The proposed bill aims to establish fair pricing standards for community pharmacy reimbursements in Minnesota, as outlined in a new section of the Minnesota Statutes, chapter 62J. It mandates that the total reimbursement for any prescription drug dispensed by a community pharmacy must be at least equal to the National Average Drug Acquisition Cost (NADAC) or, if unavailable, the Wholesale Acquisition Cost (WAC). Additionally, a professional dispensing fee will be determined based on an independent cost-of-dispensing survey, ensuring that it reflects inflation, labor costs, and operational expenses. The bill also clarifies that entities participating in the federal 340B program will have their reimbursement determined according to federal and state law, without requiring reimbursement at or above NADAC or WAC.

Furthermore, the bill prohibits below-cost reimbursements and negative adjustments for community pharmacies. It sets forth specific requirements for pharmacy benefit managers (PBMs) and managed care organizations (MCOs), including that they must reimburse community pharmacies at or above the established reimbursement standard without applying any reductions. The bill also ensures parity in reimbursement rates between community pharmacies and PBM-owned or affiliated pharmacies, preventing PBMs from offering higher rates to their own pharmacies. Lastly, it prohibits any fees or adjustments that would lower the net reimbursement for community pharmacies below the required standard.