,i  #aafth ,,congress  #ast ,session    
,h4 ,r4 #bjch  ,,in ,,the ,,house ,,of  
,,representatives  ,april #b1 #bjai ,mr4
 ,meadows introduced the following bill2
 which was referred to the ,committee on
 the ,judiciary  ,a ,,bill  ,to allow   
,state-based1 market-oriented1          
prescription drug negotiations to lower 
pharmaceutical drug prices1 to encourage
 competition1 to increase consumer      
choice and access1 and for other        
purposes4  #a4 ,short title ,this ,act  
may be cited as the ,state-,based1      
,market-,oriented1 ,prescription ,drug  
,negotiations ,act of #bjai4  #b4       
,antitrust exemption for private health 
insurer issuers to negotiate wholesale  
acquisition prices of prescription drugs
 purchased from drug manufacturers ,it  
shall not be a violation of the         
antitrust laws for one or more private  
health insurer issuers or their         
designated agents to jointly negotiate  
wholesale acquisition prices of a       
prescription drug with a manufacturer of

 a prescription drug with regards to the
 reimbursement policies of the insurers 
of the manufacturer's drugs so long as  
no one single wholesale acquisition     
price is jointly determined between the 
insurance issuers or their designated   
agents4  #c4 ,definitions ,for purposes 
of this ,act3 7#a7 ,antitrust laws ,the 
term antitrust laws has the meaning     
given it in subsection 7a7 of the #ast  
section of the ,clayton ,act 7#ae       
,u4,s4,c4 #ab7;a771 except that such    
term includes section #e of the ,federal
 ,trade ,commission ,act 7#ae ,u4,s4,c4 
#de7 to the extent such section #e      
applies to unfair methods of            
competition4  7#b7 ,health insurance    
issuer ,the term health insurance issuer
 means an insurance company1 insurance  
service1 or insurance organization      
7including a health maintenance         
organization1 as defined in paragraph   
7#c77 which is licensed to engage in the
 business of insurance in a ,state and  
which is subject to ,state law which    

regulates insurance 7within the meaning 
of section #ead7;b77#b7 of the ,employee
 ,retirement ,income ,security ,act of  
#aigd 7#bi ,u4,s4,c4 #aadd7;b77#b7774   
,such term does not include a group     
health plan4  7#c7 ,health maintenance  
organization ,the term health           
maintenance organization means--  7,a7 a
 federally qualified health maintenance 
organization 7as defined in section     
#cjj;e7a7 of title #db of the ,code of  
,federal ,regulations71  7,b7 an        
organization recognized under ,state law
 as a health maintenance organization1  
or  7,c7 a similar organization         
regulated under ,state law for solvency 
in the same manner and to the same      
extent as such a health maintenance     
organization4  7#d7 ,manufacturer ,the  
term manufacturer means anyone who is   
engaged in manufacturing1 preparing1    
propagating1 compounding1 processing1   
packaging1 repackaging1 or labeling of a
 prescription drug4  7#e7 ,prescription 
drug ,the term prescription drug means  

any human drug required by ,federal law 
or regulation to be dispensed only by a 
prescription1 including finished dosage 
forms and active ingredients subject to 
section #ejc7;b7 of the ,federal ,food1 
,drug1 and ,cosmetic ,act 7#ba ,u4,s4,c4
 #cec7;b774  #d4 ,effective date ,this  
,act shall take effect on the date of   
the enactment of this ,act but shall not
 apply with respect to conduct that     
occurs before such date4