Virginia Senate Bill SB376

Virginia 2023 Regular Session

• Introduced: 1/11/22
• Refer: 1/11/22

Caption

Prescription Drug Affordability Board; established, drug cost affordability review, report.

Impact

This new legislation will significantly alter state laws concerning drug pricing, authorizing the board to set upper payment limits for certain prescription medications that are found to contribute to affordability challenges. Through its findings, the board will provide insights on market trends and suggest potential legislative changes to better regulate drug pricing. The implementation of this board may also impose financial accountability on drug manufacturers and contribute to overall transparency within the prescription drug market in Virginia.

Summary

SB376 establishes the Prescription Drug Affordability Board in Virginia, which is designed to ensure that prescription drug prices are manageable for state residents and stakeholders affected by high drug prices. The board will conduct affordability reviews on specific drug products to determine if their costs pose challenges to both patients and the healthcare system in the Commonwealth. This initiative aims ultimately to safeguard vulnerable populations, particularly those dealing with chronic illnesses and the ongoing opioid crisis, from exorbitant drug costs.

Contention

Despite the bill's intentions, there are concerns surrounding potential conflicts of interest for board members who may have ties to the pharmaceutical industry. Critics argue that this could undermine the board's effectiveness in providing unbiased oversight of drug pricing. Additionally, the distinction between state-regulated plans and Medicare Part D may lead to further complications in implementing the board's recommendations, as federal regulations may not align with new state mandates. The discussions also highlight the balancing act of regulating pharmaceutical pricing while ensuring that drug innovation is not stifled.