In an effort to address the issue of rising prescription medication prices and combat the questionable business practices of drug supply chain middlemen, bipartisan lawmakers introduced a new bill known as the “Pharmacists Fight Back Act.” This legislation aims to reform the practices of pharmacy benefit managers (PBMs) and ensure that community pharmacies are fairly reimbursed for providing care to patients enrolled in federal health-care programs. The bill, spearheaded by Reps. Jake Auchincloss and Diana Harshbarger, seeks to lower healthcare costs for seniors covered by Medicare and Medicaid, as well as other patients, by increasing transparency and accountability within the drug supply chain.
One of the key provisions of the new bill is to address the challenges faced by pharmacies in the current reimbursement model. Auchincloss highlighted the fact that PBMs have been able to retain $300 billion in revenue by engaging in opaque business practices that do not benefit pharmacies or patients. The bill seeks to reform these practices by introducing a new pharmacy reimbursement model based on the national average drug acquisition cost (NADAC). This approach aims to ensure that pharmacies are reimbursed based on the actual cost of goods, particularly for generic prescription drugs.
The “Pharmacists Fight Back Act” also places a strong emphasis on increasing transparency and accountability within the drug supply chain. The bill requires PBMs to share 80% of rebates with patients, thereby ensuring that savings are passed on to those who need it the most. Additionally, the legislation prohibits several harmful practices such as steering patients to PBM-affiliated pharmacies and excluding in-network pharmacies from filling prescriptions. By implementing these reforms, the bill aims to put an end to the gouging of independent pharmacies and make life-saving drugs more affordable for patients.
While the new bill builds upon earlier bipartisan efforts to reform PBMs, such as increasing transparency and banning spread pricing, it represents a more comprehensive and targeted approach to addressing the issue. Auchincloss noted that the legislation is focused on empowering pharmacies to thrive as small business owners and provide high-quality care to their patients. By systematically tackling the impediments faced by pharmacies, the bill aims to combat corporate greed and ensure that pharmacists have the resources they need to fulfill their mission.
The introduction of the “Pharmacists Fight Back Act” represents a significant step towards reforming the business practices of drug supply chain middlemen and ensuring fair treatment for pharmacies and patients. By increasing transparency, accountability, and fairness within the drug supply chain, the legislation aims to lower healthcare costs and empower pharmacies to continue serving their communities. As bipartisan support for PBM reform grows, it is crucial for lawmakers to continue advocating for policies that prioritize the well-being of patients and pharmacies over corporate interests.