SSB 3128

“Similarly situated entity or pharmacy” is defined in the bill. Plans, issuers, administrators, Medicaid managed care organizations (MCOs), and PBMs shall not, solely on the basis that an entity is a covered entity or that a pharmacy is a contract pharmacy, or that a covered entity or contract pharmacy participates in the 340B program, impose certain contractual terms and conditions, as described in the bill, on the covered entity or contract pharmacy that differ from those imposed on a similarly situated entity or pharmacy that is not a covered entity or a contract pharmacy. _____ that choose to obtain a covered outpatient drug from a covered entity or a contract pharmacy, whether in person, via courier or the United States post office, or any other form of delivery; refusing to contract with a covered entity or a contract pharmacy based on any criteria that is not applied equally to a contract with a similarly situated entity or pharmacy that does not participate in the 340B program; or imposing any restriction or condition as identified by the commissioner of insurance (commissioner) by rule, on a covered entity that interferes with the covered entity’s ability to maximize the value of the discounts obtained by the covered entity through the covered entity’s participation in the 340B program. “Group health plan” and “third-party administrator” are defined in the bill. The commissioner shall impose a civil penalty, not to exceed $5,000 per violation per day, on any entity that violates a provision of the bill. No later than 180 days after the date of enactment of the bill, the commissioner shall adopt rules as necessary to implement the bill. The bill applies to covered entities, contract pharmacies, and MCOs regardless of whether the covered entity, contract pharmacy, or MCO is eligible to retain the discounts generated by the covered entity’s, contract pharmacy’s, or MCO’s participation in the 340B program. §1396r-8(a)(5)(C), to prevent the state from submitting claims for Medicaid rebates for covered outpatient drugs purchased by covered entities through the 340B drug program.