Virginia House Bill HB2233

Virginia 2023 Regular Session

• Introduced: 1/11/23
• Refer: 1/11/23

Caption

Prescription drug price transparency; manufacturer reporting requirements.

Impact

If enacted, this legislation would amend existing Virginia statutes related to drug pricing by mandating annual disclosures from drug manufacturers. This increased transparency is intended to help consumers, healthcare providers, and policymakers better understand the factors affecting prescription drug prices. With the specified reporting obligations, manufacturers contributing to increases in the wholesale acquisition costs of essential medications would need to justify their actions, which may lead to more competitive pricing in the long term.

Summary

House Bill 2233 aims to enhance prescription drug price transparency by imposing reporting requirements on manufacturers concerning specific drugs. Under the bill, manufacturers must report annually to a designated nonprofit organization information about the wholesale acquisition costs of brand-name drugs, biologics, and certain generic drugs. The report must include data on price increases, research and development costs, and other significant regulatory compliance metrics, thereby promoting accountability regarding drug pricing amidst rising healthcare costs.

Contention

There may be contention surrounding HB2233 regarding the balance between corporate interests and public health initiatives. Supporters argue that the bill is necessary for fostering competition among drug manufacturers and alleviating healthcare costs for consumers. Conversely, opponents might express concerns about the feasibility of compliance for smaller manufacturers or the potential administrative burdens placed on drug companies, which could adversely affect innovation and drug availability. The legislative discussions may highlight differing viewpoints on how transparency could impact the pharmaceutical market.