WELCOME TO MATTER OF FACT, THERE’S NO ESCAPING IT. IT’S BEEN A HOT FEW WEEKS HERE IN THE U.S., AND AMID THE HEAT WAVE CAME NEWS. A STUDY FINDING EXTREME WILDFIRES HAVE DOUBLED IN THE LAST TWO DECADES. THIS IS A TRUE CRISIS. PEOPLE LIVING IN FIRE OR STORM PRONE AREAS CAN TELL YOU IT’S SENDING HOMEOWNERS INSURANCE RATES SOARING. THE PROBLEM IS GETTING WORSE, AND THE SOLUTIONS AREN’T SO CLEAR. OUR CORRESPONDENT DAN LIEBERMAN HAS AN UPDATE ON WHAT’S BECOMING A CONCERN FOR THE ENTIRE COUNTRY. PLUS POLITICAL CAMPAIGNING IN THE AGE OF AI, WE’RE ALREADY SEEING CAMPAIGNS EXPERIMENTING WITH THESE TOOLS TO MAKE ADS MORE CHEAPLY. WHAT SORT OF REGULATIONS ARE IN PLACE TO MAKE SURE THE ADS SHOW REALITY? IN AN AGE OF AI AND DEEPFAKES? AND AS THE SUPREME COURT DECIDES TO TAKE UP REGULATIONS ON GENDER AFFIRMING CARE FOR YOUNG PEOPLE, I KNOW WHO I AM, AND I HAVE KNOWN FOR A LONG TIME. WE INTRODUCE YOU TO A 14 YEAR OLD AND HIS FAMILY AS THEY NAVIGATE CARE IN A STATE WHERE IT’S CURRENTLY PROTECTED. THOSE STORIES RIGHT NOW ON MATTER OF FACT, WE KNOW CLIMATE CHANGE IS TRIGGERING MORE INTENSE AND FREQUENT NATURAL DISASTERS LIKE HURRICANES AND WILDFIRES AND THOSE, IN TURN, ARE CREATING A CRISIS OF THEIR OWN SOARING HOMEOWNER INSURANCE RATES. PEOPLE HAVE LIVED IN THEIR HOMES FOR YEARS. ARE GETTING PRICED OUT BY RISING INSURANCE BILLS, LOOKING AT YOU, STATE OF FLORIDA, IN SOME PLACES, INSURERS ARE DROPPING COVERAGE COMPLETELY. OUR CORRESPONDENT, DAN LIEBERMAN, HAS BEEN COVERING THE HOMEOWNERS INSURANCE CRISIS. FOR MATTER OF FACT, IT’S SO NICE TO HAVE YOU IN OUR STUDIO. WHY DON’T WE START WITH THE NATIONAL PICTURE? WHAT DOES IT LOOK LIKE? SURE. WELL, TRADITIONALLY THIS CRISIS HAS BEEN IN STATES LIKE CALIFORNIA, LOUISIANA AND FLORIDA. BUT THEN WE’RE SEEING NOW THAT THIS IS SPREADING TO OTHER PARTS OF THE COUNTRY, PLACES LIKE IOWA, ARKANSAS, WASHINGTON STATE, EVEN SO, THIS PROBLEM IS GETTING WORSE. WHEN YOU LOOK AT SOME OF THE DATA IN LOUISIANA FOR EXAMPLE, 63% OF HOMEOWNERS SAW AN INCREASE LAST YEAR NEARLY 20% HAD THEIR INSURANCE COMPANIES CANCEL ON THEM IN FLORIDA, 61% INCREASE IN WINDSTORM INSURANCE SINCE 2016. SO THESE ARE JUST STAGGERING NUMBERS. THAT’S AFFECTING MORE AND MORE AMERICANS. SO WHEN YOU DID A PIECE FOR US LAST YEAR, YOU FOCUSED ON CALIFORNIA AND CONDO OWNERS WHO’D BEEN AFFECTED BY WILDFIRES. I WANT TO START BY RUNNING THAT PIECE FIRST. THIS ISN’T WHAT 73 YEAR OLD SHERRI LOVE THOUGHT HER RETIREMENT YEARS WOULD LOOK LIKE. DO