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SFGTV March 2, 2014

Going to our schools and making our neighborhood safe. But unfortunately even our residents that have good coverage are spending this money on medications. There are a lot of complicated issues that under lie why drug pricing is so high. There are a couple things that i would like to note that i have certainly explored with city staff on this issue. We have very little transparency on the prices set not only with drugs but also prices paid by the city and county of San Francisco. Some of the out patients are eligible to receive a low price negotiated by the federal government in the socalled 340 b program. Unfortunately its not accessible to in patients that we have in our local hospitals as well as our jails. I would also note that our city purchases many of our drugs for our inpatient populations and others with a contract through a Company Called innovation. Unfortunately the pricing for those particular drugs are covered by nondisclosure agreement and we dont have the ability to un

SFGTV March 4, 2014

United health uhcs terms and conditions. So it was a measure passed by the board. Obviously the board could revisit that language. I think as dave woods indicated on behalf of dph that if certain pieces and information are made public, we definitely would lose our ability to leverage better prices. Even prime vendors would be reluctant to act on our behalf because of another locality could point to San Francisco as being able to acquire a certain price and a certain drug and manufacturers would start to back out of negotiations. So its something again that the board could look at. Bus there are disadvantages. When was that code . I believe 1997. Do you know if our predecessors were aware of the implications of not being able to view the prices . I dont know. I can look into it. From my standpoint, it seems a bit kofkaist that the industry is essentially saying that we will negotiate with city governments but only do that if a handful of bureaucrats and city staffers do this with zero s

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