On April 15, 2025, President Trump issued an Executive Order (EO) titled “Lowering Drug Prices by Once Again Putting America First”, introducing several concepts aimed at lowering the cost of prescription medications in the United States. The EO encompasses a broad range of topics, including measures to reform the Medicare Drug Price Negotiation (DPN) Program, tighten regulation of the federal payments and grants provided to hospitals and health centers, attach the costs of Medicaid drugs to their value, increase the transparency of pharmacy benefit manager (PBM) practices, and address anti-competitive behavior by drug manufacturers. For now, many of the concepts introduced in the EO require only an analysis and development of recommendations. While some of the resultant recommendations may be implemented through rulemaking and procedural changes, others may require regulations that must be approved through congressional action. ProAct will continue to monitor updates regarding this EO to ensure compliance with any approved regulations.
