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Board endorses educational campaign on sustainable drug pricing, urges Board of Supervisors to consider similar action

Health Service Board · June 9, 2016
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Summary

The Health Service Board expressed support for an educational effort on sustainable drug pricing led by a national coalition and urged the Board of Supervisors to consider related action; counsel clarified the board cannot directly endorse lobbying activity.

The Health Service Board voted unanimously May 12 to endorse a resolution supporting the educational work of the National Coalition on Healthcare and to urge the Board of Supervisors to consider similar initiatives on drug pricing transparency.

Director Dodd described SB1010 (state legislation) and the local campaign: SB1010 would require reporting to employers and to regulators when pharmaceutical price increases exceed 10% or when a prescription course costs more than $10,000, prompting a regulator hearing. Dodd said the board’s resolution was drafted to support educational efforts rather than to fund lobbying: "This board can't take positions on things organizations are doing that are lobbying," she said, explaining the distinction and that the resolution asks the Board of Supervisors to consider signing on and that the National Coalition's educational arm does not lobby.

Board members asked about the campaign’s sponsors and funding; Dodd said many large employers and Kaiser's affiliates were supporters and that campaign participation costs $25,000. The board asked staff to clarify agenda language so that it reads as support for educational work and encouragement to the Board of Supervisors, rather than the board signing on to an active lobbying campaign.

Outcome and significance: The board’s action is symbolic and focused on education and intergovernmental coordination. The resolution passed unanimously; staff will ensure agenda and packet language match the resolution’s focus and will notify the Board of Supervisors and relevant associations (CSAC) of the board’s support for educational efforts.