WASHINGTON, D.C. — U.S. Senator Peter Welch (D-Vt.), a member of the Senate Finance Committee, and Finance Committee Ranking Member Ron Wyden (D-Ore.) introduced the Repealing the Trump Sick Tax Act, legislation to repeal changes to Medicaid cost-sharing requirements and handouts to Big Pharma in the Republicans’ reconciliation tax and spending bill. The bill would repeal the “sick tax” imposed by President Trump and Congressional Republicans’ so-called ‘One Big Beautiful Bill’ Act (OBBBA), which forces Medicaid enrollees to pay an out-of-pocket fee every time they need to see a provider.
The bill would also repeal provisions in the OBBBA which exclude certain drugs from the Medicare drug price negotiation program and allow pharmaceutical companies to evade accountability for high-price prescription drugs.
“In more ways than one, Republicans’ so-called ‘One Big Beautiful Bill’ has been a major win for the ultra-wealthy and a disaster for working class Americans. President Trump’s ‘sick tax’ is a prime example—forcing seniors, children, and working families already struggling to make ends meet to pay out of pocket for vital care. It defies common sense. But what’s truly unconscionable is that Republicans did this knowing that they’d be pushing health care further out of reach for hardworking families while giving Big Pharma another handout,” said Senator Welch. “We must right this wrong. Our bill repeals Trump’s cruel ‘sick tax’ to ensure everyone can get the care they need.”
“Republicans made a devil’s bargain when they choose to give a payday to Big Pharma while forcing low-income Americans to pay more for everyday health care,” said Senator Wyden. “Americans who are already sick will fall behind even more thanks to Trumpcare. Republicans have gotten their health care priorities exactly backwards, and I’m pleased to be joining Senator Welch in an effort to put affordable health care for working families ahead of Big Pharma’s profit margin.”
More than 15 million Americans stand to lose health insurance coverage as a result of the OBBBA, representing the largest-ever loss of health insurance coverage due to federal policy. The bill is also set to drastically raise health care costs for hardworking families and weaken Medicare’s ability to negotiate lower drug prices for seniors—all to secure tax cuts for billionaires and give handouts to Big Pharma.
The OBBBA directs states to impose new cost-sharing requirements of up to $35 per service for certain Medicaid enrollees before they can see a provider or visit a hospital. The bill also explicitly allows providers to refuse to provide care to Medicaid enrollees if they are unable to pay the cost-sharing requirement. In consequence, patients who are unable to afford this new “sick tax” may chose to forgo care, making them sicker and oftentimes in need of even more expensive health care later.
The Repealing the Trump Sick Tax Act is endorsed by Patients for Affordable Drugs and Protect Our Care.
“The ORPHAN Cures Act was an unnecessary $5 billion handout to Big Pharma,” said Merith Basey, Executive Director, Patients For Affordable Drugs Now. “This targeted fix restores integrity to the Medicare Negotiation Program – a reform supported by Americans across party lines – at a time when patients are demanding even stronger action from Congress to lower drug prices. Patients enthusiastically support the repeal of the ORPHAN Cures Act, and we thank Senators Welch and Wyden for standing with patients over Big Pharma.”
“Senators Welch and Wyden are taking an important step to roll back some of the most harmful provisions of Donald Trump and Republicans’ health care cuts,” said Leslie Dach, Chair, Protect Our Care. “Because of Republicans, prescription drug prices and out-of-pocket costs are set to skyrocket for those who can least afford it, leaving them nowhere to turn for life-saving medications and care. The Repeal Trump Sick Tax Act is a vital step toward combating the GOP War on Health Care and protecting the health and dignity of millions.”
Senator Welch has championed bipartisan initiatives to protect Medicaid and lower prescription drug prices for Vermonters. Earlier this month, Senator Welch voted in strong opposition against Republicans’ disastrous ‘One Big Beautiful Bill Act.’ In May, Senator Welch denounced President Trump’s disastrous budget plan to limit ACA Premium Tax Credits, which help low- and moderate-income Vermonters access health coverage.
Senator Welch also recently spoke on the Senate floor about how health care is at risk for millions, and challenged President Trump to join him and Senator Josh Hawley (R-Mo.) in working to lower prescription drug prices through his recently introduced Fair Prescription Drug Prices for Americans Act.
This Congress, Senator Welch has led the introduction of several bills to make health care more accessible and affordable for Vermonters, including the Strengthening Medicare and Reducing Taxpayer (SMART) Prices Act, Fair Prescription Drug Prices for Americans Act, End Price Gouging for Medications Act, Creating Opportunities Now for Necessary and Effective Care Technologies (CONNECT) for Health Act, Protecting Pharmacies in Medicaid Act, Fair Funding for Rural Hospitals Act, and the Rural Hospital Support Act.
Learn more about the Repealing the Trump Sick Tax Act.
Read and download the full text of the bill.
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