BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                    SB 1010


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          Date of Hearing:   June 28, 2016


                            ASSEMBLY COMMITTEE ON HEALTH


                                   Jim Wood, Chair


          SB  
          1010 (Hernandez) - As Amended May 31, 2016


          SENATE VOTE:   25-10


          SUBJECT:  Health care:  prescription drug costs.


          SUMMARY:  Requires health care service plans (health plans) and  
          health insurers (collectively carriers) that report rate  
          information to also include information regarding covered  
          prescription drugs, as specified.  Requires the Department of  
          Managed Health Care (DMHC) and the California Department of  
          Insurance (CDI) to compile and report this data in an aggregated  
          report to demonstrate the overall impact of drug costs on health  
          care premiums.  Requires any manufacturer of a prescription  
          drug, who sells to or is reimbursed by a state purchaser, health  
          plan, health insurer, or pharmacy benefit manager (PBM), to  
          provide notice describing a price increase, as specified.   
          Requires the Legislature to conduct an annual public hearing on  
          aggregate trends in prescription drug pricing.  Specifically,  
          this bill:  


          Health Plan and Insurer Requirements


          1)Requires carriers that report rate information through  








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            existing group and individual rate review process to also  
            report to DMHC and CDI, on a date no later than it reports the  
            rate information, the following information for all covered  
            prescription drugs, including generic, brand name, and  
            specialty drugs provided in an outpatient setting:

             a)   The 25 most frequently prescribed drugs;

             b)   The 25 most costly drugs by total plan spending; and, 

             c)   The 25 drugs with the highest year-over-year increase in  
               spending.


          2)Requires the DMHC and CDI to compile this information in a  
            report for the public and the Legislature to demonstrate the  
            overall impact of drug costs on health care premiums.   
            Requires the data in the report to be aggregated and prohibits  
            information specific to individual carriers.


          3)Defines specialty drug as one that exceeds the threshold for a  
            specialty drug under the Medicare Part D program.  


          4)Requires the DMHC and CDI to publish on its Internet Website  
            the report by October 1 of each year.


          5)Requires the information provided to the DMHC and CDI, except  
            for the report in 2) above, to remain confidential and exempt  
            from disclosure under the California Public Records Act (PRA).


          6)Requires carriers, as part of large group rate review, to  
            disclose the following information for covered drugs,  
            including:  a) generic drugs (except specialty generic drugs);  
            b) brand name drugs (except specialty drugs); and, c)  
            specialty drugs dispensed at a pharmacy, network pharmacy, or  








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            mail order pharmacy for outpatient use:

             a)   The percentage of the premium attributable to  
               prescription drug costs for the prior year for each  
               category of prescription drugs;

             b)   The year-over-year increase, as a percentage, in total  
               spending for each category of prescription drugs;

             c)   The year-over-year increase in per member, per month  
               costs for drug prices compared to other components of the  
               health care premium; and,

             d)   The specialty tier formulary list.


          7)Requires the carrier to include the percentage of the premium  
            attributable to prescription drugs administered in a doctor's  
            office that are covered under the medical benefit as separate  
            from the pharmacy benefit, if available.


          Prescription Drug Pricing for Purchasers


          8)Applies to any manufacturer of a prescription drug that is  
            purchased by or reimbursed by a state purchaser in California,  
            as specified, a health plan, a health insurer, or PBM, as  
            defined.


          9)Requires a prescription drug manufacturer to provide  
            notification to each state purchaser, health plan, health  
            insurer, or PBM:

             a)   If a brand name prescription drug manufacturer is  
               increasing the wholesale acquisition cost (WAC) of a  
               prescription drug by more than 10% or by more than $10,000  
               during any 12-month period; and,








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             b)   For a generic prescription drug manufacturer with a  
               generic drug of a WAC of $100 or more per month supply or  
               if it is increasing the WAC of the generic prescription  
               drug by more than 25% during a 12-month period.  


