New Bedford Guide Your Guide to New Bedford and South Coast, MA
Senate Assistant Majority Leader Mark C. Montigny (D-New Bedford) is pleased to announce that, as part of the Senate’s HEALTH ACT, his amendment to significantly increase transparency on prescription drug pricing schemes has been adopted with overwhelming support despite significant industry opposition. The measure, backed by patient advocates and medical professionals, seeks to curb egregious prescription drug price gouging. With the costs of health care rising each year, Senator Montigny has been a continuous advocate of holding pharmaceutical companies responsible for the lowering of drug prices to ensure affordable health care is accessible to all residents of the Commonwealth. Montigny, the Rules Chairman, has previously served as President of the National Legislative Association on Prescription Drug Prices, and authored the original Massachusetts gift ban on pharmaceutical industry donations to physicians designed to prevent illegal kickbacks and bribery in the health care sector.
This year alone, the Health Policy Commission (HPC) identified pharmacy spending as the single largest driver of health care costs in the Commonwealth, almost doubling the statewide annual cost growth benchmark.
Under amendment #19, pharmaceutical manufacturers and pharmacy benefit managers will be required to submit price-related data, such as marketing and advertising costs and research and development expenses, to the state’s Center for Health Information and Analysis (CHIA). Such entities will also take part in the Health Policy Commission’s annual health cost trends hearings where the Commission can solicit live testimony from the industry on factors driving prescription drug prices. Furthermore, Senator Montigny’s measure empowers the Attorney General to compel the production of documents, answers to interrogatories and solicit testimony under oath from industry officials. Companies failing to provide information will be subject to a penalty of up to $5,000 per week or $200,000 per violation, as well as potential legal action by the Attorney General under chapter 93A for unfair methods of competition or anticompetitive behavior.
As a longtime leader in efforts to reduce costs and expand access to quality prescription medications, Senator Montigny took to the Senate floor at 11pm during debate to secure passage of the amendment. He stated, “about 90 percent of the public say they’re tired of price gouging by the industry yet we have done nothing because of the tight grip corporate interests have on the political process. Simply put, the insidious backroom lobbying tactics by the pharmaceutical industry can be matched by only two other special interests: the NRA and Big Tobacco. These tactics have resulted in weaker laws that have allowed companies like Insys and Purdue Pharmaceuticals to flood our communities with opioids while exerting inappropriate influences on physicians. Meanwhile, patients are being held hostage, struggling to afford life-sustaining medications and forced to decide between their prescriptions and groceries. If you don’t begin the health care cost discussion with pharmaceuticals, you don’t really care about costs. ”
“We commend the leadership of Senator Montigny and the full senate for including critical prescription drug pricing language in the Senate Health Care bill. Rising drug costs are significantly outpacing all other medical costs for our health care, “said Deirdre Cummings, Legislative Director, MASSPIRG.”In fact, pharmacy costs rose 300% faster than did the second largest expense, outpatient services, for all private health plans in Massachusetts. Runaway drug prices are driving rising health insurance costs and this amendment will begin to rein them in.”
The Massachusetts Chapter of the American College of Physicians released a statement saying, “We applaud Senator Montigny and his colleagues in the Senate for working tirelessly to increase prescription drug cost transparency. We believe Amendment #19 is a bold step in the right direction to bring increased transparency to skyrocketing prescription drug costs that are affecting our patients and our ability to care for them.”
“This amendment will open the black box of drug prices and help expose the reasons why we pay the highest cost in the world for prescriptions,” said Amy Rosenthal, Executive Director of Health Care For All. “Transparency will provide the Attorney General the ammunition needed to take strong action to protect consumers against unfair and unreasonable drug prices.”
Amendment ID: S2202-19-R1
Redraft Amendment 19
Senator Montigny represents the 2nd Bristol and Plymouth District that includes Acushnet, Dartmouth, Fairhaven, Mattapoisett, and New Bedford.
