Posted on: Monday, September 1, 2003

Study looks at Maine's medicine-pricing plan

Advertiser Staff

Advocates of a state program to reduce medicine prices will travel to Maine this week to study that state's novel prescription-drug legislation.

Making the trip are state Rep. Roy Takumi, D-36th (Pearl City, Palisades), Sen. Ron Menor, D-17th (Mililani, Waipi'o) and Greg Marchildon, executive director of AARP Hawai'i.

Hawai'i lawmakers last year approved the Hawai'i Rx program, which was modeled after Maine's program. It would create a purchasing pool that would negotiate bulk discounts with drug manufacturers and pass the savings on to individuals.

Hawai'i Rx members would buy those medicines at participating pharmacies at discounted prices.

Maine lawmakers amended the state's original prescription-drug law to establish an income threshold of 350 percent of the federal poverty level. People earning less than that and people with drug expenses that exceed 5 percent of their total income are eligible to purchase certain drugs at discounted prices.

"Maine's enactment of new measures this summer gives us well-crafted model legislation to study and use in preparing bills for next session that will deliver additional cost savings for Hawai'i's healthcare consumers," Menor said.

The trip includes meetings with Maine Gov. John Baldacci, Maine state officials and citizen groups.

The state Senate has approved $1,390 in airfare and per diem costs for Menor's trip; Takumi's costs will be covered by his legislative allowance.

The U.S. Supreme Court in May allowed the Maine program to go forward but stopped short of making a broad endorsement of the plan, ruling only that pharmaceutical companies did not adequately show why it should be blocked.