          10)Requires the price increase notification in 9) above to be  
            provided in writing at least 60 days before the planned  
            effective date of the increase.  Requires a notice to be  
            provided concurrently to the Chairs of the Senate Committee on  
            Appropriations, the Senate Committee on Budget and Fiscal  
            Review, the Assembly Committee on Appropriations, and the  
            Assembly Committee on Budget.  


          11)Requires, within 30 days of the price increase notification  
            in 9) above, the prescription drug manufacturer to report all  
            of the following information to each state purchaser, health  
            plan, health insurer, or PBM:

             a)   A justification of the proposed price increase in which  
               the manufacturer may limit the information in the  
               justification to that which is publicly available;

             b)   The previous year's marketing budget for the drug;

             c)   The date and price of acquisition if the drug was not  
               developed by the manufacturer; and,

             d)   A schedule of price increases for the drug for the  
               previous five years.


          12)Requires a prescription drug manufacturer to notify in  
            writing to each state purchaser, health plan, health insurer,  
            or PBM if it is introducing a new prescription drug to market  
            at a WAC of $10,000 or more annually or per course of  
            treatment.  Requires the notification to be provided in  








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            writing within three days of the federal Food and Drug  
            Administration (FDA) approval.  Requires a notification to be  
            provided concurrently to the Chairs of the Senate Committee on  
            Appropriations, the Senate Committee on Budget and Fiscal  
            Review, the Assembly Committee on Appropriations, and the  
            Assembly Committee on Budget.  


             a)   Requires, within 30 days of the price notification of a  
               new drug under 12) above, the prescription drug  
               manufacturer to report all of the following information to  
               each state purchaser, health plan, health insurer, or PBM:


               i)     A justification for the introductory price in which  
                 the manufacturer may limit the information in the  
                 justification to that which is publicly available;


               ii)    The expected marketing budget for the drug; and,


               iii)   The date and price of acquisition if the drug was  
                 not developed by the manufacturer.  


             b)   States that failure to report required information  
               pursuant to 11) and 12) above will result in a civil  
               penalty of $1,000 per day for every day after the 30-day  
               notification period.  


             c)   Requires the Legislature to conduct an annual public  
               hearing on aggregate drugs in prescription drug pricing.   
               Requires the hearing to provide for public discussion of  
               overall price increases, emerging trends, decreases in drug  
               spending, and the impact of prescription drug spending on  
               health care affordability and premiums.  Requires the  
               Legislature, except for the hearing, to keep confidential  








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               all of the information provided to the Legislature pursuant  
               to this section and exempt from PRA.  


          EXISTING LAW:  


          1)Establishes the DMHC to regulate health plans and the CDI to  
            regulate health insurers.

          2)Requires carriers to file specified rate information with DMHC  
            or CDI, as applicable, for health plan contracts or health  
            insurance policies in the individual or small group markets  
            and in the large group market.

          3)Requires, for large group health plan contracts and health  
            insurance policies, carriers to file with DMHC or CDI the  
            weighted average rate increase for all large group benefit  
            designs during the 12-month period ending January 1 of the  
            following calendar year, and to also disclose specified  
            information for the aggregate rate information for the large  
            group market.

          4)Requires carriers, for the small group and individual markets,  
            to file with DMHC and CDI, at least 60 days prior to  
            implementing any rate change, specified rate information so  
            that the DMHC and CDI can review the information for  
            unreasonable rate increases.  

          5)Requires DMHC and CDI to accept and post to their Internet  
            Websites any public comment on a rate increase submitted to  
            the DMHC and CDI during the 60-day period.

          6)Under federal law, requires drug manufacturers to obtain  
            approval of new drugs from the FDA.  

          7)Establishes the Sherman Law, administered by the Department of  
            Public Health (DPH), which, among other things, regulates the  
            packaging, labeling, and advertising of drugs and medical  








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            devices in California.
          8)Prohibits, in the Sherman Law, the sale, delivery, or giving  
            away of any new drug or new device unless it is either:

             a)   A new drug, and a new drug application that has been  
               approved by the FDA, pursuant to federal law, or it is a  
               new device for which a premarket approval application has  
               been approved, and that approval has not been withdrawn,  
               terminated, or suspended under the FDA; or,

             b)   A new drug or new device for which DPH has approved a  
               new drug or device application, and has not withdrawn,  
               terminated, or suspended that approval.

