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LWV League of Women Voters of California Education Fund
Smart Voter
State of California November 8, 2005 Election
Proposition 79
Prescription Drug Discounts. State-Negotiated Rebates
State of California

Initiative Statute - Majority Approval Required

Fail: 2,940,106 / 39.3% Yes votes ...... 4,541,256 / 60.7% No votes

See Also: Index of all Propositions

Results as of Nov 23 4:01pm, 100.0% of Precincts Reporting (17726/17726)
Information shown below: Summary | Fiscal Impact | Yes/No Meaning | Official Information | Arguments |

Should the state of California create a new prescription drug discount program for residents at or below 400 percent of the federal poverty level, and change state law to make it illegal to engage in profiteering from the sale of prescription drugs?

Summary Prepared by the State Attorney General:
Provides drug discounts to Californians with qualifying incomes. Funded by state-negotiated drug manufacturer rebates. Prohibits Medi-Cal contracts with manufacturers not providing Medicaid best price.

Fiscal Impact from the Legislative Analyst:
State costs for administration and outreach in low tens of millions of dollars annually. State costs for advance funding for rebates. Unknown potentially significant: (1) net costs or savings for Medi-Cal and (2) savings for state and county health programs.

Meaning of Voting Yes/No
A YES vote on this measure means:
A new state drug discount program would be created to reduce the costs that certain residents of the state, including persons in families with an income at or below 400 percent of the federal poverty level, would pay for prescription drugs purchased at pharmacies. The new program would be linked to Medi-Cal for the purpose of obtaining rebates on drugs.

A NO vote on this measure means:
The state would not expand its drug discount program beyond an existing state program that assists elderly and disabled persons on Medicare.

Official Sources of Information
Arguments Submitted to the Secretary of State

Summary of Arguments FOR Proposition 79:
Prop. 79 provides ENFORCEABLE discounts on prescription drugs for millions of Californians. Prop. 79 provides DEEPER DISCOUNTS TO MORE PEOPLE than the drug industry's "voluntary" Prop. 78. Prop. 79 saves taxpayers money by reducing prescription drug costs. JOIN CONSUMER, HEALTH, AND SENIOR CITIZEN ADVOCATES and VOTE YES on Prop. 79.

Full Text of Argument In Favor, Rebuttal

Summary of Arguments AGAINST Proposition 79:
Proposition 79 can't deliver what it promises. It's based on a failed program from Maine that never took effect. Prop. 79 won't receive federal approval because it threatens poor patients' access to needed drugs. Proposition 79 creates a big government bureaucracy costing millions. Worse, trial lawyers can file thousands of frivolous lawsuits.

Full Text of Argument Against, Rebuttal

Contact FOR Proposition 79:
Anthony Wright
Health Access California
414 13th Street, Suite 450
Oakland, CA 94612
(510) 873-8787

Contact AGAINST Proposition 79:
Californians Against the Wrong Prescription
1415 L Street, Suite 1250
Sacramento, CA 95814

  Official Information

Secretary of State

Legislative Analysts's Office Campaign Finance Information

Secretary of State

  • Cal-Access - how much money is being raised and spent on Prop 79
Around the Capitol - Election Track California Voter Foundation Nonpartisan Information

League of Women Voters - Analysis

Easy Voter Guide Other organizations League of Women Voters - Background Events

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Created: January 28, 2006 14:49 PST
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