The Roundhouse in Santa Fe. Courtesy/SFNMSTATE News:
SANTA FE ― Gov. Michelle Lujan Grisham has signed Senate Bill 131 into law that will establish an “Interagency Pharmaceutical Purchasing Council.”
The Council will be comprised of nine departments and entities that purchase pharmaceutical drugs for state beneficiaries, and task them to evaluate a range of cost containment strategies to try and get a better deal for taxpayers and recipients. The Council will also be required to identify opportunities to provide lower cost drug options to citizens who are not part of a state plan.
New Mexico total spending on pharmaceutical drugs increased 67% from 2014 to 2017, from $442 million to $737.8 million. “Given the astronomical and rising costs our state pays for prescription drugs, it’s absolutely critical to maximize our purchasing power to get the very best deal we can for taxpayers,” bill sponsor Sen. Jeff Steinborn said. “By establishing the Pharmaceutical Purchasing Council, we can take an aggressive proactive approach to confronting this problem. The Council has the potential to save the state millions of dollars a year” Sen. Steinborn said.
Legislation co-sponsor Representative Joanne Ferrary (Las Cruces) added, “We owe it to New Mexicans to do everything we can to lower the cost of prescription drugs and save our state money. This is critically needed reform that our state can’t afford not to do. It would be irresponsible for us not to explore every opportunity to save funds that we need to move New Mexico forward.”
The Council will be headed by the Secretary of the General Services Department and include all state government purchasers of pharmaceuticals. It will evaluate at least twelve cost containment strategies outlined in the law range including grouping together all state purchasing in one purchase agreement to get a better deal and partnering with states who have are part of existing multi state purchasing collaboratives.
