PHARMACEUTICALS
The Drug Rebate Rule Would Have Fixed Misaligned Incentives and Should Not Have Been Dropped
Gary Ko July 26, 2019
Early this month, the Trump administration withdrew the proposed Drug Rebate “Safe Harbor” Rule. Under the proposed rule, rebates currently paid by pharmaceutical companies to pharmacy benefit managers (PBMs) and payers would instead be passed directly to consumers. The Congressional Budget Office (CBO) estimated that the rule would cost the federal government $177 billion over 10 years. According to news sources, the administration decided to withdraw the rule due to concerns over cost, as well as potential windfall profits to the pharmaceutical industry. This outcome is unfortunate, as the current …
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Litigation and Enforcement Highlights – July 2019: Mid-Year Merger Watch
Amy Y. Gu, Managing Editor July 15, 2019
It’s been a flurry of activity in the past month in the realm of healthcare mergers and acquisitions. In this issue of Litigation and Enforcement Highlights, we take a look at both recent mergers that were approved and blocked, as well as a string of proposed deals coming down the pipeline. 8th Circuit Hands FTC Win in Blocking Sanford Health-Mid Dakota Clinic Merger The Federal Trade Commission (FTC) and the North Dakota Attorney General scored a win in antitrust enforcement when the 8th Circuit upheld a preliminary injunction that …
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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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States Are Taking the Helm on Antitrust Enforcement Efforts in Healthcare
Amy Y. Gu, Managing Editor April 15, 2019
State enforcement is the theme of the month in healthcare antitrust. A panel of antitrust experts at a recent Antitrust Symposium hosted by UC Hastings College of the Law discussed how exclusionary contracts and anticompetitive conduct by players in both the provider and pharmaceutical markets hinder competition and drive up healthcare prices. This edition of Litigation and Enforcement Highlights takes a look at current anticompetitive practices of providers and PBMs and the ensuing state regulatory efforts to address them. A Tale of Two Coasts in Provider Market Enforcement As …
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Who’s Driving Healthcare Prices: A Look at Anticompetitive Conduct of Various Players in the Healthcare Market
Source Fellow and Amy Y. Gu, Managing Editor April 9, 2019
By: Megan O’Leary, Student Fellow and Amy Y. Gu, Managing Editor On Thursday, April 4, The Source attended the “Antitrust in the New Millennium Symposium” hosted by UC Hastings College of the Law. This blog focuses on the session “New Antitrust and Healthcare”, moderated by The Source Board member and UC Hastings Professor Thomas Greaney, and featuring the panel of, notably all women, UC Hastings Professor Robin Feldman, California Senior Assistant Attorney General Kathleen Foote, and American Antitrust Institute (AAI) President Diana L. Moss. What drives rising healthcare prices? Perhaps it stems …
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The Source Roundup: April 2019 Edition
Source Fellow April 1, 2019
By: Erin Sclar, Student Fellow Spring is finally here! With it, we review articles and reports about 1) single payer health plans and universal health care, 2) the causes, effects, and possible solutions to rising prescription drug pricing, and 3) health care costs and price transparency. Single Payer Health Plans and Universal Health Care The terms “single payer health plans” and “universal health care” are becoming increasingly familiar as the 2020 elections approach. But the meanings of these terms, and the specific policies and proposals associated with them, are often …
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Upcoming Event: The Source to Give Talk on State Laws Addressing Pharmacy Prices
Amy Y. Gu, Managing Editor March 18, 2019
In an increasingly complicated and blurry landscape, stakeholders across the health care industry are searching for ways to control health care costs, improve quality, enhance access to care, and maintain fair market power. We’re excited to share that The Source’s Senior Health Policy Researcher Katie Gudiksen will be participating in a webinar series hosted by Catalyst for Payment Reform (CPR), featuring leading experts in policy and health care innovation. The free four-part spring series will kick off on April 2, highlighting complex areas of health care strategy that may need …
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Litigation and Enforcement Highlights – March 2019
Amy Y. Gu, Managing Editor March 15, 2019
It’s been an eventful month in healthcare litigation and enforcement, as we saw the final conclusions to the legal challenges to Maryland’s drug pricing law and the sale of nonprofit hospitals in California. In addition to reflecting on the Supreme Court’s latest action, or lack thereof, we also bring updates on increased action in pending state antitrust enforcement in Pennsylvania and Washington. Landmark Maryland Drug Pricing Law Officially Dead The breaking litigation development in pharma last month was none other than Supreme Court’s denial to review the constitutionality of …
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