Gov. eyes prescription drug cost curbs
Gov. Charlie Baker is making another push for a proposal that would rein in rising prescription drug costs and provide predictability for consumers by penalizing drug makers whose prices increase too much.
“I think far too often there are very significant increases in the price of critical drugs that ultimately harm patients that rely on these treatments,” Baker said in a Tuesday virtual press briefing with Connecticut Governor Ned Lamont, who is pursuing a similar policy in his state.
The budget that Baker filed in January includes an outside section that would impose a penalty on drug manufacturers whose prices increase by more than the consumer price index plus two percent.
The penalties imposed have been estimated to raise about $70 million, money that would support community health centers and community hospitals.
The plan was first unveiled in January 2019, and has since been opposed by drug industry giants. “Allowing the government to arbitrarily set prices on life-saving medicines could slow innovation and make it harder for patients to get the medicines they need,” said Priscilla Vanderveer, vice president of public affairs at PHRMA in a statement. A statement from Pfizer, which employs 1,000 people in Massachusetts, reads in part, “We oppose this legislation based on the negative impact it could have on expanding access to medicines.”
Zachary Stanley, executive vice president of the Massachusetts Biotechnology Council said it’s “astonishing” Baker is again touting his “tired proposal.”
“In practice, this policy would do nothing to reduce costs for patients but would inhibit the biopharmaceutical industry’s ability to develop innovative, life-changing treatments and cures – like the COVID-19 vaccines,” Stanley said.
Herald wire services contributed.