(PN 3499) Amends the Pharmacy Audit Integrity and Transparency Act, further providing for title of act to include pharmacy benefit managers (PBMs) contract requirements and prohibited activities; in preliminary provisions, further providing for short title to be known as the Pharmacy Benefit Reform Act, for scope of act to detail what applies and for definitions and providing for rules and regulations; in pharmacy audits, further providing for limitations; in registration, further providing for PBM and auditing entity registration; providing for pharmacy benefits manager contracts; in PBM cost transparency requirements, providing for PBM transparency report required, repealing provisions relating to regulations and providing for PSAO reporting requirements; in enforcements, further providing for scope of enforcement authority; providing for pharmacy services; and repealing sections 9.2 and 9.5 of the Pharmacy Act. Provides the act covers any contract between a pharmacy or a PBM and a health insurer or a health benefit plan or a contract between a pharmacy and a PBM on behalf of a health insurer or a health benefit plan. Provides several definitions and adds that the department may promulgate regulations necessary for the administration of this act, except as provided for in Chapter 10. Adds a subsection stating that a scrivener’s error made by a pharmacy not attributed to fraud, waste or abuse that is discovered during a pharmacy audit by the PBM shall result in the PBM recouping the dispensing fee for that particular transaction, not the entire amount for the medication received by the patient. Provides PSAO registration, making a technical change, and asserts that the amount of the initial application fee and renewal application fee shall be sufficient to fund the department’s duties in relation to its responsibilities under this chapter but may not exceed $10,000 for a PBM or auditing entity and $500 for a PSAO. Revises the chapter for PBM contracts, detailing the general rule, outlining rebates and providing for contract information relative to contract provisions. Provides provisions for patient steering, specifying prohibitions and construction and making an editorial change. Provides for clawbacks prohibited, establishing a general rule and collection of difference in cost sharing. Outlines network adequacy. Requires each registered PBM to submit to the department a transparency report containing data for each health insurer client in this commonwealth from the prior calendar year, specifying what information the transparency report shall contain and providing for publication of the report, additional categories and confidentiality. Establishes PSAO reporting requirements. Detailing what information a PSAO shall provide to the department and each pharmacy that has contracted for services. Provides for the scope of enforcement authority, changing insurance policy to benefit plan in scope, removing language providing for remedy and outlining what applies to examination and access to records and review of specialty drugs. Establishes penalties, remedies and administrative procedure relative to the scope of enforcement authority. Adds chapter for pharmacy services, providing several definitions and other requirements. Outlines the administration of injectable medications, biologicals and immunizations. Provides provisions for a clinical laboratory certificate. Directs the Department of Health (DOH), in consultation with the board, to report to the Senate President Pro Tempore, the majority and minority leaders of the Senate, the Speaker of the House and the majority and minority leaders of the House information concerning pharmacist activities authorized under this chapter. Provides the scope of the report, timing of the report and publication of the report. Outlines this act’s effects on the Pharmacy Act and establishes what applies to this act. The amendment or addition of the definitions of "affiliate" or "affiliated," "complex or chronic medical condition," "covered entity," "ERISA," "health benefit plan," "health insurance policy," "health insurer client," "licensee or registrant," "mail order pharmacy," "maintenance medication," "rare medical condition," "retail pharmacy," "specialty drug," "specialty pharmacy" and "spread pricing” and Section 14 of this act are effective in 90 days. Section 15 is effective immediately. The remainder of this act is effective in 120 days. (Prior Printer Number(s): 3317, 3435, 2833, 3497)