          9)Requires DPH to adopt regulations to establish the application  
            form and set the fee for licensure and renewal of a drug or  
            device license. 

          FISCAL EFFECT:  According to the Senate Appropriations  
          Committee:


          1)One-time costs of $220,000 and ongoing costs of $250,000 per  
            year for review of drug pricing information submitted by  
            health plans and to report to the Legislature by DMHC (Managed  
            Care Fund).  These costs include contract costs to study the  
            economic impact of drug prices on health care costs.



          2)Likely ongoing costs in the low hundreds of thousands per year  
            for review of drug pricing information submitted by health  
            insurers and to report to the Legislature by CDI (Insurance  
            Fund).



          3)Unknown costs for enforcement of the reporting requirement on  
            drug manufacturers by the Office of Statewide Health Planning  








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            and Development (OSHPD) (California Health Data and Planning  
            Fund).  This bill places a requirement on drug manufacturers  
            to report information on prices to state health care  
            purchasers.  This bill places this provision within the body  
            of law overseen by the OSHPD.  However, OSHPD indicates that  
            this bill, as drafted, does not give the OSHPD legal authority  
            to enforce this reporting requirement.



          COMMENTS:


          1)PURPOSE OF THIS BILL.  According to the author, the  
            introduction of new and innovative drugs is vital to our  
            health care system, but these often high-priced treatments  
            come with a multitude of challenges.  Drugs priced in excess  
            of $10,000 are becoming common-place with little transparency  
            for these astronomical price tags.  This high-priced trend is  
            a costly burden for patients, state programs, employers, and  
            other payers, making it crucial that we understand what's  
            behind the exploding prices.  The public and policymakers need  
            greater insight that will allow us to identify strategies to  
            ensure prices do not threaten access to life-saving  
            treatments.  Additionally, data suggest that publically  
            accessible price information in other sectors of the health  
            care market encourage providers to offer more competitive  
            pricing and thereby reduce excess health spending.   
            Transparency-focused policies, like those implemented by the  
            federal Patient Protection and Affordable Care Act, have led  
            to rules requiring hospitals in California to provide  
            information on pricing for common surgeries, health plans to  
            submit detailed data regarding premium changes, and doctors to  
            report more information to the federal government.  But, drug  
            makers have been granted an exception to this forward-thinking  
            trend.  This bill will bring prescription drugs in line with  
            the rest of the health care sector by shedding light on those  
            drugs that are having the greatest impact on our health care  
            dollar.  This change is absolutely necessary in an environment  








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            where more than 900 drugs are sporting price-tags at or above  
            $10,000 and new drugs with record-breaking prices are being  
            released to address diseases that impact millions, including  
            hundreds of thousands of patients in public programs like  
            Medi-Cal.

          2)BACKGROUND.  

             a)   The Rising Costs of Drugs.  According to the Centers for  
               Medicare and Medicaid Services (CMS), prescription drug  
               spending increased 12.2% to $297.7 billion in 2014, faster  
               than the 2.4% growth in 2013.  A study published in Health  
               Affairs in December 2015 found that drug spending is  
               growing faster than other health care spending in the U.S.  
               - increasing 12.2% between 2013 and 2014.  A Kaiser Family  
               Foundation (KFF) analysis of data from the CMS and Truven  
               Health Analytics shows that while drugs account for 10% of  
               U.S. health spending, it represents 19% of the cost of  
               employer insurance benefits.  Some speculate that this  
               disparity exists because the $3 trillion in U.S. health  
               spending is a broad catchall which includes hospital care,  
               physician services, drugs, research, administrative costs,  
               public health activities, and long-term care.   
               Additionally, some of the people served by Medicare and  
               Medicaid (whose spending is counted in the national totals)  
               require many services not typically used by those covered  
               by employer health plans.  According to an analysis by the  
               CEO of the KFF, even that 19% figure is understated because  
               while it includes prescriptions that patients fill at  
               pharmacies, it does not include many of the expensive drugs  
               administered in physicians' offices or hospitals.  In  
               Medicare, for example, retail prescription drugs represent  
               13% of overall spending while drugs administered mainly by  
               physicians add an additional 6%.

