Public Sector Healthcare Roundtable: June 22, 2026

The Centers for Medicare & Medicaid Services (CMS) issued a proposed rule that would establish a permanent framework for the Medicare Drug Price Negotiation Program (DPNP) beginning with the 2029 negotiation cycle, replacing the current sub-regulatory guidance-based approach. Further, the proposed rule outlines the proposed requirements for future negotiation cycles. Most of the provisions of the proposed rule codify existing CMS guidance, while the remaining provisions implement the Orphan Drug Exclusion provision from the One Big Beautiful Bill (H.R.1), address minor technical adjustments, and provide procedural clarifications.

In their press release, CMS noted that these changes are intended to provide greater certainty for drug manufacturers, plans, pharmacies, and beneficiaries while strengthening the long-term administration of the program. CMS also pointed to the past success of the Medicare Drug Price Negotiation Program, as they have negotiated prices for 25 high-expenditure drugs across the program’s first two years to generate significant savings for the federal government and Medicare beneficiaries. Public comments on the proposed rule is due by August 17, 2026 at 11:59pm ET. The proposed rule states that CMS anticipates they will publish the final version of the rule in the Fall of 2026.

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