Bill to Reduce Drug Waste Saves Taxpayer Money

Washington, D.C.— Today, U.S. Congressman Lloyd Doggett (D-TX35) and Congresswoman Chellie Pingree (D-ME1) introduced the Reducing Drug Waste Act, a bicameral bill to reduce single use drug waste and save taxpayer money. An identical version of the Reducing Drug Waste Act, a bipartisan bill, was introduced in the Senate by Senators Amy Klobuchar (D-MN) and Chuck Grassley (R-IA).

The United States spends millions of dollars each year on prescription drugs that go to waste due to the size of single-use vials or other drug delivery systems. A 2016 study found that Medicare and private insurers waste billions each year on cancer drugs due to vial sizes that are too large – the drugs are ultimately discarded. Recently, pharmaceutical companies have been chargedwith federal crimes for repackaging these leftover drugs and illegally reselling them, risking cancer patients' health and wellbeing.

"Wasted medications waste taxpayer money and burden consumers," said Congressman Doggett. "While Americans are forced to spend an excessive amount on prescriptions, pharmaceutical companies are producing oversized drug vials. This legislation will require federal agencies to investigate this inefficient use of resources and develop an action plan to reduce drug waste and spending."

"Every day, millions of Americans have to make a choice between their prescriptions and other basic needs," said Congresswoman Chellie Pingree (D-Maine). "It's unconscionable to me that, given how many people are struggling with high drug prices, we're still wasting so much product through inefficient packaging. Our common sense bill would push FDA and CMS to study this issue and come up with an action plan to cut down on waste."

The Department of Health and Human Services (HHS) Office of the Inspector General (OIG) has found that using different vial sizes in addition to those currently approved could significantly reduce the amount of drug waste. OIG analyzed 20 single-use vial drugs and found Medicare Part B program wasted $195 million on discarded drugs.

The Reducing Drug Waste Act would require the Food and Drug Administration (FDA), in coordination with the Centers for Medicare and Medicaid Services (CMS), to develop a Joint Action Plan to reduce drug waste and better manage costs with respect to drug vial sizes and other drug delivery systems.

The bill would require the FDA and CMS:

• Consult with healthcare providers and patient advocates (including relevant Federal advisory committees).
• Utilize data from Medicare claims on how much of a single‐use drug was not administered.
• Examine single‐use vial sizes in other countries.
• Analyze the drug approval process for alternative vial size safety and efficacy approaches.
• Submit a report to Congress within one year that includes the Joint Action Plan and recommendations for any legislative action needed to reduce drug waste and better manage costs with respect to drug vial sizes and other drug delivery systems.

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