Daily on Healthcare: Trump administration will make drug companies post prices in commercials

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DRUG COMPANIES WILL HAVE TO POST THEIR LIST PRICES IN ABOUT TWO MONTHS: The Trump administration will require prescription drug companies to post prices in TV commercials, a move that is expected to trigger lawsuits over free speech.

Health and Human Services Secretary Alex Azar called the rule, released Wednesday, the “single most significant step” any administration had taken in letting the public know how much medical goods and services cost. The administration hopes that having companies list prices will cause them to go down.

“If you’re ashamed of your drug prices, change your drug prices,” Azar said. “It’s that simple.”

How it works: Drug companies will be forced to follow the rule in about two months, and it will apply to drugs that cost more than $35 for a 30-day supply of medicines. They are allowed to notify viewers that the drug may cost less depending on what type of health insurance coverage they have. The law won’t be enforced by the Food and Drug Administration, which regulates drugs, but by competitors who can sue for deceptive trade practices.

The controversy: Drug companies have pushed back on the idea of posting their prices, saying that the government forcing them to do so violates the First Amendment. The pharmaceutical industry argues that list prices are different than what most consumers pay, because health insurers, hospitals, or the government negotiate what actual spending will be.

Johnson & Johnson earlier this year began posting prices for its blood thinner Xarelto ahead of the Trump administration’s announcement, while others have included websites telling viewers where they could find more information about pricing. Azar made it clear in a phone call with reporters Wednesday that linking to a drug’s website, rather than posting the prices, would be a violation of the Trump administration’s rule.

Good morning and welcome to the Washington Examiner’s Daily on Healthcare! This newsletter is written by senior healthcare reporter Kimberly Leonard (@LeonardKL) and healthcare reporter Cassidy Morrison (@CassMorrison94). You can reach us with tips, calendar items, or suggestions at [email protected]. If someone forwarded you this email and you’d like to receive it regularly, you can subscribe here.

RIP ROBERT PEAR, NYT HEALTHCARE REPORTER: Longtime New York Times healthcare reporter Robert Pear died Tuesday in Rockville, Md., at the age of 69, following complications from a stroke. Pear wrote more than 6,700 bylines for the New York Times. “His reporting — exacting, authoritative and closely read, particularly in Washington — spoke volumes,” the New York Times wrote in his obituary.

WAYS AND MEANS CONSIDERS PAID FAMILY LEAVE: The House Ways and Means Committee for the first time on Wednesday is holding a hearing on paid family leave, a priority that has the strong backing of first daughter and senior White House adviser Ivanka Trump.

“We’re not looking for a messaging bill, but working in earnest to develop bipartisan #PaidFamilyLeave policy that can garner the votes to be passed into law…and we’re making real progress towards that goal!” Ivanka Trump tweeted Tuesday.

The hearing comes as Republicans have introduced two bills that would let new parents take from their Social Security in exchange for delaying retirement, and another proposal in the House that would allow them to use health savings accounts. Most Democrats support a plan to fund parental and sick leave through a payroll tax, as some states have done.

MANCHIN, COLLINS URGE DOJ TO RETHINK OBAMACARE STANCE: Two of the most bipartisan members of Congress teamed up to ask Attorney General William Barr to reverse course and have the Trump administration defend Obamacare in a lawsuit seeking to undo it. Sens. Susan Collins, R-Maine, and Joe Manchin, D-W.Va., wrote in their letter that “it is no exaggeration to say that this is a matter of life and death to many of these Americans.”

OBAMACARE CUSTOMERS STAY ON EVEN WITHOUT PENALTY: An analysis released Tuesday of state exchanges, including Covered California, the Massachusetts Health Connector, and the Washington Health Benefit Exchange, found that more Obamacare customers than before are staying on their plans even despite the zeroing out of the individual mandate. In each of the states, roughly 90% of customers kept their plans, meaning that they were paying their premiums. The report didn’t detail what percentage of the customers are getting help from the federal government, but as is true every year, the majority who buy coverage from an exchange receive subsidies. Some customers pay $0 a month in premiums because the federal government takes on the costs.

KIRSTEN GILLIBRAND VOWS TO NOMINATE PRO-ABORTION JUDGES IF SHE BECOMES PRESIDENT: Sen. Kirsten Gillibrand, D-N.Y., on Tuesday took the unusual step of formally pledging to appoint pro-abortion judges should she win the White House next year. “I’m announcing that as president, I will only nominate judges — including Supreme Court justices — who will commit to upholding Roe v. Wade as settled law and protect women’s reproductive rights,” Gillibrand wrote in a blog post announcing her campaign platform.

VERMONT BACKS STATE CONSTITUTIONAL AMENDMENT PROTECTING ABORTION: Vermont approved legislation Tuesday that would modify the state’s constitution to ensure women can continue to receive abortions in the case that Roe is overturned or limited. The Vermont House voted in favor of the legislation, following approval from the Senate. The next elected legislature would also need to back the amendment, and then it would have to receive approval in a statewide vote in 2022 before taking effect.

