June 26, 2024

As we close out the final week in June, we are looking forward to the signing of New Jersey’s budget by midnight on June 30 — with some anticipating the budget to be passed by the Legislature on the 28th.

BioNJ is hopeful that the Legislature will continue to consider the concerns that the State’s life sciences ecosystem has conveyed, including potentially diminished funding provided to the Commission on Science, Innovation and Technology and the impact that some tax proposals would have on investment across the ecosystem.

BioNJ — in partnership with the Garden State Pharmacy Owners, representing over 800 independent community pharmacies across New Jersey — published the op-ed in NJ Spotlight News on Monday.

The article focuses on the impact that pharmacy benefit managers (PBMs) have had on New Jersey’s healthcare landscape, with 57% of New Jerseyans reporting that they struggle to access their prescription medications — as well as the challenges that independent pharmacies across the country have experienced as a result of significant vertical integration between insurers and PBMs. Nearly 1 in 3 independent pharmacy owners may be forced to close down this year, and this is due in part to the business practices of PBMs.

The article also recognizes some of the transparency provisions applied to PBMs last year in New Jersey, and emphasizes that there are still more opportunities to achieve greater Patient access to medications by continuing to confront the practices of PBMs.

The publication of this op-ed coincided with a substantial article published on the front page of the New York Times focused on PBMs, entitled “A Shadow Industry. How pharmacy benefit managers inflate the cost of prescription drugs for millions of people.” The Times interviewed over 300 current and former PBM employees, patients, physicians, pharmacists and other experts, and found that the largest PBMs often “act in their own financial interests, at the expense of their clients and patients.”

BioNJ is pleased to see increased attention to the business practices of PBMs and will continue to advocate for the implementation of policies that would reduce the costs that Patients confront and increase the access of Patients to the medications they need.

As reported by NJ.com, Governor Murphy and leaders of the State Legislature have reached a preliminary deal for the proposed Corporate Transit Fee. The proposed policy would effectively extend the 2.5% surtax that had expired at the beginning of this year, but would be applied to companies making a minimum of $10 million per year in profits. The tax would be retroactive to January 1, 2024. Policymakers have reportedly agreed to ensure that the tax would sunset after 5 years rather than the longer proposed duration of 9 years — and shorter than the initially proposed lack of a sunset.

The New Jersey Business & Industry Association and the New Jersey Chamber of Commerce have published several perspectives on budget proposals as they have been negotiated, with the most recent enumerating ways that these proposals could be more supportive of business in New Jersey.

With the announcement that Bill Spadea will seek the Republican nomination for Governor in 2025, and Governor Murphy completing his final term, the list of announced candidates has reached 8 with more potential candidates expected to announce moving forward.

• Democrats:
• Newark Mayor Ras Baraka
• Jersey City Mayor Steve Fulop
• New Jersey Education Association President and Montclair Mayor, Sean Spiller
• Former Senate President Steve Sweeney
• Republicans:
• Senator Jon Bramnick
• Former Assemblyman and Republican Candidate for Governor, Jack Cittarelli
• Former State Senator, Ed Durr
• Bill Spadea

A bill that would extend the Pediatric Priority Review Voucher (PPRV), S.4583, was introduced in the Senate ahead of the Program’s expiration on September 30. This is the counterpart to the House’s version of the bill, H.R.7384, which was introduced earlier this year.

The PPRV Program incentivizes the development of novel therapies to treat rare pediatric diseases by awarding priority review vouchers to sponsors. Vouchers can be redeemed to receive priority review of subsequent marketing applications for different products, and has been a highly effective mechanism to accelerate the development of novel medications on which some of the most vulnerable individuals depend. We hope to see this legislation advance to ensure that this innovation continues to be supported.

For a statement from Biotechnology Innovation Organization’s CEO, John Crowley, click here.

The two candidates running for President will debate at 9:00PM EDT on CNN and will be viewable on CNN and CNN.com, and it will be simultaneously shared on additional networks as well. This will be the first of two debates with the next slated for September 10 hosted by ABC.

At 3:00PM EDT this afternoon, the U.S. House Ways & Means Health Subcommittee will hold a hearing entitled “Improving Value-Based Care for Patients and Providers.”

To view the hearing, click here.

BioNJ is the voice of New Jersey’s life sciences sector in Trenton and Washington. BioNJ’s Public Policy Support Series sponsorship opportunities are now available for 2024. Help ensure BioNJ continues to deliver our message of improved Patient access and enhanced innovation through a Public Policy Support Series Sponsorship.  

Click here for more information.

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