Newsome must have gotten some pretty nice meals paid for at the French Laundry from the people sucking all the money out of health care. He vetoed this bill too.
Hedge funds can burden a health care company in debt, threatening services. Gov. Newsom rejected a bill to regulate those deals.
calmatters.org
Newsom sides with health care industry in rejecting rules for prescription drug middlemen, hedge funds
More than two dozen states regulate the pharmaceutical middlemen that advocates and economists say drive up the price of prescription drugs, but California will not be joining their ranks. Gov. Gavin Newsom today vetoed legislation designed to curb their influence.
The bill, authored by Sen. Scott Wiener, a Democrat from San Francisco, would have required the state insurance department to license
pharmacy benefit managers. It would also have required pharmacy benefit managers to disclose prices paid to drug manufacturers and mandated 100% of any discounts negotiated be passed down to consumers.
It was one of two bills intended to crack down on the health care industry that Newsom vetoed today.
He also rejected a hotly contested measure by Democratic Assemblyman Jim Wood of Ukiah that would have given the state more power to block the sale of
health care companies to for-profit investors, such as hedge funds and private equity firms.