Recent Action on Prescription Drug Policy in the States

More Action in the States: Vaccination Policy, Immunity, Joint Purchasing, Payments to Doctors & More

VERMONT VACCINATION POLICY DEBATE:
The House Committee on Health Care marked a significant policy shift last week, when a majority of the committee in a straw poll said it would oppose removing a philosophical exemption for parents who choose not to vaccinate their children.

The Senate passed, by an overwhelming majority, a bill that requires all children be vaccinated against a range of illnesses. The bill prevented parents from claiming "philosophical exemptions," which would allow them to refuse to vaccinate their child before sending them
to school.

The House committee, however, passed a bill that allows for those philosophical exemptions.

According to reporting by WCAX.com, "The bill they voted out will not directly address the decline in rates we've seen in Vermont. I am disappointed. I wish they could've done more," said Sen. Kevin Mullin, R-Rutland County, who is also Vice Chair of the NLARx Board of Directors.

But the bill saw fierce debate in the House, and last week a compromise that would have kept the exemption failed on a tie vote. It is unclear at this point whether it will make it to the House floor. Read the Vermont Digger story.

VERMONT MARKETING & DOC PAYMENT REPORT OUT:
Vermont's annual report from its Attorney General on drug company spending on payments to doctors and other medical providers is now out. The Vermont law is one of the models for the federal Physician Payment Sunshine Act which was part of the Affordable Care Act, the implementation of which remains delayed. Vermont's current report found in FY11, approximately 42% of the $5.6 million in expenditures were for clinical trials and research. Doctors received 23% of the expenditures, 12% went to professional, educational, or patient organizations and 5% to academic institutions; 12% of the expenditures went to all health care providers combined for educational materials.

Overall, 154 manufacturers of pharmaceuticals, biologics, and medical devices spent approximately $5.6 million in direct payments to Vermont doctors, hospitals, universities and others. That figure represents an overall spending increase of 17% from the $4.8 million reported the previous fiscal year. In particular, the amount spent on pharmaceutical marketing ($2.2 million) is about 22% higher than the $1.8 million reported in the previous fiscal year. This is in spite of the fact that Vermont has a law banning most gifts and payments to medical providers. Read more in the Vermont Digger.

ILLINOIS GOVERNOR QUINN SEEKS BIG CUTS:
Lawmakers are trying to figure out how to meet Governor Pat Quinn's goal of cutting the $14 billion Medicaid program by $2.7 billion, and are scrutinizing the big-ticket cost of the pharmaceuticals. More

OREGON'S EFFORT TO MAKE STATE DRUG PURCHASING MORE EFFICIENT FAILS AGAIN:

Oregon is not finding it easy to make state drug purchasing more efficient. For the second year in a row, legislation requiring state agencies to purchase their prescription drugs through the Oregon Prescription Drug Program (OPDP) was unable to overcome staunch opposition from the pharmaceutical industry and insurance lobbyists. This is in spite of the fact that a legislatively required study by the Department of Corrections showed the agency could save approximately $1.4 million based on half the drugs purchased by the department. In addition, Public Employees' Benefit Board could save $5.1 million. Read more in The Lund Report.

ARKANSAS MEDICAID FALSE CLAIMS ACT CASE GOES AFTER RISPERDAL MARKETING:
Bloomberg BusinessWeek reports that the state of Arkansas is in court charging a subsidiary of pharmaceutical company Johnson & Johnson improperly marketed an antipsychotic drug and lied to doctors for years about the risk of side effects.

Arkansas wants Janssen Pharmaceuticals Inc. fined for each of the 250,000 Risperdal prescriptions issued to the state's Medicaid patients from November 2002 through June 2006, an award that could range from $1.25 billion to $2.5 billion and would go toward the state's Medicaid fund.

The state claims that Janssen violated Arkansas' Medicaid Fraud False Claims Act by misrepresenting of the drug's side effects of diabetes and hormonal imbalance. The state also claims the company violated the Deceptive Trade Practices Act by lying about the drug's risks in a letter sent to Arkansas doctors. Read more

NORTH CAROLINA CONSIDERS DRUG COMPANY IMMUNITY:
A senate committee is considering legislation to immunize drug companies from liability for harm from FDA-approved drugs, after case filed involving Brittany Prewitt, 15, who was taking the drug Yaz to clear up her acne and collapsed while playing catch with her father. The family is suing Bayer, claiming the company suppressed information about dangers associated with Yaz. More

RHODE ISLAND BILL WOULD BAN COUPONS:
Rhode Island would join Massachusetts as the only states with a ban on coupons for prescription drugs if a bill currently pending passes. Read the bill.