HB 2761 Summary

• Prohibits manufacturers and wholesale distributors from engaging in "price gouging" on essential off-patent or generic drugs, defined as unconscionable price increases that are excessive and unjustified by production costs or public health benefits.

• Defines "essential off-patent or generic drugs" as prescription drugs with expired exclusive marketing rights that appear on the World Health Organization's model list or are designated as essential medicines by the U.S. Department of Health and Human Services, are manufactured by three or fewer companies, and are available in Arizona.

• Allows the state medical assistance program to notify the Attorney General of price increases of at least 50 percent within one year if a 30-day supply or full course of treatment would cost more than $80 at wholesale acquisition cost.

• Requires manufacturers to submit a statement within 45 days explaining cost increases and any expenditures to expand access to the drug when requested by the Attorney General.

• Authorizes superior courts to enjoin violations, restore consumer money paid due to price gouging, require manufacturers to provide drugs at pre-violation prices for up to one year, and impose civil penalties of up to $10,000 per violation.