California may become a distributor of generics

Kaiser Health News earlier reported that the California legislature approved a measure to pave the way for California to become a distributor of generic drugs. The article reports that this is a separate effort from the governor's earlier effort.

The startup funding -- reported to be less than $2 million -- along with the operating costs seems to be fairly small for the effort. If this measure is signed into law, it will be interesting to see if the costs remain as low as projected and how effective the state will be in lowering drug costs for its residents.