AZ HB2645

Prohibits manufacturers and wholesale distributors from engaging in "price gouging" on essential off-patent or generic drugs, defined as unconscionable price increases not justified by production costs or public health needs.

Applies to drugs that appear on the WHO essential medicines list or are designated essential by HHS, have expired patents and marketing rights, and are manufactured by three or fewer companies.

Triggers reporting requirements when drug prices increase 50% or more within one year and exceed $80 for a 30-day supply or full course of treatment.

Authorizes the Attorney General to compel manufacturers to submit cost itemization statements and production records within 45 days of request.

Allows courts to impose civil penalties up to $10,000 per violation, order consumer refunds, and require manufacturers to sell drugs to the state Medicaid program at pre-violation prices for up to one year.