YOU PAY THE ELECTRIC BILL OR DO YOU PAY THE GAS BILL NOW I HAVE TO PICK AND CHOOSE. DURING HER 40 YEAR CAREER AS A SECRETARY, SHERRI WAS CAREFUL TO SET ASIDE ENOUGH MONEY TO LIVE COMFORTABLY IN HER MODEST TWO BEDROOM CONDO IN ORANGE COUNTY, CALIFORNIA. BUT THERE WAS ONE COST SHE DIDN’T PREPARE FOR A DRAMATIC SPIKE IN HER MONTHLY HOA FEES DUE TO THE INCREASING COST OF HOME INSURANCE. IN TOTAL, USED TO BE PAYING $240, AND NOW WE’RE PAYING 725. THAT’S A HUGE INCREASE. IT’S A STRUGGLE. THE CONDO COMMUNITY WHERE SHERRI LIVES WAS DROPPED BY THEIR INSURANCE COMPANY IN 2021 BECAUSE THE RISK OF A WILDFIRE HAD BECOME TOO HIGH SINCE THEY REQUIRED TO HAVE INSURANCE, THEY HAD NO CHOICE BUT TO SETTLE ON A NEW POLICY WITH LESS COVERAGE AND A HUGE PRICE TAG. I DON’T GO OUT. I DON’T GO SHOPPING, AND I SHOULDN’T HAVE TO BE IN THAT POSITION AT THIS POINT IN MY LIFE, RIGHT AROUND THE CORNER FROM SHERRI, AMBER LOOR LIVES WITH HER HUSBAND AND THREE KIDS. EVERY TIME I GET THE BILL IN THE MAIL, I JUST LOOK AT IT AND IT’S DISGUSTING. AMBER WORKS AS A HAIRDRESSER AND HER HUSBAND’S IN IT. TOGETHER THEY EARN ABOUT $100,000 A YEAR. THE MEDIAN HOUSEHOLD INCOME IN THEIR AREA. THAT’S NOT A LOT FOR A FAMILY OF FIVE IN ORANGE COUNTY. SO THIS IS ABSOLUTELY IT’S HUGE. IF MY INSURANCE IS REALLY HIGH, I NEED TO ASK MYSELF, WHY IS THAT? SEREN TAYLOR IS THE VICE PRESIDENT OF THE PERSONAL INSURANCE FEDERATION OF CALIFORNIA, AN INDUSTRY TRADE GROUP. EIGHT OF THE TEN MOST COSTLY FIRES ON THE PLANET HAVE HAPPENED IN CALIFORNIA IN THE LAST SIX YEARS. AND OF COURSE, INSURERS HAVE PAID OUT TENS OF BILLIONS OF DOLLARS IN CLAIMS. THOSE LOSSES FACTOR INTO FUTURE RATES. INSURERS ARE NOW STRUGGLING JUST TO KEEP UP. WHAT ARE YOU GOING TO DO? I MEAN, IF THESE COSTS DO KEEP GOING UP, WHAT’S YOUR PLAN? I’M GOING TO HAVE TO KEEP CUTTING BACK IN OTHER AREAS. I CAN’T MOVE RIGHT NOW WHILE MY KIDS ARE IN SCHOOL. WHAT MAKES YOU WANT TO STAY HERE? IT’S JUST HOME. PEOPLE LIVE IN A IN A SMALL TOWN AND THEY’LL LIVE THERE THEIR WHOLE LIVES. AND THAT’S THEIR HOME. AND THIS IS MINE. SO THEN WHAT HAPPENS TO PEOPLE LIKE THAT? I MEAN, WHAT WHAT SOLUTIONS ARE THERE TO HELP THEM? WELL, THE PROBLEM IS IT’S REALLY GOING TO TAKE CONGRESS GETTING INVOLVED. THAT’S WHAT STATES ARE INCREASINGLY CONCERNED ABOUT. IT’S WHAT LAWMAKERS ARE CONCERNED ABOUT THAT THE BILL IS ULTIMATELY GOING TO START TO FALL ON TAXPAYERS ACROSS THE COUNTRY. WHEN YOU LOOK AT BANKS, FOR EXAMPLE, AND MORTGAGES, BANKS