Washington, DC — This week, Congresswoman Lucy McBath (GA-06) introduced the bipartisan Net Effective Cost Transparency and Prescription Drug Affordability Act of 2026, legislation to increase transparency and competition in the pharmacy benefit manager (PBM) market and help lower prescription drug costs. The bill is co-led by Representatives Ryan Mackenzie (PA-07), Jake Auchincloss (MA-04), Rick Allen (GA-12), and Carol Miller (WV-01).
PBMs serve as middlemen between health plans, pharmacies, and drug manufacturers and play a major role in determining prescription drug costs. However, rebates, discounts, fees, and other payments can make it difficult for health plans to determine what they are actually paying for prescription drugs.
The legislation introduced this week would require greater transparency around the “net effective cost” of prescription drugs — essentially, what drugs actually cost after rebates, discounts, fees, and other price concessions are taken into account. By allowing PBM bids to be compared on a more consistent basis, the bill would promote greater competition and accountability across Medicare, Medicare Advantage, and employer-sponsored health plans.
“Families in Georgia and across this country are struggling with the high cost of prescription drugs. Convoluted PBM bidding practices have continued far too long without the safeguards in place to protect patients,” said Congresswoman McBath. “This bill would help to simplify a complicated process and allow Americans access to health plans that work for them, not a PBM’s bottom line.”
“Families and seniors in the Lehigh Valley and the Poconos deserve real transparency when it comes to what they pay for prescription drugs,” said Congressman Mackenzie. “Our bipartisan legislation will make it easier to understand the true cost after rebates, discounts, and fees are taken into account. By increasing transparency and competition among PBMs, we can help lower costs and ensure patients and health plans are getting a better deal.”
“Healthcare is too complicated and drug pricing is the most complicated of all. This legislation pours sunlight into the inner workings of bids & prices, so that lower prices, not higher rebates, is what wins,” said Congressman Auchincloss.
“The Net Effective Cost Transparency and Prescription Drug Affordability Act is a continuation of our work to hold PBMs accountable and increase drug price transparency for America’s families and seniors. Unfortunately, overly expensive prescription drugs are often a direct result of harmful PBM practices. This bipartisan effort will help address the rising cost of prescription drugs and provide relief for patients who have faced this financial burden for far too long,” said Congressman Rick W. Allen.
“Patients should not have to navigate a maze of rebates, fees, and hidden costs to understand what they are paying for their prescriptions. The Net Effective Cost Transparency and Prescription Drug Affordability Act brings much-needed transparency to the PBM market and helps ensure that competition is driven by lower costs, not complicated pricing arrangements. I am proud to support this bipartisan effort to give patients and health plans greater clarity and help make prescription drugs more affordable for West Virginians,” said Congresswoman Miller.
Read the full bill text HERE.
