“With CalRx, we are getting at the underlying cost, which is the true sustainable solution to high-cost pharmaceuticals,” Newsom wrote in a message explaining why he vetoed the bill on Saturday. “With co-pay caps however, the long-term costs are still passed down to consumers through higher premiums from health plans.”

Makes sense, when you block a corporation by increasing taxes, they will always pass the "new" cost to the consumers, in this case the "competition" will provide true lower costs...