Maryland Considers Laws Requiring Drugmakers to Justify Price Increases and Publish Cost Data

The Maryland General Assembly is considering two bills that would require pharmaceutical companies to notify the state ahead of drug price increases.

One bill would require drugmakers to submit an annual report for all products with a wholesale acquisition cost of over $2,500 per year or course of treatment — while another would ban price gouging of generics. Both would carry penalties of $10,000 per day for noncompliance.

Companies would have to report research and development costs; manufacturing, advertising and regulatory costs; amounts spent on patient assistance programs; and the company’s tax rates and received credits, as well as the profits made.