California tackles the "drug problem" ......COST of drugs

[SoCalDem]

http://www.rednova.com/news/health/188873/pharmaceutical_firms_fight_prop_79_with_their_prop_78/


Pharmaceutical Firms Fight Prop. 79 With Their Prop. 78


Backers of two dueling initiatives that would slash prescription-drug prices are spending millions to convince voters they have the best solution to make drugs more affordable for Californians. Both of the November ballot measures would establish a drug-discount program for low-income Californians funded through rebates from drug manufacturers. But the measures take different approaches to get there.

Prop. 79 is backed by labor unions and consumer groups. It would require drug manufacturers to offer drug discounts to low-income residents. Drug companies that decline to offer the discounts would be prohibited from selling their products through the state's Medi-Cal program.

Prop. 78, backed by the pharmaceutical industry, would create a similar discount program. But participation by drug makers would be voluntary and they wouldn't face the Medi-Cal prohibition or other punishment for not providing discounts.

What will decide the outcome, experts say, is which campaign does the better job crafting its message. So far, the pharmaceutical industry has contributed more than $53 million toward the Prop. 78 effort. Consumer groups and unions support Prop. 79 and have raised at least $9 million so far for Alliance for a Better California, a multiple-issue committee that lobbies for or against various initiatives.
And the ads have barely begun. snip....

The propositions...


DUELING INITIATIVES

California voters will decide on two ballot measures in November aimed at establishing a discount drug program for low-income residents.

Prop. 78

Backed by pharmaceutical industry.

Would offer discounts of 40 percent or more on certain drugs for individuals who earn up to $28,000 and families of four who earn up to $56,500. Would permit drug companies to participate in the discount program on a voluntary basis. The program would mainly be for people without other health-care coverage, but some on Medicare could participate.

Prop. 79

Backed by consumer groups and unions.

Would offer discounts to individuals who make $37,000 or less a year and families of four who earn less than $75,000 a year. Pharmacies would voluntarily participate in the program and sell drugs at prices prenegotiated with the state. Drug companies that don't sell discounted drugs as part of the program would be barred from selling drugs to the state Medi-Cal system

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