Bill > SB252

This bill, known as "The Community Pharmacy Relief Act," introduces comprehensive regulations for Pharmacy Benefits Managers (PBMs) in Alabama, with a primary focus on protecting independent pharmacies and ensuring fair reimbursement practices. The bill expands definitions of key terms, prohibits various anti-competitive practices by PBMs, and establishes new requirements for how PBMs interact with pharmacies and health benefit plans. Specifically, it mandates that PBMs cannot reimburse independent pharmacies at a rate lower than the Medicaid reimbursement rate, prohibits spread pricing and steering practices, and requires PBMs to pass 100% of pharmaceutical manufacturer rebates to health benefit plan clients unless otherwise directed. The bill also empowers the state insurance commissioner to enforce these regulations, with the ability to conduct audits, impose civil penalties of at least $1,000 per violation, and adopt rules to implement the law. Additionally, the bill provides protections for independent pharmacies by preventing PBMs from denying network participation, imposing excessive fees, or retaliating against pharmacies that exercise their rights under the new regulations. Most provisions will take effect immediately, with the specific reimbursement rate provisions becoming effective on October 1, 2025.

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