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2001 SESSION

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013579856
HOUSE JOINT RESOLUTION NO. 762 Offered January 17, 2001 Requesting the Joint Commission on Health Care to evaluate government-funded pharmaceutical expenditures to consider the appropriate utilization of prescription drugs in state-funded programs and the cost savings that could be gained by providing drug therapy management. ---------- Patrons-- Morgan, Jones, S.C. and Watts ---------- Referred to Committee on Rules ----------

WHEREAS, the Commonwealth spent a total of approximately $441 million on pharmaceuticals in Fiscal Year 2000; and

WHEREAS, the General Assembly is considering the addition of a prescription drug assistance program; and

WHEREAS, the total national cost of prescription drugs increased 11.7 percent per year between 1993 and 1997 and is anticipated to increase by 10 to 13 percent per year between 1997 and 2007; and

WHEREAS, payment for prescription drugs is the fastest growing segment of health care expenditures; and

WHEREAS, 30 years ago, only 650 medications were available; today that number approaches 10,000; and

WHEREAS, this explosive growth of available medications has led to the advent of drug-related problems; and

WHEREAS, adverse drug reactions are the fourth leading cause of death; and

WHEREAS, the Institute of Medicine report released in late 1999, "To Err is Human; Building a Safer Health System," indicates that medication errors have the potential to increase avoidable disease and death; and

WHEREAS, the 1995 estimated cost of drug disease and death in Virginia's Medicaid program was $330,174,882; and

WHEREAS, it has been demonstrated that drug therapy management is cost effective and that drug therapy management would save Virginia's Medicaid program approximately $195,463,530; and

WHEREAS, the Department of Medical Assistance Services’s current disease state management program will be reviewed in 2001; now, therefore, be it

RESOLVED by the House of Delegates, the Senate concurring, That the Joint Commission on Health Care evaluate government-funded pharmaceutical expenditures to consider the appropriate utilization of prescription drugs in state funded programs and the cost savings that could be gained by providing drug therapy management. The Joint Commission shall evaluate the feasibility of developing a pilot program to establish a template for drug therapy management to reduce in all state funded prescription programs.

All agencies of the Commonwealth shall provide assistance to the Joint Commission on Health Care for this study, upon request.

The Joint Commission on Health Care shall complete its work in time to submit its findings and recommendations to the Governor and the 2002 Session of the General Assembly as provided in the procedures of the Division of Legislative Automated Systems for the processing of legislative documents.