Coalition Letter in Opposition to the Pelosi Drug Pricing Plan

October 16, 2019


The Committee for Justice joined a group of 71 free-market organizations and activists, lead by Americans for Tax Reform, in opposing Speaker Pelosi's proposal to impose a 95 percent tax on pharmaceutical manufacturers. The letter can be found here or below: 

Dear Members of Congress:


We write in opposition to the prescription drug pricing bill offered by House Speaker Nancy Pelosi that would impose an excise tax of up to a 95 percent on hundreds of prescription medicines.


In addition to this new tax, the bill imposes new government price controls that would decimate innovation and distort supply, leading to the same lack of access to the newest and best drugs for patients in other countries that impose these price controls.


Under Speaker Pelosi’s plan, pharmaceutical manufacturers would face a retroactive tax of up to 95 percent on the total sales of a drug (not net profits). This means that a manufacturer selling a medicine for $100 will owe $95 in tax for every product sold with no allowance for the costs incurred. No deductions would be allowed, and it would be imposed on manufacturers in addition to federal and state income taxes they must pay.


The alternative to paying this tax is for the companies to submit to strict government price controls on the medicines they produce. While the Pelosi bill claims this is “negotiation,” the plan is more akin to theft.


If this tax hike plan were signed into law, it would cripple the ability of manufacturers to operate and develop new medicines.


It is clear that the Pelosi plan does not represent a good faith attempt to lower drug prices. Rather, it is a proposal that would crush the pharmaceutical industry, deter innovation, and dramatically reduce the ability of patients to access life-saving medicines.


We urge you to oppose the Pelosi plan that would impose price controls and a 95 percent medicine tax on the companies that develop and produce these medicines.





Grover Norquist

President, Americans For Tax Reform



James L. Martin

Founder/Chairman, 60 Plus Association



Saulius “Saul” Anuzis

President, 60 Plus Association   



Marty Connors

Chair, Alabama Center Right Coalition     



Bob Carlstrom ​​​​​​​

President, AMAC Action



Dick Patten

President, American Business Defense Council



Phil Kerpen​​​​​​​

President, American Commitment



Daniel Schneider

Executive Director, American Conservative Union



Steve Pociask ​​​​​​​

President/CEO, The American Consumer Institute Center for Citizen Research



Lisa B. Nelson

CEO, American Legislative Exchange Council



Michael Bowman

Vice President of Policy, ALEC Action



Dee Stewart

President, Americans for a Balanced Budget



Tom Giovanetti​​​​​​​

President, Americans for a Strong Economy




Norm Singleton

President, Campaign for Liberty



Ryan Ellis

President, Center for a Free Economy



Andrew F. Quinlan​​​​​​​

President, Center for Freedom & Prosperity



Jeffrey Mazzella ​​​​​​​

President, Center for Individual Freedom



Ginevra Joyce-Myers

Executive Director, Center for Innovation and Free Enterprise



Peter J. Pitts

President, Center for Medicine in the Public Interest



Olivia Grady

Senior Fellow, Center for Worker Freedom



Chuck Muth ​​​​​​​

President, Citizen Outreach



David McIntosh

President, Club for Growth



Curt Levey​​​​​​​

President, The Committee for Justice



Iain Murray

Vice President, Competitive Enterprise Institute



James Edwards

Executive Director, Conservatives for Property Rights



Matthew Kandrach​​​​​​​

President, Consumer Action for a Strong Economy



Fred Cyrus Roeder​​​​​​​

Managing Director, Consumer Choice Center



Tom Schatz ​​​​​​​

President, Council for Citizens Against Government Waste



Katie McAuliffe​​​​​​​

Executive Director, Digital Liberty



Richard Watson

Co-Chair, Florida Center Right Coalition



Adam Brandon

President, Freedomworks​​​​​​​



George Landrith ​​​​​​​

President, Frontiers of Freedom



Grace-Marie Turner

President, Galen Institute



Naomi Lopez

Director of Healthcare Policy, Goldwater Institute



The Honorable Frank Lasee ​​​​​​​

President, The Heartland Institute



Jessica Anderson

Vice President, Heritage Action for America



Rodolfo E. Milani ​​​​​​​

Trustee, Hispanic American Center for Economic Research

Founder, Miami Freedom Forum



Mario H. Lopez

President, Hispanic Leadership Fund



Carrie Lukas

President, Independent Women’s Forum



Heather R. Higgins

CEO, Independent Women’s Voice



Merrill Matthews

Resident Scholar, Institute for Policy Innovation



Chris Ingstad​​​​​​​

President, Iowans for Tax Relief



Sal Nuzzo​​​​​​​

Vice President of Policy, The James Madison Institute



The Honorable Paul R LePage ​​​​​​​

Governor of Maine 2011-2019



Seton Motley

President, Less Government



Doug McCullough

Director, Lone Star Policy Institute



Mary Adams

Chair, Maine Center Right Coalition



Matthew Gagnon​​​​​​​

CEO, The Maine Heritage Policy Center



Victoria Bucklin ​​​​​​​

President, Maine State Chapter - Parents Involved in Education



Charles Sauer ​​​​​​​

President, Market Institute



Jameson Taylor, Ph.D.

Vice President for Policy, Mississippi Center for Public Policy



The Honorable Tim Jones

Leader, Missouri Center-Right Coalition



Brent Mead

CEO, Montana Policy Institute



Pete Sepp ​​​​​​​

President, National Taxpayers Union



The Honorable Bill O'Brien

The Honorable Stephen Stepanek​​​​​​​

Co-chairs, New Hampshire Center Right Coalition



The Honorable Beth A. O’Connor

Maine House of Representatives



The Honorable Niraj J. Antani​​​​​​​

Ohio State Representative



Douglas Kellogg

Executive Director, Ohioans for Tax Reform



Honorable Jeff Kropf ​​​​​​​

Executive Director, Oregon Capitol Watch Foundation



Daniel Erspamer ​​​​​​​

CEO, Pelican Institute for Public Policy



Lorenzo Montanari​​​​​​​

Executive Director, Property Rights Alliance



Paul Gessing ​​​​​​​

President, Rio Grande Foundation



James L. Setterlund​​​​​​​

Executive Director, Shareholder Advocacy Forum



Karen Kerrigan

President and CEO, Small Business Entrepreneurship Council



David Miller & Brian Shrive

Chairs, Southwest Ohio Center-right Coalition



Tim Andrews

Executive Director, Taxpayers Protection Alliance



Judson Phillips

President, Tea Party Nation



David Balat ​​​​​​​

Director, Right on Healthcare - Texas Public Policy Foundation



Sara Croom ​​​​​​​

President, Trade Alliance to Promote Prosperity




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