We Work For Health Applauds Senate Introduction of the EPIC Act

Legislation would address the “pill penalty” and strengthen U.S. leadership in pharmaceutical innovation

We Work For Health today expressed its support for Senators Thom Tillis (R-NC), Ted Budd (R-NC), Marsha Blackburn (R-TN), James Lankford (R-OK), and Steve Daines (R-MT) for their introduction of the Ensuring Pathways to Innovative Cures (EPIC) Act (S.832) in the U.S. Senate.

This critical legislation seeks to correct the harmful “pill penalty” created by the Inflation Reduction Act (IRA), which discourages the development of small-molecule drugs — essential treatments that typically come in pill or tablet form for conditions such as heart disease, cancer and mental health disorders. The senators’ introduction of the EPIC Act builds on bipartisan momentum in the House last week, where Republican and Democratic members joined together to reintroduce the bill.

The IRA created an inequitable framework that subjects small-molecule drugs to price negotiations four years earlier than biologics (9 years vs. 13 years). Small-molecule drugs like pills, capsules and tablets constitute more than 90% of all prescriptions and two-thirds of new drugs approved by the FDA annually; biologics, by contrast, are often injections or infusions administered in healthcare settings.

“We commend Senators Tillis, Budd, Blackburn, Lankford and Daines for taking a stand to protect pharmaceutical innovation,” said Dan Leonard, Executive Director of We Work For Health. “The EPIC Act is a necessary step toward ensuring that small-molecule drug development remains a viable path for researchers and investors. Without action, we risk stifling the very advancements that patients rely on every day.”

A recent report from the Information Technology and Innovation Foundation (ITIF) highlights the urgent need for action. The report warns that if left unfixed, the pill penalty will diminish progress, leading to fewer breakthroughs and reduced access to cost-effective treatments. Further research published by Vital Transformation found that IRA's pill penalty has already triggered significant reductions in investment for small-molecule research – by as much as 70% in the two years since its introduction.

“Just as the Hatch-Waxman Act has provided an appropriate balance between patent protections and patient access to affordable generics, the EPIC Act would restore the balance between access and affordability that has been disrupted by the IRA,” Leonard added. “Strong intellectual property rights provide the transparency and predictability that innovators need to invest in research and development for groundbreaking treatments.”

Advocates in Montana, North Carolina, Oklahoma and Tennessee praised the bill’s re-introduction:

Cassandra Sunell, Montana BioScience Alliance, said: “We commend Senator Daines for leading the charge on the EPIC Act. Innovation should be guided by science and not hindered by policy. This crucial legislation will restore incentives for companies to invest in research and development and unlock the next generation of cures for Montanans.”

Kim Koleber, a Tulsa, Oklahoma-based diabetes advocate dedicated to ensuring access to life-saving treatments and advancing research for a cure, said: “As a mom of a child with Type 1 diabetes, I see every day how essential small-molecule medicines are for managing chronic conditions. The EPIC Act is a much-needed step toward ensuring continued investment in life-changing treatments that families like mine rely on. Fixing the 'pill penalty' isn't just about policy—it's about protecting innovation, expanding access and giving our children the best chance at a healthier future.”

Jill Sisco, President of Oklahoma-based Acromegaly Community, an organization providing an emotional and communal support network for people touched by acromegaly, said: “The Acromegaly Community is thrilled to see the re-introduction of the EPIC Act, which is a critical step in ensuring continued innovation for small-molecule treatments. For those living with acromegaly and other rare diseases, access to effective and affordable treatment options can mean the difference between managing our health and struggling with it. By creating a fairer path for small-molecule drug development, this legislation helps protect future advancements that improve lives and bring hope to patients and families.”

Laura Gunter, President of North Carolina Life Sciences Organization, said: “NCLifeSci fully supports the introduction of the EPIC Act and greatly appreciates the efforts of Sen. Tillis and Sen. Budd who understand the importance of not limiting patient options. We thank them for joining their NC House colleagues in helping to restore investment incentives in small-molecule innovation, protecting patients' access to new cures and treatments, while also protecting and encouraging life sciences innovation in North Carolina and beyond.”

Mike Leventhal, Executive Director, Tennessee Men’s Health Network, said: “Tennessee Men’s Health Network applauds Senator Blackburn’s leadership in re-introducing the EPIC Act. Preserving investment in small-molecule innovation is critical for the men we serve and their families — many of whom depend on these treatments to manage chronic conditions like heart disease, diabetes and cancer. Policies like the EPIC Act that aim to fix the pill penalty will help ensure Tennesseans can continue accessing the lifesaving medicines they rely on, while empowering researchers to develop the next generation of breakthrough treatments.”

We Work For Health urges lawmakers in both chambers of Congress to support the EPIC Act and take steps to protect innovation, strengthen intellectual property rights, and ensure continued investment in medical advances that benefit patients nationwide.

To learn more about the impact of the pill penalty and the importance of intellectual property protections, check out the resources on our website: www.weworkforhealth.org

About We Work For Health

We Work For Health brings together national and local business leaders, and labor, biopharma, patient advocacy and other healthcare-related stakeholders to support policies and initiatives that foster innovation and facilitate the delivery of lifesaving and life-enhancing medicines. As the bedrock of innovative jobs in the U.S. today, the life sciences sector supports more than 4.9 million American employees. Advancing and protecting these jobs is critical for those employees, the economies they support, and the patients they serve.

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