(PN 3497) Amends the Pharmacy Audit Integrity and Transparency Act, further providing for title of act to include pharmacy benefit managers (PBMs) contract requirements and prohibited activities; in preliminary provisions, further providing for short title to be known as the Pharmacy Benefit Reform Act, for scope of act to detail what applies and for definitions and providing for rules and regulations; in pharmacy audits, further providing for limitations; in registration, further providing for PBM and auditing entity registration; providing for pharmacy benefits manager contracts; in PBM cost transparency requirements, providing for PBM transparency report required, repealing provisions relating to regulations and providing for PSAO reporting requirements; in enforcements, further providing for scope of enforcement authority; providing for pharmacy services; and repealing sections 9.2 and 9.5 of the Pharmacy Act. Provides the act covers any contract between a pharmacy or a PBM and a health insurer or a health benefit plan or a contract between a pharmacy and a PBM on behalf of a health insurer or a health benefit plan. Provides several definitions and adds that the department may promulgate regulations necessary for the administration of this act, except as provided for in Chapter 10. Adds a subsection stating that a scrivener’s error made by a pharmacy not attributed to fraud, waste or abuse that is discovered during a pharmacy audit by the PBM shall result in the PBM recouping the dispensing fee for that particular transaction, not the entire amount for the medication received by the patient. Provides PSAO registration and asserts that the amount of the initial application fee and renewal application fee shall be sufficient to fund the department’s duties in relation to its responsibilities under this chapter but may not exceed $10,000 for a PBM or auditing entity and $500 for a PSAO. Revises the chapter for PBM contracts, detailing the general rule, outlining rebates and providing for contract information relative to contract provisions. Provides provisions for patient steering, specifying prohibitions and construction. Provides for clawbacks prohibited, establishing a general rule and collection of difference in cost sharing. Outlines network adequacy. Requires each registered PBM to submit to the department a transparency report containing data for each health insurer client in this commonwealth from the prior calendar year, specifying what information the transparency report shall contain and providing for publication of the report, additional categories and confidentiality. Establishes PSAO reporting requirements. Detailing what information a PSAO shall provide to the department and each pharmacy that has contracted for services. Provides for the scope of enforcement authority, changing insurance policy to benefit plan in scope, removing language providing for remedy and outlining what applies to examination and access to records and review of specialty drugs. Establishes penalties, remedies and administrative procedure relative to the scope of enforcement authority. Adds chapter for pharmacy services, providing several definitions and other requirements. Outlines the administration of injectable medications, biologicals and immunizations. Provides provisions for a clinical laboratory certificate. Directs the Department of Health (DOH), in consultation with the board, to report to the Senate President Pro Tempore, the majority and minority leaders of the Senate, the Speaker of the House and the majority and minority leaders of the House information concerning pharmacist activities authorized under this chapter. Provides the scope of the report, timing of the report and publication of the report. Outlines this act’s effects on the Pharmacy Act and establishes what applies to this act. Section 14 of this act shall be effective in 90 days. Section 15 is effective immediately. The remainder of this act shall be effective in 120 days (Prior Printer Number(s): 3317, 3435, 2833)
(PN 2833) Amends the Pharmacy Audit Integrity and Transparency Act, further providing for title of act to be known as the Community Pharmacy Protection Act; in preliminary provisions, further providing for short title and for definitions; in pharmacy audits, further providing for limitations; and providing for pharmacy benefits manager contract requirements and prohibited acts. Allows for a pharmacy benefit manager (PBM) to recoup the dispensing fee for particular transactions discovered during a PBM audit of the pharmacy where a scrivener error is made by a pharmacy and is not attributed to fraud, waste or abuse. Provides a chapter for pharmacy benefits manager contract requirements and prohibited acts. Details prohibitions upon a contract between a pharmacy benefit manager or a designee of the pharmacy benefit manager and a pharmacy. Prohibits a pharmacy benefit manager from conducting or participating in spread pricing or patient steering. Directs the department to develop a process for complaints filed by a pharmacy against a PBM, set fixed amounts for PBM claim processing and administrative fees and develop a statewide National Average Drug Acquisition Cost (NADAC) guideline that utilizes wholesale pricing based on manufacturers’ invoices. Directs pharmacy benefit managers to approve a request from a pharmacy to be a member of the PBM’s network within 30 days of the initial request and to provide a dedicated telephone number and email address for network admission requests. States a PBM hired for the State Employee Health Plan shall have a transparent reimbursement methodology based on the NADAC guidelines and a dispensing fee equal to or greater than the maximum prevailing fee for service or PACE rate in the commonwealth. Directs a PBM to report to the department the amount of rebates and payments received from drug manufacturers and how they were distributed. Effective in 60 days.
