
May 19, 2005
State Legislatures Balance Benefits, Costs of Prescription Drugs
New NCSL report details state pharmaceutical bills considered this session
DENVER - State legislatures are considering numerous solutions to prescription drug challenges in 2005, a new report on pharmaceutical legislation by the National Conference of State Legislatures shows. More than 500 prescription drug bills and resolutions are making their way through the nation’s state Capitols. That’s 47 percent more measures than were considered in 2004, and the most in one session since the NCSL started tracking prescription drug legislation seven years ago.
"Prescription drugs affect the lives of 154 million Americans," said Richard Cauchi, a health program director at NCSL. “States are doing their best to balance the miracles of a better life with the rising costs of medicine.”
States have responded quickly to align their own Medicare drug benefit programs with the federal plan, scheduled to debut in January 2006. This is the second consecutive year that Medicare-related bills have been widely considered. In 2004, 21 states considered such legislation. In 2005, 41 have. Laws have been enacted in a dozen states, so far. A few states, including Arkansas, Montana and New Mexico, have adopted new programs that provide coverage for people under 65. In Arkansas and Montana, participants must be low- or moderate-income. But in New Mexico, there are no income requirements. Nine other states have passed Medicare related bills. They are: Arizona, Colorado, Delaware, Maryland, Missouri, New Jersey, New Mexico, Virginia and Washington.
Legislators in many states are negotiating Medicaid concerns as well. At least 12 states are looking to preferred drug lists: Colorado, Maine, Massachusetts, Mississippi, New Mexico, New York, North Dakota, Oregon, Rhode Island, Tennessee, Texas and Washington. Ten states are eyeing generics: Alabama, California, Massachusetts, New Jersey, New Mexico, New York, Oregon, Tennessee and Texas. Often legislation in both of these categories is aimed at saving money. Proposals in Florida, New York and Oregon seek to protect patients’ rights to brand name therapies whose “generic” versions aren’t chemically identical. Several legislatures are debating expanded use of the federal 340B drug pricing program, which lets health centers and clinics pass on lower prices to patients.
Several new trends have also emerged. Proposals to require more transparency in clinical trials are popular, with 16 states taking them up. A new law in Virginia requires anyone conducting a clinical drug trial in the state to register with U.S. Secretary of Health and Human Services before conducting the trial, submit results and ensure the publication of aggregate results.
There is growing interest in monitoring drug wholesalers to curb counterfeits and illegal sales of prescription drugs, as well. Twelve states are considering such legislation: Arizona, Arkansas, California, Connecticut, Maine, Nebraska, Oklahoma, Oregon, South Dakota, Texas, Utah and Virginia. Bills passed in Arizona and Virginia.
And drug importation is still a hot topic, with 21 states considering related bills in 2005. Legislation passed in Vermont and Washington. Vermont will join a multi-state prescription drug importation program and Washington authorized state agencies to bulk purchase from Canadian wholesalers.
The report is available free of charge at www.ncsl.org/programs/health/drugdisc05.htm. It includes links to legislation on each state's website, with descriptions, sponsors and bill status.
NCSL is the bipartisan organization that serves the legislators and staffs of the states, commonwealth's and territories. It provides research, technical assistance and opportunities for policymakers to exchange ideas on the most pressing state issues and is an effective and respected advocate for the interests of the states in the American federal system.
### |