You asked for information on recently passed New Jersey legislation establishing a prescription drug price registry.

New Jersey Governor Corzine signed legislation earlier this month establishing the “New Jersey Prescription Drug Retail Price Registry. ” The registry will provide consumers with retail price information for the 150 most frequently prescribed prescription drugs in the state. The new law (A2537/S1396; attached) requires the Division of Consumer Affairs in the Department of Law and Public Safety to establish and maintain a website in English and Spanish that allows users to comparison shop for prescription drugs by name, dosage, and zip code. The registry information will also be available on a toll-free hotline and at local pharmacies.

The Consumer Affairs Division must consult with the commissioners of the Human Services and Health and Senior Services departments in obtaining drug retail price information for the prescription drugs. This information must come from relevant pricing data collected by the Division of Medical Assistance in the Department of Human Services; however, the consumer affairs director can require pharmacies to report additional information if necessary. The price must indicate the actual price a retail purchaser must pay the pharmacy for a listed drug at the listed dosage. The overall retail price will be based on the cost of the medication as well as the dispensing fee (the fee imposed by the pharmacy for filling the prescription). The overall price cannot exceed the usual and customary, posted, or advertised price charged by the pharmacy. The pricing information must also indicate the actual price paid by a retail purchaser for the listed drug at the listed dosage. The registry must be updated at least weekly.

Under the law, the Consumer Affairs Division may contract with a public or private entity for developing, administering, and maintaining the registry. New Jersey's Office of Legislative Services (OLS) estimates a start-up cost of $ 322,000 and operational costs of at least $ 72,000 annually. Initial start-up costs include technology investments and publicity expenses. Operating costs include the salary and fringe benefits of one full-time employee and maintenance of the toll-free number required by the bill, the cost of which cannot be determined according to OLS.

JK: ro