             According to the June 2016 California HealthCare Foundation's  
               (CHCF) Issue Brief, in 2015, the total U.S. expenditure on  
               prescription medicines was $425 billion, a 12.2% increase  
               over 2014 total expenditure or an 8.5% increase when  








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               adjusted for net expenditures.  CHCF states that U.S.  
               pharmaceutical prices are among the highest worldwide, and  
               escalating costs have been a concern for many years,  
               presenting challenges for federal, state, and private  
               purchasers.

             CHCF reports California efforts to impact the drug pricing  
               environment in Medi-Cal, proposed laws, Covered California,  
               and the California Technology Assessment Forum (CTAF).   
               CHCF states that the Department of Health Care Services  
               (DHCS), administrator of the Medi-Cal program, reports the  
               total savings from drug rebates, however, it cannot make  
               public the individual rebates provided by manufacturers per  
               federal and state law.  While DHCS must make available  
               nearly all FDA-approved drugs to its beneficiaries, its  
               contract drug list helps direct providers to use more  
               cost-effective alternatives by allowing them to forgo  
               submission of Treatment Authorization Requests.   
               Additionally, CHCF notes that Covered California,  
               California's state based exchange, has drafted into  
               contracts with its qualified health plans disclosure  
               language about health plans' actions concerning drug  
               assessments and pricing.  This information is meant to set  
               a baseline for future consideration of efforts to bring  
               consistency, quality, and affordability to Covered  
               California patients.  According to the CHCF, CTAF is now  
               under the auspices of the nonprofit Institute for Clinical  
               and Economic Review (ICER) and uses the ICER Evidence  
               Rating Matrix for rating Comparable Clinical Effectiveness,  
               a multistep assessment for calculating the net health  
               benefit for patients of new or existing drugs or other  
               medical interventions.  ICER then applies a method for  
               assessing cost-effectiveness as well as an evaluation of  
               the impact on state or national budgets.  ICER recently  
               received a five-year grant to expand its work on  
               prescription drugs, and while these results do not carry  
               the authority to set formulary or pricing limits, this  
               process has been lauded by others working on the drug  
               pricing issue. 








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             b)   Drug pricing.  Federal regulations prohibit the U.S.  
               government from setting the price of pharmaceuticals, and  
               patents on drugs, in effect, prohibiting competition, at  
               least initially. Countries without these restrictions  
               generally buy drugs for a fraction of the U.S. price.  
               Pharmaceutical companies argue that high drug prices are  
               justified because of the enormous cost and risk associated  
               with bringing a drug to market and that payment for current  
               drugs fund future innovation.  Developing a new drug costs  
               an average of $1.2 billion and takes 10 to 15 years.  When  
               a new drug provides a cure for a disease, as opposed to  
               only treating symptoms, drug companies claim that a high  
               upfront cost is mitigated by not having to treat symptoms  
               indefinitely.  However, critics point to numerous examples  
               of drug companies charging high prices for drugs with only  
               marginal improvements over cheaper alternatives, or  
               astounding increases in pricing for drugs that have been on  
               the market for years.



             c)   Price Benchmarks.  Knowing how much a drug costs is  
               difficult; there are many different prices for each drug  
               and different ways of expressing those prices.  In the  
               U.S., the two most common ways of stating drug prices are  
               the WAC and average wholesale price (AWP).  Neither one,  
               though, is the actual price paid by a payer.  Rather, they  
               are standardized ways of expressing a price, thus allowing  
               comparisons to be made from one drug to another.  AWP is a  
               benchmark that has been used for over 40 years for pricing  
               and reimbursement of prescription drugs for both government  
               and private payers.  Initially, the AWP was intended to  
               represent the average price that wholesalers used to sell  
               medications to providers, such as physicians, pharmacies,  
               and other customers.  However, the AWP is not a true  
               representation of actual market prices for either generic  
               or brand drug products.  AWP has often been compared to the  
               "list price" or "sticker price," meaning it is an elevated  








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               drug price that is rarely what is actually paid.  AWP is  
               not a government-regulated figure, does not include buyer  
               volume discounts or rebates often involved in prescription  
               drug sales.  As such, the AWP, while used throughout the  
               industry, can be a controversial pricing benchmark.



