Biocom California, the association representing the life science industry of California, issued the following statement regarding the official release of the first ten drugs subject to price controls under the Inflation Reduction Act. The statement can be attributed to Joe Panetta, Biocom California’s president and CEO:

“Today the Biden Administration released the first ten drugs that will be subject to price controls to coincide with the first anniversary of the Inflation Reduction Act (IRA). Let me be clear: this is no reason for celebration. Despite our industry’s many warnings, the Administration proceeded with a policy that hurts innovation without providing any direct relief to patients.

“Since the passage of the law last year, markets have dropped significantly, venture capital investments have moved away from the life science industry, important projects in the pipeline were cut and companies have been forced to lay off employees. Biocom California had consistently sounded the alarm that establishing price setting in the U.S. would have devastating impacts on the whole innovation ecosystem. This is happening before Medicare ‘negotiation’ even started.

“Most importantly, patients will be the ones who ultimately suffer as fewer breakthrough medicines will be developed in the next decades, leaving millions of Americans with no treatment or cure. To make matters worse, the IRA did not include any provisions to share ‘savings’ with patients and rein in Pharmacy Benefit Managers (PBMs) to ensure that manufacturer discounts are passed down to patients.

“Biocom California strongly supports our members across the industry that are affected by these drastic systemic changes and standing up to these damaging policies. We continue to urge the Administration and Congress to focus on policies that would make medicines affordable for patients at the point of care.”

About Biocom California

Biocom California is the leader and advocate for California’s life science sector. We work on behalf of more than 1,700 members to drive public policy, build an enviable network of industry leaders, create access to capital, introduce cutting-edge STEM education programs and create robust value-driven purchasing programs.

Founded in 1995 in San Diego, Biocom California provides the strongest public voice to research institutions and companies that fuel the local and state-wide economy. Our goal is simple: to help our members produce novel solutions that improve the human condition. In addition to our San Diego headquarters, Biocom California operates core offices in Los Angeles and the San Francisco Bay Area, with satellite offices in Sacramento, Washington, D.C. and Tokyo. Our broad membership benefits apply to biotechnology, pharmaceutical, medical device, genomics and diagnostics companies of all sizes, as well as to research universities and institutes, clinical research organizations, investors and service providers.

For more information on Biocom California, please visit our website at www.biocom.org. Connect with us on LinkedIn, Facebook, and Twitter (@BIOCOMCA).

View source version on businesswire.com: https://www.businesswire.com/news/home/20230829978266/en/