Alliance for Retired Americans Issues Statement on Prescription Drug Prices

WASHINGTON, May 11 -- The Alliance for Retired Americans issued the following statement by Executive Director Richard Fiesta after the release of President Trump's plan to reduce prescription drug prices:

"President Trump's prescription drug price proposal is anemic. By leaving out the most potent weapon to combat skyrocketing prices, allowing Medicare to negotiate prices with pharmaceutical corporations, he's broken his oft-stated campaign promise. We are outraged that he has chosen to side with the powerful multinational pharmaceutical corporations and against American retirees and consumers.

"Drug price negotiation works for the Veterans Administration and Medicaid, saving taxpayers millions each year. It makes no sense to continue to prevent Medicare from doing the same on behalf of its 55 million beneficiaries. Pharmaceutical corporations received a huge windfall in the 2018 tax bill, and this proposal ensures their profits will increase even further.

"The administration's approach consists largely of encouraging increased use of generic prescription drugs, increasing competition and creating nonspecific incentives for lower list prices. Medicare Part D's 20 most prescribed drugs have seen a 12 percent price increase, while another six saw hikes over 100 percent. We need strong actions that get to the root of the issue, not just rhetoric.

"Most seniors will not see any changes in what they are charged for their medicines if this plan is enacted. They need relief now, including what was promised during the 2016 campaign."