California: Gov. Gavin Newsom (D) signed the state budget, including a provision that forgives $142 million in Medi-Cal clawbacks from independent pharmacies in the state. The clawbacks were the result of California’s retroactive adoption of NADAC in its Medicaid program and would have had devastating impacts for pharmacies across the state. Congratulations to the California Pharmacists Association and all community pharmacy advocates for this important victory that will allow California pharmacies to continue serving their patients.
Florida: Gov. Ron DeSantis (R) announced plans to sign an executive order that would hold PBMs accountable and provide drug cost transparency. Under the order, state agencies would be directed to re-evaluate their contracts with PBMs to ensure “that costs to the state of Florida are justified.” The Agency for Health Care Administration, which oversees the state’s Medicaid program, and the Department of Management Services would audit the PBMs they work with to determine whether cost-saving measures are in place. The announcement comes just weeks after AHCA issued a “request for information” on ways to improve the Medicaid managed care program, including ways to protect patient access to community-pharmacist services. Community pharmacy advocates, including NCPA, weighed in by pointing out that PBMs’ inherent conflicts of interest limit patient access to pharmacy services while driving up costs for taxpayers.
North Dakota: The July 11 deadline passed for PCMA to file an appeal to the Supreme Court in the PCMA v. Wehbi case. NCPA and eight other pharmacy associations filed a friend of the court brief in the case supporting North Dakota. PCMA's lawsuit claimed that two federal laws, ERISA and Medicare Part D, prevented North Dakota from regulating PBMs. This case was the first at the federal appellate level to consider the scope of the U.S. Supreme Court's unanimous decision in Rutledge v. PCMA. With PCMA’s failure to file the appeal, North Dakota can regulate PBMs as it sees fit, as PCMA has exhausted its legal options. The ruling in Wehbi is now the law of the land for states in the 8th Circuit (Arkansas, Iowa, Minnesota, Missouri, Nebraska, North Dakota, and South Dakota). You can find more information on what the decision means for state regulation of PBMs here.
Pennsylvania: House Bill 2676 passed both chambers in the Pennsylvania State Legislature and has been signed by Gov. Tom Wolf (D). The bill authorizes pharmacists to independently administer COVID-19 and influenza vaccinations to individuals 5 years of age and older. This legislation permits pharmacy technicians to administer these vaccines under the supervision of pharmacists, physicians, or registered nurses.
