SMART Prices Act
Sponsored By: Senator Amy Klobuchar
Introduced
Summary
Expands and accelerates Medicare drug price negotiations. This bill would enlarge the pool of drugs that Medicare can negotiate, shorten how long a drug must be single-source before qualifying, and change the caps used to set maximum fair prices beginning in 2028.
Show full summary
- Medicare beneficiaries: More medicines could be chosen for negotiation starting in 2028, raising the annual count to 50 negotiation-eligible drugs instead of 15 and removing the prior schedule set in the law.
- Drug manufacturers: Single-source drugs would reach negotiation eligibility much sooner, cutting one exclusivity track from 7 years to 3 years and another from 11 years to 3 years.
- Price mechanics and timing: The bill recalibrates the Ceiling for Maximum Fair Price to 76 percent for one tier, 55 percent for another, and 30 percent for the lowest tier. The changes apply to initial price applicability years beginning in 2028.
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Bill Overview
Analyzed Economic Effects
2 provisions identified: 1 benefits, 0 costs, 1 mixed.
More Medicare drug price negotiation
If enacted, Medicare could pick up to 50 drugs for price negotiation starting in initial price years that begin in 2028. The bill would shorten the wait for some single-source drugs so they can be negotiated after 3 years instead of 7 or 11. If you use one of these drugs, Medicare-negotiated prices could lower your out-of-pocket costs and reduce Medicare spending.
Medicare maximum drug price ceilings
If enacted, the bill would change the percentage ceilings used to set Medicare's Maximum Fair Price for negotiated drugs starting in initial price years that begin in 2028. It would set tier ceilings at 76%, 55%, and 30% for different pricing categories. Because one ceiling rises slightly and two fall, some negotiated prices could go up and others could go down.
Sponsors & CoSponsors
Sponsor
Amy Klobuchar
MN • D
Cosponsors
Peter Welch
VT • D
Sponsored 5/21/2025
Tina Smith
MN • D
Sponsored 5/21/2025
Angus King
ME • I
Sponsored 5/21/2025
Maria Cantwell
WA • D
Sponsored 5/21/2025
John Reed
RI • D
Sponsored 5/21/2025
Sheldon Whitehouse
RI • D
Sponsored 5/21/2025
Tammy Duckworth
IL • D
Sponsored 5/21/2025
Elizabeth Warren
MA • D
Sponsored 5/21/2025
Kirsten Gillibrand
NY • D
Sponsored 5/21/2025
Jeff Merkley
OR • D
Sponsored 5/21/2025
Patty Murray
WA • D
Sponsored 5/21/2025
Richard Blumenthal
CT • D
Sponsored 5/21/2025
Jeanne Shaheen
NH • D
Sponsored 5/21/2025
Catherine Cortez Masto
NV • D
Sponsored 5/21/2025
Tammy Baldwin
WI • D
Sponsored 5/21/2025
Cory Booker
NJ • D
Sponsored 5/21/2025
Chris Van Hollen
MD • D
Sponsored 5/21/2025
Richard Durbin
IL • D
Sponsored 5/21/2025
Christopher Murphy
CT • D
Sponsored 5/21/2025
John Fetterman
PA • D
Sponsored 5/21/2025
Edward Markey
MA • D
Sponsored 5/21/2025
Sen. Luján, Ben Ray [D-NM]
NM • D
Sponsored 5/21/2025
Maggie Hassan
NH • D
Sponsored 5/21/2025
Martin Heinrich
NM • D
Sponsored 5/21/2025
Elissa Slotkin
MI • D
Sponsored 5/21/2025
Michael Bennet
CO • D
Sponsored 5/21/2025
Roll Call Votes
No roll call votes available for this bill.
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