FOR IMMEDIATE RELEASE

FEINSTEIN, BOXER & PELOSI URGE CALIFORNIANS TO SUPPORT PROP. 79
Monday, October 31

California's Top Leaders in Congress Back Measure to Provide Enforceable Prescription Drug Discounts to Low & Moderate Income Californians

WASHINGTON , D.C. -- Senators Barbara Boxer and Dianne Feinstein along with Congresswoman Nancy Pelosi are urging California voters to vote “yes” on Prop. 79, the enforceable prescription drug discount measure sponsored by consumer, senior, and health groups. The three senior leaders in California ’s congressional delegation all oppose Prop. 78, the voluntary discount program backed by the pharmaceutical industry.

“High prescription drug prices are hurting real families in California , forcing many to do without the medication they depend on,” said Senator Feinstein. “Prop. 79 lets the state use its buying power to get the best price on prescription drugs and pass on significant savings to millions of Californians.”

An August 2005 Kaiser Family Foundation report found that nearly one-quarter of Americans report that they or someone in their household did not fill a prescription, cut pills, or split doses in the past year because of the price. Among those who take prescription drugs each day, 34 percent report that it is difficult for them to afford the medication they require to maintain good health.

Prop 79 gives California the power to negotiate and enforce discounts by using its leverage as a big purchaser of prescription drugs. California currently negotiates discounts of 50 percent or more for the medicine it buys for patients covered by Medi-Cal. If a drug company refuses to meet the asking price, the state can shift business away from that company and buy more from others that offer acceptable discounts.

Prop 79 builds on this success, using the same mechanism to negotiate discounts for an estimated 8 to 10 million low and moderate income Californians who are uninsured or underinsured and now pay out-of-pocket for prescription drugs.

“Prop 79 will allow the State of California to negotiate for lower prescription drug prices, thereby helping the most vulnerable Californians," said Senator Boxer.

Seniors would still be eligible for the drug discount card under Prop. 79, which could be used to help fill the gaps of the Medicare Part D prescription drug benefit going into effect in 2006. The Prop. 79 discount card could be used for purchasing drugs not on the Medicare formulary or if seniors have used up most of their coverage and are in the “donut hole” (spending between $2,250 and $5,000 for prescriptions in a year).

The pharmaceutical industry lobby is spending an unprecedented $80 million to try to defeat Prop. 79 and promote Prop. 78, a discount program that is completely optional for drug companies. The drug industry’s voluntary program covers half as many Californians and could end at any time if not enough companies offer to participate.

“Prop. 78 is too little too late,” said Congresswoman Pelosi. “Californians deserve more than just a promise from the drug companies to lower prices. We need Prop. 79’s deeper, enforceable drug discounts to help more Californians afford the prescription drugs they need to stay healthy.”

For more information on Proposition 79, visit www.voteyesonprop79.org