Senate advances bill directing Green Mountain Care Board to explore prescription drug price limits

The Senate took up S98 on second reading and adopted amendments from the Appropriations Committee before ordering a third reading. The bill tasks the Green Mountain Care Board with exploring methods to regulate prescription drug costs for Vermont consumers and directs consultations with technical advisory groups and other state agencies.

Senator from Chittenden Southeast, the bill's reporter, framed the measure as the next step in Vermont's long‑running effort to reduce prescription drug costs, citing prior laws on importation and price transparency. The reporter recounted comparative price figures presented in committee testimony (for example, testimony in the record stated, 'We pay 118 percent of what Canadians pay' for certain drugs) and argued the state overpays compared with other countries.

What the bill does: It directs the Green Mountain Care Board to develop a framework and methodology for regulating prescription drug costs; creates two classified positions (a director of prescription drug pricing and a policy analyst); and appropriates $495,000 from the Evidence Based Education and Advertising Fund in 2025 (approximately $245,000 for positions and $250,000 to contract with outside experts).

Witnesses and committee action: The Health and Welfare Committee received testimony from a wide range of stakeholders, including the Joint Fiscal Office, Green Mountain Care Board, Office of the Health Care Advocate, Department of Financial Regulation, pharmacy and industry representatives, Johns Hopkins public health experts, and state health organizations. The committee reported the bill out by a 3–2 vote and referred it to Appropriations, which recommended funding the work from the cited fund and reported favorably.

Next steps and context: Supporters urged an incremental approach so the Board can learn from other states and federal actions; the bill's proponents said it is a first step toward limiting price growth on high‑cost and commonly used drugs and could reduce insurance premiums by lowering drug costs. The Senate amended the Health and Welfare report as recommended by Appropriations and ordered the bill for third reading.