In Review: Over the holiday break, PCMA, along with several members in potential areas we could work with the administration on including offering both spread and pass-through, AWP with terms and conditions, and offering clients 100% rebate pass-through. Governor Gavin Newsom (D) released his 2025 budget proposal and, as expected, referenced the prescription drug affordability. Specifically, the Governor’s budget stated: “Given the rising costs of pharmacy expenditures, the Administration will continue to evaluate key drivers of prescription drug cost growth, including the impact of pharmacy benefit managers. Building on the goals of the Office of Health Care Affordability and CalRx, the Administration is exploring approaches to increase transparency in the pharmacy supply chain and improve the affordability of prescription drugs in California.”  We announced that we had engaged a new Comms firm in Sacramento, Think Big Media, LLC, who has experience working on some of our ads in opposition to SB 966 last session.

Up Next: We are working on amendment language to Senator Scott Wiener’s (D) new anti-PBM bill, SB 41, which is essentially SB 966 in its earlier, more draconian form – e.g., it includes delinking and a ban on spread pricing.

If you have any questions, please contact Bill Head at bhead@pcmanet.org.