Kaiser Daily Health Policy Report Rounds Up Recent Prescription Drug News in Hawaii and Minnesota
The following is a summary of recent developments in state's prescription plans:
- Hawaii: State lawmakers are considering two proposals that would help residents cope with rising prescription drug prices, the Pacific Business News reports. The first proposal would expand Medicaid drug coverage to uninsured individuals with annual household incomes up to 300% of the federal poverty level, which HHS defines for Hawaii as $41,200. In Hawaii, Medicaid drug coverage is currently open to individuals with annual incomes up to 100% of the poverty level, or $10,200 for a Hawaii resident. State Rep. Roy Takumi (D), who is sponsoring the legislation, said the measure would extend coverage to between 150,000 and 160,000 uninsured residents. The Business News does not give an estimate on what the expansion would cost. The second bill, also sponsored by Takumi and opposed by the pharmaceutical industry, would create a state-run bulk purchasing plan that would negotiate discounts from drug makers. Takumi said the state would retain about 2% of the rebates obtained from drug companies to run the program (Sawada, Pacific Business Journal, 4/4).
- Minnesota: A state House committee approved a bill on April 9 that would allow uninsured residents with annual household incomes up to 250% of the federal poverty level -- $29,000 for a couple -- to obtain discounts on prescription drugs, the St. Paul Pioneer Press reports. The bill would require drug companies to offer such residents the same discounts that the state receives when it purchases drugs for Medicaid beneficiaries. Those discounts average about 20% off a drug's retail price. The bill's approval by the Finance Committee is considered significant because the measure was backed by some representatives who had criticized a similar proposal approved last year by the state Senate. That bill called for discounts for all residents who lacked drug benefits, regardless of income (Stassen-Berger, St. Paul Pioneer Press, 4/10).
