Bills › 90th General Assembly
Relating to the regulation of pharmacy benefits managers
Sponsored by the Senate Commerce (companion To Hf 2099 By Committee on Commerce) Committee
Topics:Business & economyHealth carePrescription drug prices
Same legislation: HF 2099
Where it is now
- Done: IntroducedJanuary 22, 2024
- Skipped: SubcommitteeSkipped
- Done: Senate committeeFebruary 15, 2024
- Done: Passes the SenateApril 17, 202446–0
- Skipped: House committeeSkipped
- Done: Passes the HouseFebruary 21, 202497–0
- Done: To the GovernorApril 23, 2024
- Done: Signed into lawMay 1, 2024
HF 2099 became law → The same legislation passed as HF 2099, so this version was set aside. Go to HF 2099 What’s a funnel?
What’s in it
This bill relates to the regulation of pharmacy benefits managers (PBMs). Under current law, a PBM owes a duty of good faith and fair dealing to third-party payors. The bill expands that duty to pharmacies. The bill prohibits retaliation by a PBM against a pharmacy based on the pharmacy’s exercise of any right or remedy, or on the pharmacy’s cooperation with the commissioner. Prohibited retaliation includes terminating or refusing to renew a contract with a pharmacy, subjecting a pharmacy to increased audits, or withholding or failing to promptly pay the pharmacy any money owed by the PBM.
Read the full explanation
Current law prohibits a PBM from assessing, charging, or collecting any form of remuneration that passes from a pharmacist in a pharmacy network to the PBM. Under the bill, a PBM is prohibited from assessing, charging, or collecting any form of remuneration that passes from any pharmacist, regardless of whether the pharmacist is in a pharmacy network. Under current law, for each maximum allowable cost list that a PBM uses, a PBM shall update the maximum allowable cost list within seven days from the date of an increase of percent or more in the pharmacy acquisition cost of a prescription drug on the list. Under the bill, for each maximum allowable cost list that a PBM uses, a PBM shall update the maximum allowable cost list within seven days from the date of an increase of percent or more in the national average drug acquisition cost of a prescription drug on the list. The bill requires that the annual report provided by a PBM to the commissioner of insurance regarding prescription drug benefits provided to covered persons of each third-party payor with whom the PBM has contracted during the prior calendar year be in a format that does not publicly disclose the identity of a specific third-party payor, the price charged by a specific pharmaceutical manufacturer for prescription drugs, or the amount of rebates provided for prescription drugs.
From the explanation printed with the bill as introduced, written by the Legislative Services Agency. Amendments adopted later aren’t reflected. Full bill text · What changed before it passed
Iowa Code it changes
Creates§510B.4A
Amends§510B.1§510B.4§510B.7§510B.8A§510C.2
Read from the bill as introduced. Each links to every bill touching that chapter of the Iowa Code. How the Code works
Lobbying
6 for · 0 against · 16 undecided · Who →
Family tree
Where this legislation came from and where it went: earlier tries, the versions it moved through this Assembly, and later bills built on it.
90th General Assembly
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