Abstract
Introduction
In 2005, 17% of the nation' s $2 trillion in health care costs was paid by
state and local governments, including more than $21.7 billion for
prescription drugs; these costs are expected to double over the next ten
years. Determined to protect state budgets without cutting essential health
care services, state legislatures are enacting laws intended to lower drug
costs by regulating the health care and prescription drug industries.
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As drug costs continue to rise, state legislatures become increasingly
proactive, enacting legislation intended to contain costs and to create new
kinds of local health care initiatives-and taking legal action against
pharmaceutical companies over issues of drug pricing and safety. Can
pharmaceutical companies turn this situation around? How can companies adjust
their marketing strategies to the requirements of increasingly vigilant
national and state governments? In the current environment of distrust, are
there opportunities for companies to build mutually benefi cially
relationships with the states? In the proliferation of state initiatives in
many areas of health care, are there any that may benefi t pharmaceutical
companies?
Scope
- Issues addressed by state legislatures: drug pricing, drug
reimportation, patient/prescriber privacy, electronic medical records, stem
cell funding, life sciences research, HPV vaccination, universal health care
- 2007 state legislation: most active states, bills fi led, most
frequently targeted pharmaceutical-related issues
- Programs initiated by states: evidence-based medicine initiatives,
Pennsylvania PACE Program, Oregonbased Drug Effectiveness Review Project, the
Prescription Project, child health insurance programs, drug purchase
assistance, state-funded life sciences research initiatives
- Prescription data protection: New Hampshire prescription
information law, AMA prescribing data restriction program
- Electronic health records: State Alliance for e-health, individual
state initiatives, National Health Information Network
- State legal actions against pharmaceutical companies: companies
targeted, plaintiff states, nature of complaints, settlements awarded
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