After calling for a congressional hearing last week on the outrageous cost increases by Mylan corporation for the price of the EpiPen, today U.S. Rep. Kathy Castor (FL14) cosponsored bipartisan and bicameral legislation to address skyrocketing prescription drug price increases by corporations. The FAIR Drug Pricing Act would require basic transparency for pharmaceutical corporations that increase drug prices by more than 10 percent a year.

“We must work to ensure that life-saving treatments are never out of reach for all of our neighbors and especially our most vulnerable,” U.S. Rep. Castor said. “U.S. prescription drug spending has already reached a record high of $425 billion in 2015, with expectations that such spending will surpass $600 billion by 2020. The ‘hands off’ approach in the Republican-led Congress has allowed pharmaceutical corporations to stick it to consumers and that must stop. ”

The FAIR Drug Pricing Act would require drug manufacturers to notify the U.S. Department of Health & Human Services and submit a transparency and justification report 30 days before they increase the price of certain drug products by more than 10 percent. The report will require manufacturers to provide a justification for each price increase, manufacturing, research and development costs for the qualifying drug, net profits attributable to the qualifying drug, marketing and advertising spending on the qualifying drug, and other information.‎

Last week, U.S. Rep. Castor called for a hearing on the rising price of EpiPen, calling the hike from $100 in 2007 to today’s price of more than $600 “unconscionable” and a “prime example of unseemly profiteering.” She also stated, “We must bring transparency and accountability to the issue by holding a hearing in our committee and working to ensure that all Americans have access to this life-saving treatment at an affordable cost.”‎ U.S. Rep. Castor also is sponsor of (1) H.R.2005, the Medicare Drug Savings Act of 2015, which requires drug manufacturers to restore rebates for rebate eligible (low-income) individuals or else be excluded from Medicare coverage as a part D, and (2) HR 3061, the Medicare Prescription Drug Price Negotiation Act of 2015, which directs the HHS to negotiate with pharmaceutical manufacturers the prices that may be charged to Medicare part D prescription drug plan (PDP) sponsors and Medicare Advantage (MA) organizations for covered part D drugs for part D eligible individuals who are enrolled under a PDP or under an MA-Prescription Drug plan.

American families, taxpayers and our health care system are footing the bill for these price increases. The taxpayer-funded Medicare Part D program saw its total drug costs increase from $104 billion to $121 between 2013 and 2014.

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