Oregon Gov. Kate Brown on Tuesday signed into law a bill which aims to stave off high drug costs and introduce increased transparency to pharmaceutical pricing.
The law, HB 4005, says drugmakers must report research and development, marketing costs and profits for drugs that see a more than 10-percent increase in price.
According to a Fierce Pharma report, drug companies must also report the availability of generic drugs and some drug prices in other countries.
Pharmaceutical companies under the new law must issue their first reports by July next year.
Brown says the law “brings greater transparency around drug pricing, an important step towards making life-saving and essential drugs more available and affordable.”
However, a spokesperson for PhRMA expressed some doubts about the law, saying it “won’t deliver deliver real answers or cost-savings for patients.”
