WASHINGTON, D.C. — U.S. Senators Peter Welch (D-Vt.) and Amy Klobuchar (D-Minn.) reintroduced the Strengthening Medicare and Reducing Taxpayer (SMART) Prices Act, legislation to expand Medicare negotiation of drug prices to lower drug costs for consumers, reduce federal spending, and give the U.S. Department of Health and Human Services (HHS) stronger tools to negotiate lower drug prices in Medicare Part B and Part D. 

This Senators’ legislation builds on their provision passed into law in 2022 which empowered Medicare to negotiate prescription drug prices for the first time, unleashing the power of 53 million seniors enrolled in Medicare Part D Drug Coverage. The SMART Prices Act would extend this progress by more than doubling the number of prescription drugs Medicare must negotiate to a minimum of 50 per year, allowing the most costly prescription drugs and biologics to have negotiated prices five years after approval by the U.S. Food and Drug Administration (FDA), and by increasing the discount that Medicare is allowed to negotiate. 

“Far too many Americans struggle to pay for the prescription drugs they need,” said Senator Welch. “I’m proud to partner with my friend and colleague, Senator Klobuchar, and reintroduce the SMART Prices Act. This bill will build on the Inflation Reduction Act by giving Medicare the ability to negotiate the prices of more prescription drugs and lower the cost of the prescription drugs Vermonters need, faster.”  

“No one should have to choose between putting food on the table and affording their medications. This bill builds on our progress to lower prescription drug costs by accelerating Medicare’s ability to negotiate prices for more drugs on behalf of the American people,” said Senator Klobuchar. “We will make prescriptions more affordable and save taxpayers more money by continuing to take on Big Pharma’s price gouging.” 

According to preliminary estimates from a model by West Health and Verdant Research, if the SMART Prices Act was enacted in 2026, it would save 33% more by 2030 than current law. It would also allow Medicare to begin negotiations earlier and bring down the price of more expensive drugs.  

In addition to Senators Welch and Klobuchar, the SMART Prices Act is cosponsored by Senators Tammy Baldwin (D-Wis.), Michael Bennet (D-Colo.), Richard Blumenthal (D-Conn.), Cory Booker (D-N.J.), Maria Cantwell (D-Wash.), Catherine Cortez Masto (D-Nev.), Tammy Duckworth (D-Ill.), Dick Durbin (D-Ill.), John Fetterman (D-Pa.), Kirsten Gillibrand (D-N.Y.), Maggie Hassan (D-N.H.), Martin Heinrich (D-N.M.), Angus King (I-Maine), Ben Ray Luján (D-N.M.), Ed Markey (D-Mass.), Jeff Merkley (D-Ore.), Chris Murphy (D-Conn.), Patty Murray (D-Wash.), Jack Reed (D-R.I.), Jeanne Shaheen (D-N.H.), Elissa Slotkin (D-Mich.), Tina Smith (D-Minn.), Chris Van Hollen (D-Md.), Elizabeth Warren (D-Mass.), and Sheldon Whitehouse (D-R.I.). 

“Hard-working Nevadans often struggle to afford the high prices of the medications that they rely on,” said Senator Cortez Masto. “This common-sense fix builds on the legislation, passed and signed into law by Democrats, that caps insulin at $35 a month and allows Medicare to negotiate drug prices. We will continue to deliver real solutions that lower costs for American families and end Big Pharma’s price gouging.” 

“People in the United States are paying four times more than people in similar countries pay for life-saving medications,” said Senator Durbin. “Democrats took the first step to address this issue three years ago by passing the Inflation Reduction Act, to enable Medicare to negotiate with Big Pharma to lower costs for seniors—while every Republican opposed these savings. Now, instead of focusing on lowering prices for Americans, Republicans in Congress are focused on cutting Medicaid to give tax breaks to billionaires. Senate Democrats are introducing the SMART Prices Act tohelp lower the outrageous cost of prescription drugs, expand on the progress we have made, and improve health care for Americans.”  

“No one should be forced to choose between paying for lifesaving prescription drugs and putting food on the table,” said Senator Gillibrand. “This vital, commonsense legislation would help lower the unacceptably high cost of prescription medication for seniors on Medicare. I’m proud to champion this effort, and I look forward to working with my colleagues to get it passed.” 

“In 2023, my colleagues and I took on Big Pharma and moved to help lower prescription drug costs by finally allowing Medicare to negotiate the price of medications. But rather than build upon this important work, the Trump Administration wants to add loopholes and exemptions that weaken this program and result in higher prices for patients,” said Senator Hassan. “This legislation rejects the Trump Administration’s handouts to Big Pharma and instead accelerates the drug price negotiation efforts that will help more people afford the medications that they need.”   

“While the Trump Administration and Congressional Republicans work to gut Medicare to give massive tax handouts to billionaires like Elon Musk, I’m fighting to protect and strengthen Medicare for New Mexicans,” said Senator Heinrich. “I’m proud to co-sponsor legislation that will lower health care costs by making more prescription drugs affordable for New Mexico’s seniors enrolled in Medicare.” 

“Lifesaving prescription medications shouldn’t break the bank,” said Senator King.“Expanding Medicare’s ability to negotiate drug prices will go a long way toward helping Maine people get the medication they need at a price they can afford. The SMART Prices Act is a commonsense step that will help Maine people save money and stay healthy, and I thank my colleagues for putting Maine people first.” 

“No one should have to choose between paying for life-saving medication and putting food on the table. At a time when President Trump’s tariffs threaten to raise prices on everyday goods and medicine, the SMART Prices Act is more important than ever for New Mexican families,” said Senator Luján. “That’s why I’m proud to join my colleagues in introducing this legislation to lower prescription drug costs by strengthening Medicare’s ability to negotiate prices, helping Americans afford the medications they rely on.” 

