Colorado Legislation Requiring Drug Manufacturers to Provide Wholesale Acquisition Cost When Marketing to Prescribers Becomes Effective August 2, 2019; Board Determines No Rule Making Needed

July 31, 2019

Colorado House Bill 19-1131 ("H.B. 19-1131") will become effective on August 2, 2019. H.B. 19-1131 requires drug manufacturers, their agents, employees, or representatives to provide the wholesale acquisition cost ("WAC") of prescription drugs to prescribers when engaged in prescription drug marketing. The WAC notice must be provided in writing, and include the names of up to three generic drugs from the same therapeutic class.

The term "prescription drug marketing" includes in-person meetings, physical mailings, electronic mailings, and video conferencing that provide marketing or educational materials regarding a prescription drug. H.B. 19-1131 excludes conversations at scientific conferences from the definition of prescription drug marketing.

According to correspondence from a representative at the Colorado Board of Pharmacy ("Board"), "[t]he Board has determined it does not need to be prescriptive in how manufacturers have to execute the statutory requirement. The Board has evaluated the Bill and determined no rule making is necessary. The plain language of the Bill tells manufacturers what to do."

For more information, and to view a copy of H.B. 19-1131, please visit Colorado's Price/Cost Disclosure section of the Transparency and Limitations Database.

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