WON’T GIVE MORTGAGES IF PEOPLE AREN’T ABLE TO GET INSURANCE. AND THAT COULD LEAD TO A WHOLE NEW FORECLOSURE CRISIS. THINK ABOUT TAXES. IF YOU CAN’T HAVE A HOUSE, WELL, THEN THE TAX BASE IN THAT COMMUNITY MEANS LOSS OF BASIC SERVICES. SO THIS IS REALLY A GROWING PROBLEM THAT NEEDS TO BE TAKEN MORE SERIOUSLY. WE DID RECENTLY SPEAK TO CRAIG FUGATE, WHO WAS THE FEMA DIRECTOR FOR MANY YEARS. TAKE A LISTEN TO WHAT HE HAD TO SAY. AND I THINK WE’RE AT THAT TIPPING POINT WHERE WE’RE CONTINUING TO SEE MORE OF THIS RISK TRANSFERRED TO THE FEDERAL TAXPAYER AND THE HOMEOWNERS AND THE PEOPLE THAT LIVE IN THESE COMMUNITIES WILL FIND THAT THESE PROGRAMS THAT ARE ADMINISTERED BY FEMA, HUD SMALL BUSINESS IN MANY CASES, WILL NOT ALLOW THEM TO REPAIR AND REBUILD THEIR HOMES WITHOUT INSURANCE. AND SO THAT GAP IS SOMETHING WE NEED TO ADDRESS. SO WHEN YOU LISTEN TO WHAT HE HAS TO SAY, THAT’S REALLY, REALLY ALARMING BECAUSE THE PROBLEM IS GETTING WORSE AND THE SOLUTIONS AREN’T SO CLEAR. DAN LIEBERMAN ALWAYS NICE TO HAVE YOU. THANKS. APPRECIATE IT. GREAT TO SEE YOU NEXT ON MATTER OF FACT, CAN YOU EVEN TELL WHEN AI IS BEING USED? NO, NOT NECESSARILY THE CHALLENGES OF REGULATING AI USE IN POLITICAL CAMPAIGNS. AND THERE’S A LOOK OF PAIN AND UNCOMFORTABLENESS IN THEIR OWN SKIN. WHY THESE MINNESOTA PARENTS SAY LEGAL PROTECTIONS WERE NEEDED TO ALLOW THEIR SON TO BE HIMSELF. PLUS, IN A DEEPLY DIVIDED COUNTRY, WE EXPLAIN HOW HIGH PRESCRIPTION DRUG PRICES ARE ACTUALLY UNIFYING LAWMAKERS. YOU’RE WATCHING, MATTER OF FACT, AMERICA’S NUMBER ONE NATIONALLY SYNDICATED PUBLIC AFFAIRS NEWS MAGAZINE. TURN ON THE TV AND CHANCES ARE YOU’LL SEE A CAMPAIGN AD THIS ELECTION YEAR. IT’S PROJECTED THAT ABOUT $16 BILLION WILL BE SPENT ON POLITICAL ADS, 30% MORE THAN THE LAST PRESIDENTIAL ELECTION. BUT WHAT’S BEING WATCHED ESPECIALLY CLOSELY IS HOW A.I. IS BEING USED IN POLITICAL ADS FOR EXAMPLE, LAST AUGUST, THE REPUBLICAN NATIONAL COMMITTEE RELEASED THIS AD FEATURING AI GENERATED IMAGES OF A DYSTOPIAN FUTURE. SCOTT BABWAH BRENNEN IS HEAD OF ONLINE EXPRESSION POLICY AT THE UNIVERSITY OF NORTH CAROLINA’S CENTER ON TECHNOLOGY POLICY. IT’S SO NICE TO HAVE YOU IN STUDIO. THANK YOU FOR JOINING ME. OF COURSE. CAN YOU EVEN TELL WHEN A.I. IS BEING USED IN AN AD? NO, NOT NECESSARILY. THERE ARE VERY REALISTIC LOOKING DEEPFAKES OUT THERE THAT IT IS NEARLY IMPOSSIBLE TO TELL. THERE ARE A NUMBER OF TOOLS THAT CAN SOMEWHAT RELIABLY DETECT THOSE, BUT NOW, FOR EXAMPLE, MANY OF