Bills would help lower prescription drug costs and could establish upper payment limits on life-saving medicine
LANSING, Mich. (Sept. 27, 2023) — After receiving widespread support from local, state and national health and policy experts and advocates, the Senate Committee on Finance, Insurance and Consumer Protection voted today to pass Senate Bills 483–485. The legislation, sponsored by Sens. Darrin Camilleri (D-Trenton), Kristen McDonald Rivet (D-Bay City), and Veronica Klinefelt (D-Eastpointe), will create an independent Prescription Drug Affordability Board (PDAB) in Michigan to help lower prescription drug costs for all consumers.
The PDAB would have the authority to analyze, evaluate and recommend strategies to mitigate the rising drug costs in Michigan — including establishing upper payment limits (UPL) on any prescription drugs sold in the state. The board will consist of unbiased experts and have safeguards against external influence, ensuring a comprehensive and nonpartisan approach.
“Today’s committee vote marks a significant step forward in our ongoing efforts to tackle the exorbitant costs of prescription drugs,” said Sen.Camilleri. “By establishing a Prescription Drug Affordability Board, we can bring together diverse perspectives to develop innovative solutions that promote affordability and equitable access to vital medications for all Michiganders.”
The PDAB would play a crucial role in identifying opportunities for cost savings and promoting transparency in prescription drug pricing. The board’s recommendations will also serve as a valuable resource for lawmakers, guiding them in the development of effective legislation to combat rising drug costs and protect the health and well-being of Michigan residents.
“With this Prescription Drug Affordability Board, we’re aiming to uphold care and lower costs for consumers and small businesses. That’s reflected by the widespread support for this legislation from my constituents as well as healthcare experts from across the state and country,” said Sen. McDonald Rivet. “The goal of these bills is to harness data, expertise, and lived experiences to rein in Big Pharma’s escalating drug costs.”
By establishing a PDAB, Michigan would become the seventh state to take action on the most expensive prescriptions, protecting the health and financial stability of its residents.
“I am pleased to see these bills make progress through committee,” said Sen. Klinefelt. “This legislation will ensure vulnerable Michigan residents can’t be taken advantage of and serve as a necessary safeguard against price manipulation.”
Senate Democrats remain committed to advancing these bills and are dedicated to ensuring that the Prescription Drug Affordability Board becomes a reality in Michigan, fostering a healthcare system that prioritizes affordability and equitable access to prescription drugs.
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