Prescription Drug Transparency and Affordability Act

The Prescription Drug Transparency and Affordability Act would increase oversight of pharmacy benefit managers (PBMs), the intermediaries that operate between insurers, drug manufacturers, and pharmacies. The bill would require PBMs to disclose financial information related to prescription drug pricing and establish new reporting requirements for how drugs are priced, rebated, and reimbursed. It would also mandate that the Department of Health and Human Services make all reports publicly available so patients, employers, and policymakers can access pricing information.

Organizations that fail to provide required reports or submit false information would face penalties of up to $100,000 per violation. The bill aims to bring transparency to the prescription drug pricing system, which supporters argue would help patients and employers make better-informed decisions about medications. A similar bill from a previous Congress was estimated by the Congressional Budget Office to save consumers approximately $2.3 billion over 10 years. The bill is currently in committee and has not yet advanced further in the legislative process.