Drug Pricing
The Source Roundup: April 2020 Edition
Ada Shao, Student Fellow April 1, 2020
We hope that you and loved ones are staying well as we together persevere through the unprecedented circumstances brought on by the COVID-19 pandemic. The current situation has brought to the forefront a number of issues our healthcare system currently faces, including the potential costs associated with treating those affected by COVID-19. In this month’s Source Roundup, we begin by looking at the expected treatment costs for patients affected by COVID-19 and examine how price capping may be a means to reduce healthcare costs. We also highlight articles that discuss …
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Litigation and Enforcement Highlights – February 2020
Amy Y. Gu, Managing Editor February 18, 2020
The Source has been closely following legal challenges to state legislation that seek to promote competition and contain costs in healthcare services. In this month’s Litigation and Enforcement Highlights, we roundup the latest developments in some of the pending cases as well as new lawsuits that have been filed to derail state efforts to address rising prescription drug costs. Arkansas: Supreme Court Grants Review of PBM Law In November 2019, the Source Blog covered the long litigious history of lawsuits filed against various pharmacy benefit manager (PBM) laws from …
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California’s 2020-2021 Budget Proposal Aims at Consolidation and Drug Pricing
Sammy Chang, Health Policy Researcher January 13, 2020
On January 10, California Governor Gavin Newsom released his 2020-2021 State Budget proposal. While the state budget process will not begin in earnest until after the Governor’s May Revise, the state budget provides a glimpse of likely California health care reforms. The Governor’s January Budget Proposal proposes the following: Proposal Goals Office of Health Care Affordability Increase price and quality transparency Develop cost targets for health care industry Address hospital cost trends by region, with focus on cost increases driven by delivery system consolidation Establish standards for advance evidence-based and …
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Federal and State Price Transparency Efforts Face Legal Challenges from Industry Groups
Amy Y. Gu, Managing Editor December 16, 2019
Price transparency in healthcare is a hot topic that has captured the attention of many policymakers. While both federal and state governments have made efforts to promote price transparency in recent years, the path to achieving it is expected to be a bumpy one, as powerful industry groups that resist such change, including hospitals and pharmaceutical companies, are quick to seek legal challenges to block such efforts. In this edition of Litigation and Enforcement Highlights, we examine the latest lawsuits that challenge legislation to promote price transparency in healthcare and …
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House Passes the Elijah Cummings Lower Drug Costs Now Act (H.R. 3)
Katie Gudiksen, Senior Health Policy Researcher December 13, 2019
On Thursday, December 12, 2019, the House passed H.R. 3, the Elijah Cummings Lower Drug Costs Now Act, with unanimous support of House Democrats, but only 2 Republican votes. While the primary provisions of the bill and the conclusions drawn in our original blog post remain unchanged, we highlight two changes made to the bill as described in our post before it was passed. First, the original bill required drug manufacturers that increase the price of a drug faster than the rate of inflation (benchmarked to prices in 2016) to …
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Would House and Senate Bills to Lower Drugs Costs Achieve Savings or Affect Innovation?
Katie Gudiksen, Senior Health Policy Researcher December 9, 2019
*See 12/13/19 Update: House Passes the Elijah Cummings Lower Drug Costs Now Act (H.R. 3) Increasing the affordability of prescription drugs is of primary importance to Congress and to the nation. In this post, we review two of the federal bills receiving substantial press coverage – the Lower Drug Costs Now Act, introduced in the House by Speaker Pelosi and the Prescription Drug Pricing Reduction Act, introduced in the Senate by Senator Grassley. While the current bills may have a bumpy road to approval, we analyze the proposals in …
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Just Published: The Source Research Brief on Legal Challenges to State Efforts to Control Drug Prices
Amy Y. Gu, Managing Editor September 24, 2019
As states increase legislative efforts to rein in prescription drug prices, an increased number of laws have been passed to regulate pharmacy benefit managers, price gouging, and price transparency in the pharmaceutical industry. However, industry groups have also stepped up legal challenges against these laws, using specifically the Dormant Commerce Clause, ERISA, and federal patent and trade secret laws. With support from the National Academy for State Health Policy (NASHP), The Source’s Katie Gudiksen, Sammy Chang, and Jaime King examine these state laws and ensuing legal challenges in the newly …
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The Source Roundup: July 2019 Edition
Source Fellow July 1, 2019
By: Hayden Soria, Student Fellow Happy July! Hope everyone is staying cool in the summer heat. In this month’s Source Roundup, we take a dive into academic articles and studies that look at 1) healthcare system reform on a national and state level 2) health care markets concentration and competition, and 3) developing trends in prescription drug pricing. Healthcare System Reform Ever since the Affordable Care Act (ACA) implementation nine years ago, it has become one of the most polarizing topics in American political culture, spawning debates both in support …
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The Lower Health Care Costs Act: A Bipartisan Federal Effort to Improve Competition in Healthcare Markets
Katie Gudiksen, Senior Health Policy Researcher June 21, 2019
The Lower Health Care Costs Act, released in May 2019 by Senators Lamar Alexander and Patty Murray, addresses many inefficiencies in healthcare markets and has the potential to both increase competition and lower costs for healthcare services. The 195-page draft federal bill, also known as the Alexander-Murray Bill (S 1895), contains more than three dozen provisions designed to address health care costs. The bill is divided into five titles: 1) Ending Surprise Medical Bills, 2) Reducing the Prices of Prescription Drugs, 3) Improving Transparency in Health Care, 4) Improving Public …
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FTC Cracks Down Anticompetitive Tactics from All Sides of Prescription Drug Supply Chain
Amy Y. Gu, Managing Editor May 14, 2019
As public outcry against healthcare costs, in particular prescription drug prices, continues to dominate the national spotlight, the Federal Trade Commission (FTC) is stepping up its efforts to regulate anticompetitive conduct in various markets of the healthcare supply chain. In this month’s Litigation and Enforcement Highlights, we take a look at FTC enforcement actions that target 1) the e-prescription market, 2) reverse-payment agreements between drug manufacturers, and 3) pharmacy benefit managers. FTC Targets Monopoly in Electronic Prescription Market in Antitrust Action Against Surescripts As the country faces building pressure …
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