On Thursday, May 16, Senator Paul Anderson (R-Plymouth) joined his Minnesota State Senate colleagues in unanimously passing bipartisan legislation that aims to lower the costs of pharmaceuticals in Minnesota. Known as the Minnesota Pharmacy Benefit Manager Licensure and Regulation Act, the bill looks to provide transparency and accountability for Pharmacy Benefit Managers (PBMs), which are middlemen many consumers do not even realize exist between them, their doctor, and their pharmacy.
“Today’s Pharmacy Benefit Manager bill is a great reform for consumers,” said Senator Anderson. “This bill aims to truly bend the cost curve of health care downward through significant pharmaceutical reforms that increase transparency, affordability, and access for Minnesotans who require prescription medications.”
The legislation also overwhelmingly passed the Minnesota House of Representatives. It now heads to Governor Tim Walz for his signature. Reforms within the bill include:
- Eliminating gag clauses so that pharmacists can inform patients that the cost of their medications would be less expensive if they paid out-of-pocket
- Allows patients to synchronize their medication fill-dates once a year without cost
- Ends the practice of PBMs clawing back dollars from local pharmacies and utilizing rebates for their own self-interest
- Requires licensure of PBMs
- PBMs must disclose conflicts of interest
- Requires expansion of pharmacy networks so patients have access to local pharmacies no matter where they live in the state.
“This legislation is a testament to how working together can result in significant reforms that benefit all Minnesotans,” added Senator Anderson. “I look forward to continuing to work with my colleagues on both sides of the aisle as the 2019 legislative session comes to a close.”