FAMILY OF ROBERT F. KENNEDY JR. SAYS HE IS WRONG ON VACCINES: Kathleen Kennedy Townsend, Joseph P. Kennedy II, and Maeve Kennedy McKean all say RFK Jr. is “tragically wrong” to spread anti-vaccination messages. His family members say in a Politico article that his and others’ work against vaccinations for infectious diseases including measles “is having heartbreaking consequences,” and they condemned his attacks against health organizations working to reduce the rates of infectious diseases.

CDC SAYS MOST PREGNANCY-RELATED DEATHS ARE PREVENTABLE: In a Vital Signs report published Tuesday, the Centers for Disease Control and Prevention said that 3 of 5 pregnancy-related deaths are caused by preventable complications including heart disease, severe bleeding, and infection. Thirteen state maternal mortality committees agreed that each pregnancy-related death, 700 annually, is due in part to insufficient access to appropriate and high-quality care, missed or delayed diagnoses, and lack of knowledge among patients and providers around warning signs. Dr. Wanda Barfield, assistant surgeon general, said access to quality care is especially limited in rural areas, and that part of the CDC’s plan is to provide women in rural areas with specialized “risk-appropriate care” which includes updated equipment and specialists who have been trained to identify possibly fatal symptoms during and even after pregnancy.

LAW ENFORCEMENT STRETCHED BY HAVING TO HANDLE TO PSYCHIATRIC EMERGENCIES: The Treatment Advocacy Center published a survey showing the financial strain that addressing mental health emergencies have on law enforcement officers nationwide. The group surveyed 355 sheriffs’ offices and police departments across the country, most of which said they are overwhelmed by both the number of mental health emergencies they have to respond to as well as the frequent need to shuttle patients back and forth between treatment facilities. Participating offices reported about 21% of law enforcement staff time is spent responding to and transporting those in mental health crises. The survey shows that officers drove a total of 5,424,212 miles transporting individuals with serious mental illness in 2017 — the equivalent of driving around the Earth’s equator more than 217 times.

LAWSUIT SETTLED TO IMPROVE DISASTER PREPAREDNESS FOR DISABLED PEOPLE IN DC: After years of negotiations following a 2014 lawsuit that exposed District-wide emergency preparedness flaws that would especially affect those with disabilities, the District of Columbia and disability advocacy groups have settled the first-of-its-kind case to improve disaster preparedness plans for people with disabilities. The District has approved a three-year plan that includes such measures as establishing a Disability Community Advisory Group to work on emergency and evacuation plans, making emergency information for the public more accessible for when disaster strikes, making physical accessibility a priority in emergency shelters, and creating a plan to safely evacuate disabled persons from high-rise buildings.

NAVY TO DEPLOY HOSPITAL SHIP AMID ESCALATING TENSIONS IN VENEZUELA: The U.S. Navy is slated to deploy a hospital ship, USNS Comfort, to Latin America next month to provide humanitarian medical support to countries hosting Venezuelans who have fled their home country, the Pentagon announced Tuesday. The U.S. Navy ship will engage in a five-month humanitarian mission in the Caribbean, Central America, and South America, but it has yet to be determined which countries will host the Comfort during the mission.

The Rundown

Stat Facing pressure across Washington, drug industry courts pro-business Democrats

The Hill Trump directs health chief to work on allowing Florida to import cheaper drugs

The Washington Post Non-doctors can perform first-trimester abortions in Virginia, federal judge rules

The Associated Press Louisiana tests unapproved anti-addiction implant on inmates

Kaiser Health News Feds want to show health care costs on your phone, but that could take years

ABC News California health care union to protest Joe Biden fundraiser

Calendar

WEDNESDAY | May 8

10 a.m. 1100 Longworth. House Ways and Means Committee on paid family and medical leave. Details.

10 a.m. 2322 Rayburn. Energy and Commerce Committee Environment and Climate Change Subcommittee hearing on “Ban Asbestos Now: Taking Action to Save Lives and Livelihood.” Details.

10:15 a.m. 215 Dirksen. Senate Finance Committee hearing on “Medicare Physician Payment Reform After Two Years: Examining MACRA Implementation and the Road Ahead.” Details.

THURSDAY | May 9

10 a.m. 2322 Rayburn. Energy and Commerce Committee Health Subcommittee hearing on “Lowering Prescription Drug Prices: Deconstructing the Drug Supply Chain.” Details.

FRIDAY | May 10

1 p.m. National Press Club. 529 14th St. NW. Dr. Scott Gottlieb, former director of the Food and Drug Administration, speaks at headliners luncheon. Details.

TUESDAY | MAY 14

May 14-15. Hyatt Centric. Arlington, Va. Population Health Payer Plan Innovations for Medicaid, Medicare, and Duals. Details.

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