A measure requiring drug manufacturers to explain a spike in their prices was approved by the Oregon House on Wednesday.
“Drug costs are skyrocketing and we don’t know why,” said Rep. Rob Nosse, D-Portland, the chief sponsor of the bill.
The legislation, House Bill 4005, requires prescription drug manufacturers who want to increase the cost of drugs by more than 10 percent a year explain why to the state’s Department of Consumer and Business Services. The legislation only applies to drugs that cost more than $100 for a one-month supply. Additionally, the bill creates a task force to address fair pricing of prescription drugs.
Related: Bipartisan Lawmakers Push Drug Pricing Transparency Act In Oregon
The measure came under attack early on in the legislative session when a Washington, D.C., group financially backed by the pharmaceutical company enlisted people to make calls and kill the bill, as reported by the Eugene Register-Guard.
Several Republicans voiced concerns about the bill; many said it didn’t go far enough to curb prices and worried drug companies could pull out of the state if forced to comply with reporting requirements.
Rep. Gene Whisnant, R-Sunriver, said the bill could hinder research and innovation in the drug manufacturing world by forcing them to disclose trade secrets. He pointed out that people don’t ask Nike how much it costs to produce a $200 basketball shoe.
“I want to help the drug industry to continue to develop drugs to help ensure better quality-of-life for me and all Oregonians,” Whisnant said.
Rep. Knute Buehler, the likely GOP gubernatorial candidate, voted in favor of the bill.
The measure passed 46-14 and now heads to the Senate.