THE SOCIAL MEDIA PLATFORMS ARE RELYING ON SELF-DECLARATION. THEY’RE RELYING ON ADVERTISERS CHECKING A LITTLE BOX THAT SAYS THAT THEY INCLUDED GENERATED IMAGERY IN THE AD. SO IS THAT A GOOD THING? HONESTLY, THAT IS THE THAT IS THE KEY QUESTION IN CONSIDERING THE REGULATION HERE. THE PROBLEM IS WE WE DON’T KNOW IF THOSE LABELS WILL WORK OR WHAT EFFECT THAT THEY MAY HAVE. AND THIS GOES BACK TO THE POINT ABOUT HOW HARD IT IS TO KNOW WHEN SOMETHING IS AI GENERATED OR WHEN IT’S NOT. SO YOU’RE LEFT IN A REALLY DIFFICULT POSITION OF FLAGGING EVERYTHING THAT MAY BE AI GENERATED, AND THEN YOU MAY HAVE THE SITUATION WHERE, YOU KNOW, VOTERS SEE SO MANY LABELS THAT THEY BECOME MEANINGLESS OR MAY MAKE ASSUMPTIONS THAT CONTENT THAT IS NOT LABELED MUST BE TRUE EVEN WHEN IT’S WHEN IT IS IN FACT INCORRECTLY UNLABELED. NETWORKS GET AN AD AND THEN THEY DECIDE, IS THIS AD FACTUAL? IS THIS AD APPROPRIATE FOR OUR NETWORK? HOW DOES AI CHANGE ALL THAT FOR A NETWORK THAT CAN’T NECESSARILY DETERMINE IF EVEN THE PICTURES ARE REAL? YEAH, IT’S A DIFFICULT PROBLEM, BUT I THINK REALLY THE BIGGER CONCERN IS NOT WHAT HAPPENS ON THE MAJOR NETWORKS. POLITICAL ADS FOR MAJOR CAMPAIGNS. IT’S RATHER WHAT HAPPENS IN A DOWN BALLOT RACES. WHY? WHY IS THAT A BIGGER CONCERN? WELL, THERE’S THERE’S FAR LESS ATTENTION. THERE’S LESS JOURNALISTIC COVERAGE OF OF DOWN BALLOT RACES. IT’S POSSIBLE VOTERS MAY NOT EVEN KNOW THE NAMES OF THE CANDIDATES WHO ARE RUNNING. AND IN THAT CONTEXT, A SINGLE PIECE OF DECEPTIVE CONTENT. IT’S POSSIBLE, MAY HAVE MORE IMPACT, CERTAINLY, THAN IN A NATIONAL CAMPAIGN THAT’S ABSOLUTELY FLOODED WITH INFORMATION. WHEN YOU START LOOKING AT WHAT REGULATION THEORETICALLY COULD LOOK LIKE, WHAT ARE SOME OF THE SOLUTIONS THERE ARE TWO SOLUTIONS THAT REGULATORS NOW REALLY CONSIDERING. ONE WOULD BE TO BAN DECEPTIVE SYNTHETIC MATERIAL IN POLITICAL ADS. THE OTHER IS TO REQUIRE LABELS ON POLITICAL ADS. SO BAN OR LABELS. THE PROBLEM HERE IS THAT IT’S VERY POSSIBLE EITHER SOLUTION WOULD RUN INTO FIRST AMENDMENT CHALLENGES. POLITICAL SPEECH. TRUE OR FALSE, HAS HISTORICALLY RECEIVED THE HIGHEST LEVEL OF FIRST AMENDMENT PROTECTIONS IN THIS COUNTRY. AS A PERSON WHO STUDIES AI IN POLITICAL CAMPAIGNS, ARE YOU NERVOUS ABOUT WHAT THE FUTURE WILL HOLD? YES AND NO. I THINK IT ABSOLUTELY RAISES SOME VERY SERIOUS RISKS. DOWN BALLOT. I THINK THERE’S A HUGE RISK ABOUT AS CAMPAIGNS BEGIN TO INTEGRATE THESE TOOLS. AND JUST THE DAY TO DAY WORK OF CAMPAIGNING, THAT THEY