STAND. COM. REP. NO. 1658

Honolulu, Hawaii

RE:    H.B. No. 10

       S.D. 1

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fourth State Legislature

Regular Session of 2007

State of Hawaii

Madam:

     Your Committee on Commerce, Consumer Protection, and Affordable Housing, to which was referred H.B. No. 10 entitled:

"A BILL FOR AN ACT RELATING TO PRESCRIPTION DRUGS,"

begs leave to report as follows:

     The purpose of this measure is to make rebate agreements between drug manufacturers and the Department of Human Services mandatory.

     This measure also requires the Department of Human Services to inform health care providers about drug costs for manufacturers with rebate agreements and those without rebate agreements.

     Your Committee received written comments in support of this measure from the ILWU Local 142, AARP Hawaii, the National Multiple Sclerosis Society, Child and Family Service, the Hawaii Alliance for Retired Americans, the Policy Board for Elder Affairs, the Social Justice Council of the First Unitarian Church of Honolulu, and one individual.  Written comments in opposition to this measure were submitted by the Pharmaceutical Research and Manufacturers of America. 

     Your Committee finds that requiring, rather than allowing (as in existing law), drug manufacturers or labelers to make rebate payments to the State will result in lower prices than currently offered through the Rx Plus Program.  Your Committee believes Hawaii residents deserve open access to the most appropriate medications, without any restrictions, at reasonable prices.

     Your Committee has amended this measure to make technical, nonsubstantive changes for the purposes of clarity and style.

     As affirmed by the record of votes of the members of your Committee on Commerce, Consumer Protection, and Affordable Housing that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 10, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 10, S.D. 1.

Respectfully submitted on behalf of the members of the Committee on Commerce, Consumer Protection, and Affordable Housing,

____________________________

BRIAN T. TANIGUCHI, Chair