Federal law lets health care providers who serve low-income and at-risk patients buy prescription drugs at a discount, and then sell them at retail rates.
Providers are supposed to put the profits from those sales toward expanding patient services, but there’s some leeway on that spending.
Prop. 34 would change that by requiring certain providers to spend at least 98-percent of that money directly on patient care.
The proposition seems to target only one organization: the AIDS Healthcare Foundation…a group that’s spent tens of millions to influence state and local housing policies.
Supporters say…money generated from federal discounts should go to help patients…and not be diverted to political pursuits.
Opponents say this is a political hit job paid for by the landlord lobby that sees the AIDS Healthcare Foundation as a threat.
