Bill > HB740

This bill revises laws relating to pharmacies, pharmacy benefit managers (PBMs), and prescription drug reimbursement, introducing several key protections for independent pharmacies and patients. The legislation defines new terms like "independent pharmacy" and "effective rate contracting", and establishes multiple restrictions on PBMs' practices. Key provisions include prohibiting PBMs from charging various fees to pharmacies, mandating timely updates to drug pricing lists, ensuring fair reimbursement rates for independent pharmacies (including a minimum $15 professional dispensing fee that will increase annually with inflation), and preventing PBMs from implementing effective rate contracting or reducing pharmacy payments through complicated reconciliation processes. The bill also protects pharmacies' rights by preventing PBMs from excluding pharmacies from networks based solely on being new, requiring consistent network standards, and allowing pharmacies to discuss prescription costs with patients. Additionally, the bill addresses mail-order pharmacy limitations, ensures patient access to local pharmacies when mail-order services are delayed, and includes provisions preventing PBMs from requiring patients to use PBM-owned pharmacies. The legislation will apply to conduct occurring on or after October 1, 2025, and will terminate on June 30, 2029.

Budget and Finance, Business and Industry, Justice

https://bills.legmt.gov/#/laws/bill/2/LC2354