MAY BE SORT OF REPLICATING OR AMPLIFYING THE BIASES THAT WE KNOW ARE BUILT INTO THESE, THESE AI MODELS. AND THEN THERE’S A LOT OF TALK ABOUT WHAT’S CALLED THE LIAR’S DIVIDEND. AND IT’S WHEN A CANDIDATE FOR EXAMPLE, IS ABLE TO DISCREDIT REAL CONTENT AND SAY THAT IT IS THAT IT IS AI GENERATED. SO YES OR NO, I MEAN, I THINK WE’RE IN A DIFFICULT POSITION WHERE, UH, THESE TOOLS ARE BEING USED WIDELY IN THE CAMPAIGN, BUT IT’S SO EARLY THAT WE DON’T HAVE GREAT EVIDENCE ABOUT THE IMPACT THAT THEY HAVE. SCOTT BABWAH JSBRENNEN, THANK YOU FOR COMING IN AND TALKING WITH ME. I APPRECIATE IT. YEAH. THANK YOU SO MUCH. COMING UP, THEIR PATIENTS ARE YOUNG AND LOOKING FOR ASSISTANCE WITH GENDER AFFIRMING CARE FOR YOUNGER KIDS. WE CERTAINLY LISTEN TO THEM TO BELIEVE THEM. THE REALITIES AND MYTHS ABOUT GENDER AFFIRMING CARE FOR YOUTH, PLUS A LOOK AT EFFORTS ACROSS THE COUNTRY TO LOWER HOW MUCH YOU HAVE TO PAY AT THE PHARMACY. FOR THE FIRST TIME EVER, THE SUPREME COURT WILL WEIGH IN ON THE ISSUE OF GENDER AFFIRMING CARE FOR YOUNG PEOPLE THIS FALL, JUSTICES WILL HEAR A BIDEN ADMINISTRATION APPEAL TO A COURT DECISION THAT UPHELD THE TRANSGENDER CARE BAN IN TENNESSEE. THE LAW THERE PROHIBITS HORMONE THERAPY AND PUBERTY BLOCKERS FOR MINORS AND IMPOSES CIVIL PENALTIES FOR DOCTORS WHO BREAK THE RULES. NEARLY HALF OF STATES EITHER BAN OR ARE CONSIDERING BANNING AND OR CRIMINALIZING GENDER AFFIRMING CARE FOR YOUTH. BUT THERE ARE PLACES LIKE MINNESOTA ISSUING PROTECTIONS. LAST YEAR, OUR CORRESPONDENT JESSICA GOMEZ TRAVELED THERE TO SEE HOW MEDICAL PROFESSIONALS ARE GUIDING CHILDREN AND THEIR FAMILIES THROUGH THESE LIFE ALTERING DECISIONS. IN MINNEAPOLIS, 14 YEAR OLD BE HITTING THE ROCK WALL AFTER SCHOOL. NICE, NICE PULL. I REALLY LIKE HOW IT FEELS WHEN I’M JUST ON THE WALL AND IT LIKE NOTHING REALLY MATTERS. BABY WAS BORN THE OLDEST OF THREE GIRLS, BUT FROM THE BEGINNING, THE TRANSGENDER TEENAGER SAYS IT DIDN’T FEEL RIGHT. I KNOW WHO I AM AND I HAVE KNOWN FOR A LONG TIME. BARBIE’S PARENTS, ANDY AND ANDREA. I THINK IT WAS ABOUT THIRD GRADE THAT BE FINALLY DECIDED THAT HE WANTED TO BE IDENTIFIED WITH HE HIM PRONOUNS. SINCE THAT TIME, B HAS CONTINUED TO IDENTIFY AS A BOY. IT WAS AT THE ONSET OF PUBERTY, THEY SAY THAT THINGS FOR THEIR USUALLY UPBEAT CHILD TOOK A TURN EVERY NIGHT. HERE’S THAT KID WHO IS STANDING IN FRONT OF A MIRROR, ESSENTIALLY TRYING TO MAKE HIS BREAST TISSUE GO AWAY. THERE’S A LOOK OF PAIN AND OF OF DISTRESS AND OF