Scherer-Backed Bill Aims to Lower Prescription Drug Costs and Protects Local Pharmacies

SPRINGFIELD, Ill. – State Rep. Sue Scherer, D-Decatur, is working to bring down the cost of prescription drugs and protect local pharmacies by passing new legislation that will crack down on big pharma middlemen who raise costs to simply pad their own profits.

“For far too long, patients have had to contend with artificial prescription drug price inflation because of runaway corporate greed,” said Scherer. “The United States has the highest prescription drug prices in the world, and bringing those costs under control is critical to helping working families and seniors on fixed incomes make ends meet.”

Scherer supported House Bill 1697, which is also known as the Prescription Drug Affordability Act, to curb abusive and uncompetitive practices pharmacy benefit managers (PBMs) use to unjustly raise the price of the critical prescription drugs that patients across the state depend on. PBMs are companies that work with health insurance companies, hospitals and governments to negotiate prescription drug prices. PBMs compile lists of preferred drugs and pharmacies, and “steer” patients to preferred ones. Since the largest ones are owned by large corporations, these practices help to raise the price of prescription drugs and make it less attractive for independent pharmacies to stay in business.

The Scherer-backed bill makes sweeping changes including a ban on “steering” and artificially raising prices by classifying commonly used drugs as specialty. Additionally, PBMs will have to pay for the damage that decades of their monopolistic practices have wreaked on communities. Beginning in September of this year, PBMs’ registration fees will be allocated to the Prescription Drug Affordability Fund. The Fund will distribute $25 million in grants to underserved and rural pharmacies to further increase patients’ access to prescription drugs.

“I will never stop standing up, and fighting against the unchecked greed and lack of good conscious that poisons our healthcare system,” said Scherer. “I look forward to seeing more Central Illinoisans access the lifesaving medication they need without compromising their finances.”