says House will move forward with impeachment Booker: Primary voters 'being denied' their candidates of choice MORE (D-N.J.) and Bernie SandersBernie SandersTrump to hold campaign rally in Michigan Castro hits fundraising threshold for December debate Buttigieg draws fresh scrutiny, attacks in sprint to Iowa MORE (I-Vt.) on Friday introduced a bill that would create a new federal agency focused on controlling the costs of prescription drugs. 

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The Prescription Drug Affordability and Access Act would form the Bureau of Prescription Drug Affordability and Access. 

The 2020 Democratic hopefuls were joined by fellow White House contender Sen. Kamala HarrisKamala Devi HarrisCastro hits fundraising threshold for December debate Poll: Majority of voters name TV as primary news source Buttigieg: Harris 'deserves to be under anybody's consideration' for vice president MORE (D-Calif.) as sponsors of the legislation. 

One of the main tenants of the proposal is that if a drug company did not comply with the regulations, it would void exclusivity protections, allowing other companies to produce generic copies of a drug.

The senators noted the legislation is one of the few bills to directly address a drug's list price, which is the cost before any discounts or rebates and is usually only paid by the uninsured. 

Under the bill, manufacturers planning to bring a new drug to the market would have to submit to the bureau the cost of research and development, the cost of the drug and of comparable medications in other countries and the federal investments that contributed to the drug's discovery and production.

The Bureau would review that information and other factors to determine an appropriate list price. 

The legislation is one of many ideas and legislation proposed to try to bring down prescription drug prices but is one of the most drastic introduced to date.

There is bipartisan interest in lowering the cost of prescription drugs, and President TrumpDonald John TrumpTrumps light 97th annual National Christmas Tree Trump to hold campaign rally in Michigan 'Don't mess with Mama': Pelosi's daughter tweets support following press conference comments MORE has made it a signature priority. But while Trump and lawmakers have railed against high drug prices and proposed some steps to address the issue, there have not been any major actions taken to date that have resulted in lower prices.

House Democrats are expected to vote next month on Speaker Nancy PelosiNancy Pelosi 'Don't mess with Mama': Pelosi's daughter tweets support following press conference comments Bloomberg: Trump should be impeached On The Money: Congress races to beat deadline on shutdown | Trump asks Supreme Court to shield financial records from House Democrats | House passes bill to explicitly ban insider trading MORE's (D-Calif.) signature bill that would let Medicare negotiate drug prices. However, Republican opposition is likely to kill the bill in the Senate.

Senate Majority Leader Mitch McConnellAddison (Mitch) Mitchell McConnellDemocratic challenger to Joni Ernst releases ad depicting her as firing gun at him Senate confirms eight Trump court picks in three days The case for censuring, and not impeaching, Donald Trump MORE (R-Ky.) has not given his support to even a more modest bipartisan drug pricing measure from Sen. Chuck GrassleyCharles (Chuck) Ernest GrassleyHouse to vote next week on sweeping bill to lower drug prices Trump escalates fight over tax on tech giants Falling impeachment support raises pressure for Democrats on trade MORE (R-Iowa) and Sen. Ron WydenRonald (Ron) Lee WydenHouse to vote next week on sweeping bill to lower drug prices Trump escalates fight over tax on tech giants Trump administration proposes tariffs on .4B in French goods MORE (D-Ore.).

Other 2020 candidates have spoken favorably of using so-called march-in rights to break a drug company's exclusive patent and allow a cheaper version from a competitor if a drug is priced too high. 

The agency is modeled after Canada's Patented Medicine Prices Review Board, which reviews whether a medication is overpriced, comparing the cost to similar medicines in other countries. 

Updated at 8:59 a.m.