Preventive Treatment Health Care Act.

Plain English Breakdown

The official summary does not provide specific details on the exact costs of drugs or how much public employees will pay for optional coverage.

Preventive Treatment Health Care Act

This act requires partnerships to produce and distribute certain prescription drugs at low costs, including insulin and GLP-1 medications, and it adds optional weight management coverage for public employees starting in 2028.

What This Bill Does

• Requires the California Health and Human Services Agency (CHHSA) to partner with others to make insulin available at production and dispensing costs if one does not already exist in the market.
• Expands partnerships to include brand name prescription drugs like GLP-1 semaglutide, GLP-1RA, GIP+GLP-1 tirzepatide, and future chronic weight disease products made available at low costs.
• Requires CHHSA to consider giving priority access to these drug supplies for the state.
• Adds optional coverage for public employees' health plans to include chronic weight disease management, including nutritional information and certain medications approved by the FDA starting January 1, 2028.

Who It Names or Affects

• Public employees and annuitants who can opt for weight management coverage in their health benefit plans starting January 1, 2028.
• State and local government employers who may receive chronic weight disease management medications at low costs.
• The California Health and Human Services Agency (CHHSA) which must enter into partnerships to produce certain drugs.

Terms To Know

GLP-1

Glucagon-like peptide-1, a type of medication used for diabetes management and weight loss.

FDA

United States Food and Drug Administration, the agency that approves medications in the United States.

Limits and Unknowns

• The bill does not specify how much public employees will pay for optional coverage.
• It is unclear if chronic weight disease management medications will be made available to all Californians beyond state and local government employers.
• The exact costs of the drugs are not detailed in the summary.

Official Summary Text

SB 1089, as amended, Richardson.
Preventive Treatment Health Care Act.
(1) Existing law requires the California Health and Human Services Agency (CHHSA) to enter into partnerships resulting in the production of generic prescription drugs, including at least one form of insulin made available at production and dispensing costs, if one does not already exist in the market. Existing law
requires the insulin production partnership to consider guaranteeing priority access to insulin supply for the state.
additionally authorizes CHHSA to enter into partnerships to increase competition, lower prices, and address supply shortages for generic or brand name drugs to address emerging health concerns.
This bill,
the Preventive Treatment Health Care Act, would
require the above-described partnerships to also include the
acquisition of brand name prescription drugs and the acquisition or production of pens, vial injections, pills, and patches of
specify that the above-described authorized partnerships include those for at least one
glucagon-like peptide-1 (GLP-1)
semaglutide, GLP-1 receptor agonist (GLP-1RA), glucose-dependent insulinotropic polypeptide plus GLP-1 (GIP+GLP-1) tirzepatide, and future chronic weight disease products made available at production and dispensing costs and to consider guaranteeing priority access to GLP-1
semaglutide, GLP-1RA, GIP+GLP-1 tirzepatide, and future chronic weight disease products supply for the state.
approved by the United States Food and Drug Administration (FDA).
(2) Existing law authorizes the Board of Administration of the Public Employees’ Retirement System to contract with carriers to provide health benefit plans and contracts for employees and annuitants. Existing law sets forth specified coverage requirements for these health benefit plans and contracts.
Commencing January 1,
2027,
2028,
until January 1, 2032, this bill would require a health benefit plan or contract offered to
public employees and annuitants to offer
optional
coverage for
weight loss
chronic weight disease
management, including nutritional information and
GLP-1 semaglutide, GLP-1RA, GIP+GLP-1 tirzepatide, and future chronic weight disease products as part of one of its health plan options. The bill would specify cost and usage requirements for these covered chronic weight disease management items. The bill would require CHHSA to make chronic weight disease management medications available to state and local government
employers, and to determine if chronic weight disease management medications should be made available to all Californians, at the costs for which they are available under a Public Employees’ Retirement System health benefit plan or contract.
at least one GLP-1 approved by the FDA.

Current Bill Text

Download Bill PDF