CFE Urges Trump to Freeze Biden's Midnight Regulations on Rx Drug Price Controls in Medicare

The following letter was sent today to President Trump: Today, the Biden Administration exposed 15 Medicare prescription medicines to price controls, enforced by the hammer of a 95 percent IRS excise tax. This tax, like any excise tax, will be borne by the end consumer—in this case, overwhelmingly seniors on fixed incomes. The only way to avoid this tax is for drug companies to comply with government price controls as called for by the Democrats’ flawed IRA law. Price controls don’t work and never have, and the IRA is no exception. They cause supply to dry up, as there is no incentive to make more product than is absolutely necessary. In the case of prescription medicines, price controls also mean no money for research into the next generation of cures and treatments. Ironically, many of the medicines on this list are recent examples of breakthrough medical miracles made possible by research dollars. All of them are medicines subject to the “pill penalty” tax. President Biden has chosen to saddle your administration with poison pill midnight regulations to impede implementation of your second term policies. We urge you to immediately freeze these sabotage maneuvers as you take office. Today’s attack on America’s seniors and the medicines they need should face the same fate.