Executive Order 13939: Lowering Prices for Patients by Eliminating Kickbacks to Middlemen

President: Donald J. Trump

Directed HHS to complete rulemaking on Medicare Part D drug rebates and make the cost confirmation specified in the order.

Status: In effect. Is Executive Order 13939 still in effect? Yes. Executive Order 13939 remains in effect. See Federal Register record.

What does Executive Order 13939 do?

HHS finalized an anti-kickback safe harbor rule in November 2020, expressly citing EO 13939 and the Secretary’s cost confirmation.

Evidence review, September 23, 2026: HHS OIG reports that implementation of the prescription-drug rebate safe-harbor rule was delayed and later subject to congressional moratoria.

Administration position: Publication of the rule does not establish that drug prices fell; statutory delays and later regulatory changes must be consulted for current effective dates.
SignedJuly 24, 2020
Original directionDirected HHS to complete rulemaking on Medicare Part D drug rebates and make the cost confirmation specified in the order.
Later evidenceHHS finalized an anti-kickback safe harbor rule in November 2020, expressly citing EO 13939 and the Secretary’s cost confirmation.
Review dateSeptember 26, 2026

Before and after

Before the order

The order addressed rebate arrangements involving manufacturers, pharmacy benefit managers and Part D plans.

After the order

HHS finalized an anti-kickback safe harbor rule in November 2020, expressly citing EO 13939 and the Secretary’s cost confirmation.

Publication of the rule does not establish that drug prices fell; statutory delays and later regulatory changes must be consulted for current effective dates.

Who had to do what

Agency / officialWhat the signed order directedDeadline / timing
HHS SecretaryComplete rulemaking to remove specified non-point-of-sale manufacturer remuneration from Medicare Part D anti-kickback safe harbors and create safe harbors for patient point-of-sale discounts and bona fide PBM fees. First publicly confirm no projected increase in federal spending, beneficiary premiums, or total patient out-of-pocket costs.Public confirmation before rulemaking action; no fixed completion deadline

Source: Signed Federal Register text.

Later developments

Later action: HHS finalized an anti-kickback safe harbor rule in November 2020, expressly citing EO 13939 and the Secretary’s cost confirmation. (November 30, 2020)

What happened next

EO 13939 signed.

HHS finalized an anti-kickback safe harbor rule in November 2020, expressly citing EO 13939 and the Secretary’s cost confirmation.