Panel OKs buying of Canadian drugs on Internet

Kirsten Searer

Thursday, March 17, 2005 | 11 a.m.

CARSON CITY -- An Assembly panel approved a bill Wednesday that would help Nevadans purchase prescription drugs from Canada.

The Democratic-controlled Assembly is also expected to pass the bill, though it could face a tougher challenge in the Senate.

Assembly Bill 195 would allow the State Board of Pharmacy to license pharmacies in Canada, and a state Web site would link Nevadans to the approved pharmacies.

Residents could then purchase up to 90 days worth of drugs at the considerably lower Canadian prices.

The bill's sponsor, Assembly Majority Leader Barbara Buckley, D-Las Vegas, argued Wednesday that more than 420,000 Nevadans go without health insurance, and many on Medicaid still pay more than they can afford for prescription drugs.

"Citizens continue to struggle daily to pay for their prescription drugs in addition to all of the other basic necessities of life," she said.

Seven states have similar programs to connect residents or employees to Canadian pharmacies, many through www.i-saverx.com.

One problem: The states have relied on a loophole in federal law that allows the personal use of re-imported drugs, but it remains unclear if the Food and Drug Administration will begin to crack down on the state and city programs that encourage residents or employees to buy the drugs.

"That's the $64,000 question," said Pat Coward, a lobbyist for the Pharmaceutical Research Manufacturers of America.

The two Assembly members who voted against the bill Wednesday said they were concerned about the legality of the bill.

"Can you assure citizens -- myself included -- that we're not going to end up in the slammer?" asked Assemblyman Bob Seale, R-Henderson, who noted that he is approaching senior status and takes various prescription drugs.

"Nobody's been put in the slammer," Buckley said, pointing to the programs already in place around the country.

Gov. Kenny Guinn also said earlier this week that he wouldn't sign the bill if there were concerns it would violate federal law.

And Buckley told Guinn's chief of staff, Mike Hillerby, that the Legislature may never know if the bill is legal because guidelines are so unclear. Even if the program works for several months, it still gives Nevadans some time to order affordable drugs, she said.

"We're never going to get a letter from the FDA saying it's OK to import Canadian drugs," she said. "The FDA has made their position very clear, that they're not in favor of Americans importing drugs from Canada."

Hillerby said Guinn is willing to talk more about the bill, but might need more reassurance than that.

"We're not going to let a bill go into law that knowingly violates federal law," Hillerby said.

Other states have posted clear notice on their Web sites that governments cannot be held liable for prescription drug problems, though Buckley noted that the licensing process should screen out bad pharmacies.

Louis Ling, general counsel for the Board of Pharmacy, said the state could legally license out-of-country pharmacies, probably within a few weeks of an application.

The state already licenses about 100 out-of-state pharmacies, most of which have mail-order drug businesses, he said.

Buckley pointed to a study done in 2003 that showed Lipitor, the most commonly prescribed medicine for seniors, cost $35.04 in Canada, versus as little as $64.67 or as much as $74.77 using the Medicare discount card.

There are even higher discrepancies in other drugs such as Celebrex, which costs $54.74 in Canada but as little as $148.79 or as much as $182.80 through Medicare.

An estimated 1.8 million Americans have purchased drugs in Canada, leading some Canadian officials to say they might begin to curb the practice. Buckley admitted her plan might not be in place for long, even if it does clear the legislative process.

"It's a stop-gap measure," she said. "It's a measure that could help people now who need affordable prescription drugs."