ST. PAUL, MN – The Minnesota House of Representatives is expected to pass today the Prescription Drug Price Transparency Act (SF 1098), a bill to address skyrocketing prescription drug pricing. Rep. Kelly Morrison (DFL-Deephaven), a practicing physician, is the chief author of the bipartisan legislation.
“We know that Minnesotans are paying too much for prescription drugs,” said Rep. Morrison. “The cost of many drugs has skyrocketed to the point that they are becoming inaccessible to the people that need them to survive and thrive. Pharmaceutical companies create life-changing and life-sustaining medications, but they are useless if people can’t afford them.”
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 Prescription Drug Price Transparency Act is supported by a broad coalition that includes patient groups, the business community, provider groups, unions and health plans. The Republican-led Senate approved the measure with overwhelmingly bipartisan support last week.