• Health affairs · Sep 2018

    California's Drug Transparency Law: Navigating The Boundaries Of State Authority On Drug Pricing.

    • Katherine L Gudiksen, Timothy T Brown, Christopher M Whaley, and Jaime S King.
    • Katherine L. Gudiksen is a senior research fellow at the Source on Healthcare Price and Competition, University of California Hastings College of the Law, in San Francisco.
    • Health Aff (Millwood). 2018 Sep 1; 37 (9): 1503-1508.

    AbstractThe California drug transparency bill (SB-17), signed into law in October 2017, seeks to promote transparency in pharmaceutical pricing, enhance understanding about pharmaceutical pricing trends, and assist in managing pharmaceutical costs. This article examines the legal and regulatory aspects of SB-17, explores legal challenges to the law, compares it to other state efforts to address rising drug prices, and discusses how California can maximize the impact of SB-17 by coupling the law with other incentives. While SB-17 might not significantly reduce drug prices, the new law represents a meaningful step for one state seeking to negotiate the political and legal boundaries of state action to rein in drug prices.

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