UNCOMFORTABLENESS IN THEIR OWN SKIN. SO THE FAMILY WENT TO CHILDREN’S MINNESOTA HOSPITAL AND ITS GENDER HEALTH PROGRAM. HELLO. HEY. HI. GOOD MORNING. IT’S WHERE IN ADDITION TO OTHER MEDICAL AND MENTAL HEALTH PROFESSIONALS, THEY MET WITH DOCTOR ANGELA KADE GOEPFERD, A PEDIATRICIAN AND DIRECTOR OF THE PROGRAM. IN THOSE FIRST MEETINGS, WHAT I’M WANTING TO KNOW IS, WHY ARE YOU HERE? WHAT ARE YOU STRUGGLING WITH? WHAT’S GOING WELL? WHAT DO YOU HAVE QUESTIONS ABOUT AND HOW CAN I HELP? IS THERE ANYTHING THAT WAS ON YOUR MIND TODAY THAT YOU WANTED TO TALK ABOUT? WHILE THE CARE DOCTOR, GEOPFERD AND SPECIALIST AT CHILDREN’S MINNESOTA PROVIDE IS NOT CONTROVERSIAL AMONG MAJOR MEDICAL ASSOCIATIONS, IT’S MISINFORMATION. ELSEWHERE, THEY SAY DOING THE MOST DAMAGE. FIRST OF ALL, THERE’S A GENERAL MISCONCEPTION THAT THIS CARE IS PROVIDED WITHOUT PARENTAL CONSENT. I’M A PEDIATRICIAN. EVERYTHING I DO INVOLVES PARENTAL CONSENT. ONE OF THE BIGGEST ONES THAT I HEAR IS THAT IT INVOLVES SURGERY. SO WORDS LIKE SEX CHANGE OR SURGICAL PROCEDURES, THAT’S JUST NOT A PART OF CARE FOR KIDS IS THERE ANYTHING THAT YOU’RE NERVOUS ABOUT OR HAVE QUESTIONS ABOUT? AND IT’S USUALLY NOT UNTIL BARBIE’S AGE OR OLDER. DOCTOR GEOPFERD SAYS THAT MEDICATION MIGHT BE PART OF THE PROCESS. THEY CAN, ALONG WITH THEIR PARENTS, DECIDE TO TAKE WHAT’S CALLED A GENDER AFFIRMING HORMONE. SOME OF THOSE EFFECTS ARE GOING TO BE IRREVERSIBLE. SOME, OVER TIME, WILL NOT BE. WE WOULD TALK ABOUT IT IN DECEMBER, AND THAT MIGHT BE THE LAST INJECTION FOR BE USING MEDICATION TO SLOW THE IMPACTS OF PUBERTY HAS PROVIDED SOME RELIEF AS HE AND HIS FAMILY DECIDE WHAT’S NEXT. IMMEDIATELY, YOU COULD TELL THAT THAT MEANT EVERYTHING TO HIM IN THIS CASE, GO BACK TO BEING HIS NORMAL SELF. YEAH, IT FEELS JUST REALLY CHILL. IT’S LIKE, YES, IT’S ALL IT’S ALL JUST COMING TOGETHER IN MINNEAPOLIS FOR MATTER OF FACT, I’M JESSICA GOMEZ, AHEAD ON MATTER OF FACT, WHEN YOU’RE PRESCRIBED A MEDICATION BY THE DOCTOR, THERE’S A MIDDLEMAN NEGOTIATING HOW MUCH YOU’LL PAY. WE EXPLAIN HOW PHARMACY BENEFIT MANAGERS WORK AND WHY SOME STATES ARE LOOKING TO REGULATE THEM. PLUS, PRIDE MONTH WRAPS UP THIS WEEKEND. WE HAVE A HISTORY LESSON ON HOW THE RAINBOW FLAG BECAME A GLOBAL SYMBOL OF INCLUSION. TO STAY UP TO DATE WITH MATTER OF FACT, SIGN UP FOR OUR NEWSLETTER AT MATTEROFFACTTV. WELCOME BACK TO MATTER OF FACT. REPUBLICAN AND DEMOCRAT LED STATES RARELY AGREE ON POLICIES, BUT THEY DO SHARE SOME COMMON GROUND ABOUT PRESCRIPTION