(PN 3435) Amends the Pharmacy Audit Integrity and Transparency Act, further providing for title of act to include pharmacy benefit managers (PBMs) contract requirements and prohibited activities; in preliminary provisions, further providing for short title to be known as the Pharmacy Benefit Reform Act and for definitions; in pharmacy audits, further providing for limitations; in registration, further providing for pharmacy benefits manager and auditing entity registration; providing for pharmacy benefits manager contract requirements and prohibited acts; in PBM cost transparency requirements, providing for transparency report required; and, in enforcements, further providing for scope of enforcement authority and providing for regulations and for construction. Provides technical changes to address PBMs, their contract requirements and their prohibited activities. Amends definitions and provides additional definitions. Specifies a scrivener’s error made by a pharmacy not attributed to fraud, waste or abuse that is discovered during an audit of the pharmacy by the PBM shall result in the PBM recouping the dispensing fee for that particular transaction, not the entire amount for the medication received by the patient. Specifies the amount of the initial application fee and renewal application fee shall be sufficient to fund the department’s duties in relation to its act responsibilities but may not exceed $10,000. Specifies prohibitions upon the contract between a PBM or a designee of the PBM and a pharmacy. Prohibits the practices of spread pricing and patient steering by a health benefit plan, health insurer or PBM contracting with a health benefit plan or health insurer. Prohibits a health benefit plan, health insurer or PBM contracting with a health benefit plan or health insurer from requiring certain cost-sharing practices. Specifies procedure should a pharmacist, pharmacy intern or technician determine the information indicating the cost-sharing amount required by the patient’s health benefit plan exceeds the amount that may otherwise be charged for the same prescription drug. Directs a PBM to establish a reasonably adequate and accessible PBM network for the provision of prescription drugs under a health benefit plan that shall provide for convenient patient access to pharmacies within a reasonable distance from a patient’s residence in accordance with certain requirements. Directs PBMs to file with the department annual network adequacy and transparency reports, beginning April 1 and July 1, 2026, respectively. Provides for report information to be included. Directs the department to publish the transparency reports within 60 days of receipt, in a manner that does not disclose the identity of a specific health benefit plan or health insurer, the prices charged for specific drugs or classes of drugs or the amount of any rebates provided for specific drugs or classes of drugs. Provides for the applicability of the chapter and the department’s ability to promulgate regulations to carry out the chapter. Eliminates “insurance policy” in favor of “benefit plan.” Eliminates current remedies. Allows the department to make certain orders to produce records, books or other information as reasonably necessary to ascertain act compliance. Provides certain penalties for act violations. Effective in 60 days. (Prior Printer Number(s): 2833, 3317)
(PN 3317) Amends the Pharmacy Audit Integrity and Transparency Act, further providing for title of act to include pharmacy benefit managers (PBMs) contract requirements and prohibited activities; in preliminary provisions, further providing for short title to be known as the Pharmacy Benefit Reform Act and for the definitions of “covered entity” and “health insurance policy” as well as providing several definitions; in pharmacy audits, further providing for limitations; in registration, further providing for PBM and auditing entity registration; providing for pharmacy benefits manager contract requirements and prohibited acts; in PBM cost transparency requirements, providing for transparency report required; and, in enforcements, further providing for scope of enforcement authority and providing for regulations and for construction. Allows for a PBM to recoup the dispensing fee for particular transactions discovered during a PBM audit of the pharmacy where a scrivener’s error is made by a pharmacy and is not attributed to fraud, waste or abuse, making editorial changes. Amends PBM and auditing entity registration term and fee to assert that the amount of the initial application fee and renewal application fee shall be sufficient to fund the department’s duties in relation to its responsibilities under this chapter but may not exceed $10,000. Provides a chapter for pharmacy benefits manager contract requirements and prohibited acts, making editorial changes to contract provisions. Strikes out language detailing prohibitions, duties of the department, duties of PBMs, PBM for state employee health plan and reports by PBM. Prohibits a health benefit plan, health insurer or PBM contracting with a health benefit plan or health insurer from utilizing any form of spread pricing in this commonwealth. Outlines what a health benefit, health insurer or PBM contracting with a health benefit plan or insurer may not do. Provides provisions for clawbacks prohibited, including a general rule and duty when filling a prescription. Provides a general rule and requires a report relative to network adequacy. Allows the department to promulgate regulations as necessary and appropriate to carry out this chapter. Asserts that the provision of this chapter shall not apply until the date the contract is amended, extended or renewed if a contract is in effect on the effective date of this section that conflicts with this chapter. Adds a section requiring a transparency report. Revises the scope of enforcement authority, removing the subsection providing for remedy and adding subsections providing for examination and access to records and penalties. Stipulates that nothing in this act shall be construed to apply to the conduct of a PBM in connection with a contract with a self-funded group health plan subject to 29 U.S.C. Ch. 18. Effective in 60 days. (Prior Printer Number(s): 2833)