THE VALUED VOICE

Governor’s Task Force on Reducing Rx Drug Prices Crafts Policy Recommendations

• Endorsing the provisions in 2019 AB 114, as amended by the Assembly. This bill places requirements on pharmacy benefit managers (PBMs) such as state licensure, prohibiting gag clauses (when a PBM prohibits a pharmacy from notifying a consumer of an out-of-plan, cheaper option to purchase a drug), rebate transparency, and setting standards for PBM audits of pharmacies.
• Exploring efforts to create physician access within electronic health records to real-time prescription drug cost information.
• Establishing a copay cap for insulin obtained through a commercial health plan.
• Establishing additional transparency and reporting requirements by all entities within the drug supply chain.
• Enhancing consumer protection oversight by creating more attorney positions within the Departments of Justice. 
• Providing additional state support for free and charitable clinics.
• Creating a centralized donated drug supply repository with real-time inventory reporting accessible by the free and charitable clinics that provide the drugs to their patients.
• Ensuring that federal 340B entities use savings from the program to increase access to prescription drugs and provide critical community-based health programs for underserved individuals.
• Creating a public sector prescription drug purchasing entity to coordinate and leverage the buying power of state agencies and other public sector purchasers.
• Advocating for federal regulatory changes to address practices that delay the market entry of affordable generic equivalents and other market practices identified as drivers of prescription drug unaffordability.
• Creating additional regulatory oversight (including potential licensure or registration) of Pharmacy Services Administrative Organizations.