             The WAC price of a drug on the market, as originally  
               announced by the company is also rarely the price paid by a  
               payer.  The actual price paid by any one payer is  
               proprietary information, complicating discussions of value  
               and cost to consumers.  Drug companies negotiate with  
               payers - Medicare, Medicaid, carriers, and PBMs - to set an  
               initial gross sales price.  Drug manufacturers pay rebates  
               back to government entities, creating a difference between  
               gross sales for a drug and net sales.  The rebates are not  
               publicly available, and vary highly among payers and for  
               different drugs.  Estimates put them between 2% for  
               innovative new drugs all the way to 60% for drugs that have  
               several competitors or generics on the market.  

             The Medicaid Drug Rebate Program ensures that Medicaid  
               receives a net price lower than the "best price" paid to  
               manufacturers by any private-sector purchaser for a  
               particular drug.  This "best price" amount is used to  
               calculate the federal Medicaid basic rebate required of  
               manufacturers.  In exchange, state Medicaid programs must  
               generally cover a participating manufacturer's drugs.  In  
               addition to the federal basis rebate, states may also  
               receive supplemental rebates for drugs placed on their  
               Medicaid preferred drug list.  Private purchasers are  
               precluded from negotiating a price that is lower than the  
               Medicaid "best price," which includes all rebates,  
               discounts, or other adjustments.  According to DHCS, drug  
                    manufacturers are required to pay a Medi-Cal rebate for all  
               outpatient drugs that are dispensed and paid for by the  
               Medi-Cal program.  In addition, some manufacturers have  
               agreed to pay supplemental Medi-Cal rebates above the  








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               standard rebate.  Federal law requires rebates for  
               prescriptions offered through the AIDS Drug Assistance  
               Program (ADAP), in part because of the high cost of  
               HIV/AIDS medications.  According to the KFF, drug  
               manufacturer rebates account for 40% of the annual ADAP  
               budget. 

             d)   Impact on state finances.  Medi-Cal provides health care  
               coverage for nearly one-third of Californians. Combined  
               with the California Public Employees' Retirement System  
               (CalPERS), ADAP, state hospitals, and corrections, taxpayer  
               liability for increasing drug costs is significant.   
               According to a December 2015 report published by the U.S.  
               Senate Committee on Finance, Medi-Cal's fee-for-service  
               (FFS) system alone spent nearly $25 million treating  
               roughly 340 patients with Sovaldi and Harvoni in 2014.   
               However, Medi-Cal FFS is only a fraction of the Medi-Cal  
               population.  According to DHCS, private health plans  
               invoiced the state an additional $387.5 million for Sovaldi  
               and Harvoni treatments for Medi-Cal managed care enrollees  
               between July 2014 and November 2015 (for 3,624 patients).   
               Additionally, as a direct result of Sovaldi and Harvoni  
               pricing, the 2015-16 California State Budget allocated $228  
               million just for high cost drugs to DHCS and the California  
               Department of Corrections and Rehabilitation.  In December  
               2015, it was reported that CalPERS spent $438 million on  
               specialty drugs, an increase of 32% from the previous year.  
                This represents one quarter of the total drug costs paid  
               by CalPERS, while only 1% of the prescriptions filled. 


          3)STATE INITIATIVE.  The California Drug Price Relief Act  
            Initiative (Initiative) prohibits the State of California or  
            any state entity from entering into any agreement with a drug  
            manufacturer for the purchase of a prescribed drug unless the  
            net cost of the drug is the same as or less than the lowest  
            price paid for the same drug by the U.S. Department of  
            Veterans Affairs.  The Initiative may be on the California  
            ballot this Fall.








