SB 499

This bill requires certain cost reporting by manufacturers of brand-name and

generic drugs. The bill requires a manufacturer to notify the Department of Health

Services and the Office of the Commissioner of Insurance if it is 1) increasing the

wholesale acquisition cost of a brand-name drug on the market in Wisconsin by more

than 25 percent over a 24-month period; 2) intending to introduce in Wisconsin a

brand-name drug that has an annual wholesale acquisition cost of $30,000 or more;

3) increasing the wholesale acquisition cost of a generic drug on the market in

Wisconsin by more than 25 percent or by more than $300 during any 12-month

period; or 4) intending to introduce in Wisconsin a generic drug that has an annual

wholesale acquisition cost of $3,000 or more. The manufacturer must provide the

notice at least 30 days before the planned date of the increase or introduction and

must provide a justification including a description described in the bill. A

manufacturer is also required to annually report to DHS and OCI the value of price

concessions provided to each pharmacy benefit manager for each drug sold in

Wisconsin for which a notice was required. The bill also requires each manufacturer

of a brand-name or generic drug sold in Wisconsin to submit to DHS and OCI a report

containing a description of each manufacturer-sponsored assistance program in

effect during the previous year that includes the criteria for participation, the

program terms, and the number of prescriptions and the total market value of

assistance provided to residents of Wisconsin under the program. The manufacturer

must certify the information provided in a notice or report required under the bill

under penalty of perjury, and failure to provide the notice or report is subject to a

forfeiture determined by DHS but not to exceed $10,000 per day past due.

The bill requires DHS to publish the pricing justification information reported

by manufacturers on its Internet site. DHS must also analyze the information and

publish a report on its Internet site describing trends in drug pricing.