Bill > HF2851

This bill introduces comprehensive reforms to regulate pharmacy benefit managers (PBMs) in Minnesota, with several key provisions. The bill defines "spread pricing" as a pricing model where PBMs charge health plans a different price for prescription drugs than what they pay pharmacies, and explicitly prohibits this practice. It increases license application and renewal fees for PBMs from $8,500 to at least $15,000 and increases penalties for operating without a license. The bill imposes new fiduciary duties on PBMs, requiring them to act with care, skill, and professionalism, and prohibits them from charging pharmacies fees related to claims processing. Additionally, the legislation establishes new reimbursement practices, such as requiring PBMs to reimburse pharmacies at rates no less than what they pay their own affiliates and mandating reimbursement at or above the national average drug acquisition cost. The bill also enhances transparency requirements, mandating detailed annual reports to the commissioner of commerce about rebates, fees, and claims data. To enforce these new regulations, the bill appropriates funding to increase staff for investigating and enforcing PBM practices, signaling a strong commitment to oversight of pharmacy benefit managers in the state.

Health and Social Services

https://www.revisor.mn.gov/bills/bill.php?b=House&f=HF2851&ssn=0&y=2025