Bill > S652

This bill aims to promote transparency and prevent price gouging of pharmaceutical drug prices. The key provisions are: 1. It defines important terms like "pharmacy benefit manager," "pharmaceutical manufacturing company," and "wholesale acquisition cost." 2. It requires the state's Center for Health Information and Analysis (CHIA) to promulgate regulations for uniform reporting of prescription drug wholesale acquisition costs, discounts, rebates, and other data from pharmacy benefit managers, pharmaceutical manufacturers, and health care payers. This data will help monitor the impact of prescription drug spending on overall health care expenditure growth. 3. It imposes penalties of up to $5,000 per week, up to a maximum of $200,000 per year, on private payers, providers, pharmacy benefit managers, or pharmaceutical manufacturers that fail to report the required information to CHIA. 4. It authorizes the Attorney General to review and analyze the information submitted to CHIA and the Health Policy Commission, and to require production of documents, interrogatories, and testimony related to health care and prescription drug costs and cost trends. 5. It empowers the Health Policy Commission, in consultation with CHIA, to identify prescription drugs whose costs are deemed "excessively higher than justified" and jeopardize the state's ability to meet the health care cost growth benchmark. The Commission can then take various actions, including notifying the Attorney General and manufacturers, and recommending further actions such as negotiating rebates or initiating unfair practice actions under Chapter 93A. 6. It authorizes the Attorney General to promulgate regulations defining "excessively higher than justified" prescription drug prices as an "unfair practice" under Chapter 93A, and to bring actions or negotiate state excess drug cost rebates for such drugs not subject to patent protection.

Health and Social Services

https://malegislature.gov/Bills/190/S652