“The amount of money Minnesotans are paying for their medications is out of control & unsustainable,” said Senator Smith. “This legislation would empower Medicare to negotiate lower prices, faster — and for more prescription drugs. And yet here we are, with President Trump and Congressional Republicans sabotaging Medicare’s power to negotiate lower drug prices at every turn, all while raising prices for seniors and giving handouts to Big Pharma. I’ll keep working to get this bill passed and make sure everyone has access to the medication they need.” 

“No one should ever have to decide between filling a life-saving prescription and putting gas in the tank or food on the table,” said Senator Merkley. “The Inflation Reduction Act was an important step forward to make sure Americans get the best price, not the worst, for several prescription drugs. President Trump has said he wants to lower drug costs for families and seniors across America, and Senate Democrats are offering real proposals to crack down on Big Pharma’s sky-high drug prices.” 

“Drug companies have had a free pass to gouge seniors for decades and people in Connecticut are paying the price,” said Senator Murphy. “It’s time to put an end to the price games. This legislation would give the federal government power to negotiate drugs more quickly after they are approved and with more substantial cost-savings for patients. It’s time to stop the abuse.” 

“The prices Americans pay for many medications that treat cancer, diabetes, and other common conditions have actually gone down in recent years thanks to the law Democrats passed in 2022 that forced Big Pharma to the negotiating table with Medicare for the first time ever,” said Senator Murray. “The SMART Prices Act would build on that important progress and expand these savings to more medications, and more people. Donald Trump is lying and making empty promises when it comes to lowering drug costs—meanwhile Republicans are pushing to pass a mega-bill that would rip away health care from millions of people. I’m going to keep fighting to make sure no person is forced to choose between putting food on the table and buying life-saving medication.”     

“No one should have to choose between medicine and groceries. Multi-billion-dollar drug corporations are making obscene profits off of seniors and working families struggling just to get by,” said Senator Fetterman. “The SMART Prices Act is not complicated: it will boost Medicare’s ability to negotiate fair deals with pharmaceutical companies and bring drug prices down. Big Pharma lobbyists might hate it, but regular people sure as hell won’t.” 

“One of the biggest expenses for seniors on fixed incomes is prescription drug costs. I helped include provisions in the Inflation Reduction Act to lower the prices seniors pay at the pharmacy counter. The SMART Prices Act builds on this progress by strengthening Medicare’s ability to use bulk purchasing power to negotiate lower prices,” said Senator Reed. 

“Through the Inflation Reduction Act, we stood up to Big Pharma and took important steps to lower health care costs for seniors – empowering Medicare to negotiate lower prices for medications that millions of older Americans rely on. But there’s more we can do. This legislation expands Medicare’s negotiating leverage to cut the prices of even more drugs – a commonsense way to provide more health care cost relief for seniors while saving billions in taxpayer dollars,” said Senator Van Hollen. 

“While Republicans in Congress are jamming through a bill that would rip health care away from 14 million Americans and raise drug prices for seniors, we’re doubling down on lowering drug prices and cutting costs for families. We’ll keep fighting to make sure people have access to the life-saving care and medications they need,” said Senator Warren. 

 “As Republicans move to cut health care, Democrats are working to lower health care and prescription drug costs for our nation’s seniors,” said Senator Whitehouse. “Our SMART Prices Act will build on progress made in our Inflation Reduction Act and strengthen Medicare’s ability to negotiate drug prices, providing welcome relief to seniors living on fixed incomes.” 

The bill is endorsed by Center for American Progress, FamiliesUSA, Patients For Affordable Drugs NOW, Protect Our Care, and Public Citizen.  

“The SMART Prices Act builds on the progress of the Inflation Reduction Act to help bring down today’s exorbitant prescription drug prices,” said Andrea Ducas, Vice President of Health Policy at the Center for American Progress. “The bill is an important step forward in holding pharmaceutical companies accountable and ensuring seniors are paying fair and affordable prices for life-saving medications.” 

“One in three Americans can’t afford their prescription drugs. We hear from patients every day who are rationing medication or skipping doses because of high drug costs. The SMART Prices Act is a welcome step that builds on the historic drug price reforms in the Inflation Reduction Act byincreasing the number of drugs subject to Medicare negotiation – a proposal that has broad support from Americans on both sides of the aisle. We are grateful to Senator Klobuchar for her tireless leadership on this critical issue and are eager to expand Medicare negotiation to secure a better deal for more patients on Medicare,” said Merith Basey, Executive Director of Patients For Affordable Drugs Now. 

“Senators Klobuchar and Welch are fighting for seniors and their families by bringing down the high cost of prescription drugs,” said Protect Our Care Chair Leslie Dach. “Americans across the political spectrum support Medicare’s ability to negotiate drug prices and want to see the program expand. Instead, Trump and his cronies in Congress are charging ahead with their budget that not only guts Medicaid and the Affordable Care Act to fund billionaire tax breaks, but hands billions in give-aways over to Big Pharma. The contrast couldn’t be more clear. If Republicans are serious about wanting to lower drug prices and save taxpayer dollars, they should join Senators Klobuchar and Welch in passing the SMART Prices Act and deliver real, lasting relief for the American people.” 

“The SMART Prices Act would save billions of dollars by empowering Medicare to negotiate lower prices for more patients sooner. We applaud Senators Klobuchar, Welch, and cosponsors for their leadership. Congressional Republicans should follow their lead instead of seeking to undermine Medicare drug price negotiations and take away health insurance from millions of our society’s most vulnerable people,” said Robert Weissman, Co-President of Public Citizen. 

Learn more about the SMART Prices Act. 

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