Generic drugs approved by the Food and Drug Administration have the same active ingredients as brand-name medicines, but can be 60 percent cheaper. In New York City, a consumer typically pays $1,731 for a year’s worth of the heartburn drug Prilosec, while a generic version would cost just $675, according to Sen. Chuck Schumer, the bill’s cosponsor. GAAP also makes it easier for pharmacies and patients to import lower-cost drugs from Canada.
The powerful pharmaceutical lobby claims the plan will stifle innovation. But groups like Business for Affordable Medicine (BAM), a coalition of governors, big employers and AFL-CIO chapters–backed the plan. BAM vows to help push it through the House this fall–a tough job, but one made easier by the upcoming congressional elections. “If they don’t pass it, they’ll have a lot to answer for in November,” says Vermont Gov. Howard Dean. The White House has opposed GAAP so far, but it’ll be hard to come down against the only prescription-drug relief in sight. You can weigh in with your member of Congress or governor.
