Bill > HB2375

This bill enhances prescription drug price transparency in Virginia by requiring pharmacy services administrative organizations (PSAOs) - entities that provide administrative services to independent pharmacies like negotiating with pharmacy benefits managers - to submit annual reports to a nonprofit data services organization by April 1st. The reports must include specific details such as negotiated reimbursement rates for brand, generic, and specialty drugs across different pharmacy networks, as well as the fee schedules charged to pharmacies. Importantly, PSAOs that only generate revenue through flat service fees and do not charge pharmacies based on drug prices or volume are exempt from these reporting requirements. The bill amends existing law to expand the types of organizations required to provide prescription drug pricing information, with the goal of creating more transparency in drug pricing while protecting confidential business information. Entities failing to report as required could face civil penalties up to $2,500 per day, though the Commissioner may reduce or waive these penalties if the violation was reasonable or due to good cause. The collected information will be made publicly available in an aggregated format that does not reveal proprietary details about specific health plans, drugs, or companies.

Health and Social Services

https://lis.virginia.gov/bill-details/20251/HB2375