GOVERNOR'S VETO

Pursuant to Article V, Section 6 of the Constitution of Virginia, I veto House Bill 570, establishing a Prescription Drug Affordability Board.

Though noble in its intent, the proposal carries numerous unintended consequences. While it is imperative to lower drug prices, it must not compromise patient welfare. 

The proposed authority granted to the Prescription Drug Affordability Board (PDAB) would allow medication availability to be determined based solely on cost considerations rather than accounting for the expert opinions of healthcare professionals and the unique medical needs of individual patients. This approach could limit access to treatments and hinder medical innovation, especially for life-threatening or rare diseases.

The implications of the proposed upper payment limits (UPLs) are detrimental for patients with life-threatening diseases such as cancer. As we are acutely aware, life-saving treatments often entail the use of high-cost drugs targeted by these affordability measures; bringing down the costs of these drugs will require full transparency of prices and discounts and more competition and economic freedom, not price controls. Considering the pharmaceutical supply chain's complexity, imposing arbitrary UPLs could limit access to life-saving pharmaceuticals and harm patients’ health.

Experiences from other states like Maryland and Colorado, which have similar PDABs, show high implementation costs, including higher taxes, without significant savings for those in need.

Pharmaceutical affordability is a major issue for Virginians. Full transparency into actual pricing and discounts and more competition are key to bring prices down while not stifling innovation. This year I have also signed bipartisan legislation to provide cost-saving transparency and regulations pharmaceutical benefit managers and legislation that directs the Secretary of Health and Human Resources to study and plan for import lower cost drugs for Virginians.

The Commonwealth should prioritize patient well-being, maintain access to essential medications, and support healthcare innovation. We can do all this and lower the cost of prescription drugs for Virginians.

Accordingly, I veto this bill.