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          4)SUPPORT.  California Labor Federation, AFL-CIO (CLF), a  
            cosponsor of this bill, states this bill requires transparency  
            from pharmaceutical companies and from health plans and  
            insurers that purchase prescription drugs for consumers.  CLF  
            writes that this two-prong approach will push purchasers to  
            negotiate for better prices and will give policy makers better  
            data on price increases that impact consumers, employers, and  
            taxpayers.  Health Access California, a cosponsor of this  
            bill, states that notice and disclosure are important tools to  
            provide transparency in health care and there is a strong  
            public policy interest to get basic information on  
            prescription drug prices.  AARP believes that increased  
            transparency in the marketplace will empower consumers and  
            could provide much-needed clarity and a better understanding  
            of the pharmaceutical industry's pricing methods.  The  
            California Teamsters Public Affairs Council (Teamsters) states  
            that prescription drug costs for outpatient drugs are almost  
            20% of the premium dollar so these price increases are  
            directly driving increases in health care costs for their  
            trust funds.  The Teamsters state that this bill provides  
            transparency of prescription drug costs by giving notice to  
            public and private purchasers, including the PBMs, such as  
            those their trust funds use to manage the pharmacy benefit.   
            Anthem Blue Cross states that there needs to be accountability  
            on all stakeholders in the industry to ensure drugs are priced  
            appropriately.  Molina Healthcare of California notes that by  
            focusing on high priced medication and price increases, this  
            bill would take a step toward more understanding of the drugs  
            driving the rapid escalation in costs, and whether price  
            increases are justified.  

          5)OPPOSITION.  The Pharmaceutical Research and Manufacturers of  
            America (PhRMA) contends that the 60 day notice requirement of  
            a price increase on an existing drug will lead to stockpiling  
            and will put patient access to medicine at risk.  PhRMA also  
            states that this bill does not present a complete picture of  
            drug costs since there is no provision to disclose - even in  
            the aggregate - the significant discounts and rebates  








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            pharmaceutical manufacturers agree to for both public and  
            private purchasers nor is there any reporting attributable to  
            the downstream savings from health care cost avoidance.   
            Additionally, PhRMA notes that branded drug manufacturers and  
            generic manufacturers are not treated equally under this bill  
            due to the different reporting percentage.  According to  
            PhRMA, nearly 90% of all drugs dispensed are generic.   
            Finally, PhRMA contends that PBMs have been added as  
            recipients of drug manufacturers' information; however, this  
            bill does not require PBMs to disclose discounts and whether  
            they are passing those discounts to patients and payers.  The  
            Biotechnology Innovation Organization (BIO) contends that this  
            bill does not address the value that an innovative therapy can  
            have to an individual patient, especially one who may have no  
            other recourse.  Additionally, BIO notes that this bill  
            requires manufacturers to publicly report a compilation of  
            individual proprietary data points on the costs to market an  
            innovative therapy when certain criteria is triggered.  


          6)RELATED LEGISLATION.  

             a)   AB 2436 (Roger Hernández) of 2016 would have required  
               carriers to provide at the time that a prescription drug is  
               delivered or within 30 days of purchase, specified  
               information related to the cost of the prescription drug.   
               AB 2436 died on the Assembly Floor.  

             b)   AB 2711 (Chiu) of 2016 would have reinstated a  
               previously repealed requirement for the Department of  
               General Services to report to the Legislature on its  
               prescription drug bulk purchasing program.  AB 2711 was  
               held on the Assembly Appropriations Committee suspense  
               file.  

             c)   AB 463 (Chiu) of 2015 would have required pharmaceutical  
               companies to file an annual report with OSHPD containing  
               specified information regarding the development and pricing  
               of prescription drugs.  The Assembly Health Committee  








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               hearing was canceled at the request of the author.  

             d)   AB 339 (Gordon), Chapter 619, Statutes of 2015, requires  
               carriers that provide coverage for outpatient prescription  
               drugs to have formularies that do not discourage the  
               enrollment of individuals with health conditions, and  
               requires combination antiretroviral drug treatment coverage  
               of a single-tablet that is as effective as a multitablet  
               regimen for treatment of HIV/AIDS, as specified.  AB 339  
               places in state law, federal requirements related to  
               pharmacy and therapeutics committees, access to in-network  
               retail pharmacies, standardized formulary requirements,  
               formulary tier requirements similar to those required of  
               health plans and insurers participating in Covered  
               California and copayment caps of $250 and $500 for a supply  
               of up to 30 days for an individual prescription, as  
               specified. 