DRUG PRICING. AT LEAST 41 STATE LEGISLATURES HAVE PROPOSED BILLS TO CRACK DOWN ON PHARMACY BENEFIT MANAGERS OR PBMS. THOSE ARE THIRD PARTIES THAT DETERMINE HOW MUCH INSURERS PAY PHARMACIES FOR DISPENSING DRUGS TO PATIENTS. TO DO THAT, PBMS NEGOTIATE DISCOUNTS OR REBATES WITH DRUG MANUFACTURERS. THE THING IS, 80% OF THE PRESCRIPTION DRUG MARKET IS CONTROLLED BY JUST THREE OF THEM. SO IT LEAVES VERY LITTLE COMPETITION. CRITICS SAY PBMS ARTIFICIALLY INFLATE DRUG PRICES AND THEN POCKET THE DIFFERENCE OF WHAT INSURERS PAY AND WHAT PHARMACIES RECEIVE. IT’S CALLED SPREAD PRICING. 13 STATES HAVE ALREADY SIGNED REFORMS THAT BAN THE PRACTICE. ALSO, SOME STATES ARE TRYING TO EXPAND ON A FEDERAL DRUG DISCOUNT PROGRAM. WEST VIRGINIA IS THE THIRD STATE TO REQUIRE DRUG MAKERS TO OFFER LOW COST MEDICATIONS TO PHARMACIES THAT ARE NOT IN THE PROGRAM. ARKANSAS LOUISIANA DID THE SAME IN RECENT YEARS. BOTH STATES WERE SUED OVER THE EXPANSION, BUT THE PHARMACEUTICAL RESEARCH AND MANUFACTURERS OF AMERICA LOST THE FIGHT IN ARKANSAS. STILL AHEAD ON MATTER OF FACT, IT PROCLAIMS POWER. WHY? DECADES AGO, HE CHOSE A RAINBOW TO BE THE SYMBOL OF THE LGBTQ COMMUNITY. FINALLY, WE MARK THE END OF PRIDE MONTH WITH SOME HISTORY. THE RAINBOW FLAG IS NOW FIRMLY ROOTED AT THE HEART OF PRIDE, SYNONYMOUS WITH THE LGBTQ PLUS COMMUNITY. BUT WHAT’S THE BACK STORY? WELL, FOR THAT, WE GO BACK TO THE LATE 1970S. HARVEY MILK, CALIFORNIA’S FIRST OPENLY GAY ELECTED OFFICIAL, ASKED AN ARTIST FRIEND, GILBERT BAKER, TO COME UP WITH A POSITIVE, INCLUSIVE SYMBOL FOR THE COMMUNITY, EVEN THOUGH WE’RE NOT A COUNTRY AND A NATION, WE’RE KIND OF A PEOPLE. AND I THOUGHT A FLAG IS VERY USEFUL AS A SYMBOL IN TERMS OF IT PROCLAIMS POWER. IT SAYS SOMETHING. BAKER FELT A RAINBOW WAS ONE OF THE EARLIEST SYMBOLS OF HOPE. HE DEBUTED HIS FIRST TWO ENORMOUS FLAGS AT SAN FRANCISCO’S 1978 GAY FREEDOM DAY PARADE. FOUR YEARS LATER, BAKER WAS ASKED TO DECORATE THE MAIN STAGE OF THE THE FIRST GAY GAMES, INTRODUCING THE RAINBOW FLAG TO THE WORLD. THEN IN THE MID 80S, INTERPRIDE, THE LGBTQ INTERNATIONAL COMMUNITY ORGANIZATION VOTED TO MAKE THE FLAG ITS OFFICIAL SYMBOL. YOU CAN STILL GET A GLIMPSE OF BAKER’S ORIGINAL HANDIWORK, A REMNANT OF ONE OF HIS FIRST FLAGS IS ON DISPLAY AT SAN FRANCISCO’S GLBT HISTORICAL SOCIETY. THAT’S IT FOR THIS EDITION OF MATTER OF FACT, I’M SOLEDAD O’BRIEN, AND I’LL SEE YOU BACK HERE NEXT WEEK TO WATCH MORE STORIES LIKE THIS ANYTIME, HEAD TO MATTEROFFACTTV.