Bitterroot pharmacies optimistic about bill targeting benefit managers

Bitterroot independent pharmacy owners are calling House Bill 740, which regulates relationships between pharmacy benefit managers and pharmacies, a step in the right direction.

House Bill 740 , which was signed on May 5 of this year, aims to regulate pharmacy benefit managers’ relationship with small independent pharmacies. The bill goes into effect on Oct. 1.

HB-740 requires pharmacy benefit managers (PBMs), the middleman between drug manufacturers, insurers and pharmacies, to reimburse all pharmacies a fixed rate for prescriptions. Prior to the bill, transactions between the parties were much less regulated.

The practice of reimbursing pharmacies less than the price of the prescription is referred to as "spread pricing" and was defined in a House Committee on Oversight and Staff Acc