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appalachiablue

(41,053 posts)
Sat Jan 11, 2020, 11:46 PM Jan 2020

California Could Be 1st State To Sell Its Own Prescription Drugs

'California Could Be 1st State To Sell Its Own Prescription Drugs.' PBS, By Adam Beam, AP, Jan. 9, 2020. Excerpts:

SACRAMENTO, Calif. (AP) — California could become the first state to make its own prescription drugs under a proposal announced Thursday by Gov. Gavin Newsom, who says it would “take the power out of the hands of greedy pharmaceutical companies.” The Democratic governor wants the nation’s most populous state to contract with generic drug companies to make medications on its behalf so it could sell them to its nearly 40 million residents. The goal is to lower prices by increasing competition in the generic drug market, Newsom said. His proposal also would create a single market for drug pricing in California, with companies having to bid to sell their medicine at a uniform price. One expert said that piece would have the bigger impact.

“Other countries control or negotiate the price of drugs, and if there is one state that could do it, it’s California, which is the size of a country,” said Larry Levitt, executive vice president of health policy for the Kaiser Family Foundation. “A drug company could walk away from Rhode Island. It’s much harder to walk away from California.” Lawmakers would have to approve the proposal before they could become law. A legislative leader in charge of reviewing the plan gave a tentative endorsement Thursday.
“If Costco can have a Kirkland brand, why can’t California have our own generic brand?” said Democratic Assemblyman Joaquin Arambula, an emergency room doctor from Fresno who chairs the House Budget Subcommittee on Health and Human Services. “I really do think there is quite a bit of merit in having us produce the medications.”



Newsom’s office did not say how much the drug proposal would cost, prompting criticism from some Republican lawmakers who said the state should not compete with private companies. “When the state runs it, it costs more money,” said Republican Assemblyman Devon Mathis, who’s also on the health subcommittee. “The money is coming out of families’ pockets paying all those crazy taxes.”
Supporters say California’s generic drug label could help lower the cost of a common drug that has steadily increased in price — insulin for diabetes patients. Three drug companies control most of the market for insulin. “Consumers would directly benefit if California contracted on its own to manufacture much-needed generic medications like insulin — a drug that has been around for a century yet the price has gone up over tenfold in the last few decades,” said Anthony Wright, executive director of Health Access California.

While most Americans get generic prescriptions, they only account for a small part of the total drug spending in the U.S. That’s because unlike the name-brand drug market, generics are very competitive, said Jeff Joyce, chairman of the Department of Pharmaceutical and Health Economics at USC’s School of Pharmacy. “What he is proposing to do would help in specific cases, but it’s not a panacea by any means,” Joyce said. The proposal is another step in Newsom’s effort to overhaul California’s prescription drug market. Last year, in one of his first acts in office, Newsom ordered the state to take over the Medicaid program’s prescription drug benefits, which affects 13 million people...

https://www.pbs.org/newshour/health/california-could-be-1st-state-to-sell-its-own-prescription-drugs

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California Could Be 1st State To Sell Its Own Prescription Drugs (Original Post) appalachiablue Jan 2020 OP
and if they do it online, they help us all. mopinko Jan 2020 #1
Another big plan from the Golden State. appalachiablue Jan 2020 #2
I think this is a good idea, and I trust California to do it well. But don't Hoyt Jan 2020 #3
Colorado is looking at it, too. Laffy Kat Jan 2020 #4
guessin jb will hop on this train, too. mopinko Jan 2020 #5
I see the GOP is already doing their pearl-clutching. Aristus Jan 2020 #6

mopinko

(69,806 posts)
1. and if they do it online, they help us all.
Sat Jan 11, 2020, 11:52 PM
Jan 2020

there is sssooooooo much fluff in drug prices.
i have an asthma preventative that is available as an otc, and generic, for $25 as a nasal spray, but it is $275 in a spray can. patents.

patents are supposed to serve everyone. this is a great idea.

 

Hoyt

(54,770 posts)
3. I think this is a good idea, and I trust California to do it well. But don't
Sun Jan 12, 2020, 12:17 AM
Jan 2020

take short-cuts that risk failure. This could be the model for future.

mopinko

(69,806 posts)
5. guessin jb will hop on this train, too.
Sun Jan 12, 2020, 12:44 AM
Jan 2020

i still think state by state might just be the path to single payer.
in the meantime, happy to be in a blue city in a blue state.
cook county jumped right on the aca, i expect pritzker to do the same w this.

y'all red states can sit back and watch how it's done.

Aristus

(66,095 posts)
6. I see the GOP is already doing their pearl-clutching.
Mon Jan 13, 2020, 01:36 PM
Jan 2020

"Gracious! This will benefit people and not corporations! We can't let that happen!..."

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