ST. PAUL, MN – The Prescription Drug Price Transparency Act (SF 1098), a bill to address skyrocketing prescription drug pricing, advanced out of the House Ways and Means Committee today on a 23-1 vote. Rep. Kelly Morrison (DFL-Deephaven), a practicing physician, is the chief author of the bipartisan legislation.
“All Minnesotans deserve access to the prescription medication that they need to survive and thrive,” said Rep. Morrison. “Prescription drugs don’t work if people can’t afford them. Creating more transparency about why drugs are priced the way they are is an important first step in raising awareness about the role of drug prices in the cost of health care, and in helping drive down those prices.”
Drug manufacturers are not subject to the same price transparency that hospitals, providers and health plans are. The bill requires price transparency for three categories of drugs: existing drugs, new drugs and newly acquired drugs. Drug manufacturers would be required to report to the Commissioner of Health drug pricing information for drugs that exceed certain thresholds or increase by a certain percentage over a 12 or 24 month period. The Minnesota Department of Health would post this information on a public website in an easily accessible and clear format.
This legislation has the support of a broad coalition of stakeholders and bipartisan authors in the House and Senate.
SF 1098 is now headed to the House Floor.