Iowa Bill Adding Transparency, Accountability to PBM Practices
Brett Barker, PharmD, State Representative in Iowa’s 51st District, discussed Senate File 383 and how it’s intended to impact Iowa pharmacies.
On June 11, Iowa Governor Kim Reynolds signed into law Senate File 383, a bill significantly pulling back on pharmacy benefit manager (PBM) practices, limiting their ability to exclude community pharmacies, impose strict contracts, and force the use of mail-order pharmacies, among other practices.
“We're seeing the same things every state across the country is seeing,” Brett Barker, PharmD, State Representative in Iowa’s 51st District, told Drug Topics. “In the last decade, 200 pharmacies closed in Iowa; 30-some closed last year. We know it's an epidemic of pharmacy closures, and a large driver of that are pharmacy benefit manager practices.”
Barker was a contributor to SF 383 and recently caught up with Drug Topics to discuss the bill in further detail. From a basis of what the bill means for Iowa pharmacies and patients to its impact on the national pharmacy industry, Barker provided insights on the many results that could stem from this legislation.
“As everybody knows, in the pharmacy space, it's not transparent. There's manipulation of pricing, there's an inordinate power exerted by the PBMs on employers, on payers, on pharmacies, on patients. We really wanted to take a look at that and provide some comprehensive reform.”
Since the bill’s signing, however, a federal judge halted the legislation by placing a restraining order set to last until July 14. Due to a complaint lifted by a group of organizations, opposers argue the bill imposes on free speech. With SF 383 set to go into effect on July 1, the restraining order is serving as a temporary hold on the legislation as stakeholders prepare for it to take full effect.
READ MORE: Iowa Governor Signs Bill Limiting PBM Practices
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