          7)PREVIOUS LEGISLATION.  SB 1052 (Torres), Chapter 575, Statutes  
            of 2014, requires health plans and insurers to use a standard  
            drug formulary template to display their drug formularies and  
            to post their formularies on their Internet Websites and  
            requires Covered California to provide links to the  
            formularies.


          REGISTERED SUPPORT / OPPOSITION:



          Support

          California Labor Federation, AFL-CIO (cosponsor)


          Health Access California (cosponsor)


          AIDS Healthcare Foundation








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          AARP


          America's Health Insurance Plans


          Anthem Blue Cross


          Association of California Life and Health Insurance Companies


          Association of California State Supervisors


          Blue Shield of California


          California Alliance for Retired Americans


          California Association of Health Plans


          California Conference Board of the Amalgamated Transit Union


          California Conference of Machinists 


          California Medical Association


          California Nurses Association 


          California Optometric Association 








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          California Pan-Ethnic Health Network


          California Pharmacists Association


          California Professional Firefighters


          California School Employees Association, AFL-CIO


          California State Council of Service Employees International  
          Union


          California State Retirees


          California Teachers Association 


          California Teamsters Public Affairs Council 


          CalPERS


          CALPIRG


          Carson Chamber of Commerce 


          Central Labor Council of Contra Costa County










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          Cigna


          Congress of California Seniors 


          Consumers Union


          Courage Campaign


          Engineers and Scientists of California, IFPTE Local 20, AFL-CIO


          Fresno Chamber of Commerce


          Greater Riverside Chamber of Commerce


          Hunger Action Los Angeles


          Industry Manufactures Council


          International Longshore and Warehouse Union


          Kaiser Permanente


          Kaiser Permanente Marin Sonoma Area 


          League of California Cities










                                                                    SB 1010


                                                                    Page  20





          LIUNA Locals 777 & 792


          Los Angeles Area Chamber of Commerce


          Molina Healthcare of California 


          National Multiple Sclerosis Society - CA Action Network


          North Bay Labor Council, AFL-CIO


          Oakland Metropolitan Chamber of Commerce


          Ontario Chamber of Commerce


          Pacific Business Group on Health


          Pharmaceutical Care Management Association


          Professional and Technical Engineers, IFPTE Local 21, AFL-CIO


          Project Inform


          Redondo Chamber of Commerce


          Sacramento Metropolitan Chamber of Commerce










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                                                                    Page  21





          San Jose Silicon Valley Chamber of Commerce


          San Mateo County Central Labor Council


          San Ramon Chamber of Commerce


          School Employers Association of California 


          Silicon Valley Employers Forum


          Small Business Majority


          Small School Districts Association
          South Bay Association of Chambers of Commerce
          State Building and Construction Trades Council


          United Nurses Association of California/Union of Health Care  
          Professionals


          UNITE-HERE, AFL-CIO


          Utility Workers Union of America


          Valley Industry and Commerce Association 



          Opposition









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                                                                    Page  22





          Biocom


          Biotechnology Innovation Organization 


          California Life Sciences Association 


          California Hepatitis C Task Force


          California Manufacturers and Technology Association (previous  
          version)


          California Senior Advocates League


          California Taxpayers Association (previous version)


          Citizens Against Government Waste


          Council on State Taxation (previous version) 


          Generic Pharmaceutical Association


          Lupus Foundation of Southern California 


          Mylan Inc.


          Pharmaceutical Research and Manufacturers of America









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                                                                    Page  23








          Analysis Prepared by:Kristene Mapile / HEALTH / (916)  
          319-2097