SACRAMENTO, Calif. (AP) – A California lawmaker says he’s dropping a bill that would have required advance notice before drug companies could raise their prices more than 10 percent.
Democratic Sen. Ed Hernandez of West Covina said Wednesday that changes made in the Assembly made the legislation too weak.
SB1010 would have required pharmaceutical companies to notify buyers before increasing the price of a drug by 10 percent or $10,000 a year. Insurance companies would be required to report data on drug prices to state regulators, including the portion of premiums attributable to pharmaceuticals.
Patient advocacy groups, unions and insurance companies that supported the legislation say they’ll keep working on ways to reduce drug pricing.
Drug manufacturers opposed the legislation.