The bill amends Minnesota Statutes 2024, section 43A.231, subdivision 5, to clarify the requirements for the commissioner of management and budget regarding the evaluation of pharmacy benefit managers (PBMs). It mandates that the commissioner, with the help of an actuarial consultant, compare actual prescription drug costs from the first two years of a contract initiated on January 1, 2023, with projected costs from the previous contract period (2018-2022). The results of this comparison must be reported to the legislative auditor and relevant legislative committees by March 1, 2025. Additionally, the bill emphasizes the importance of avoiding conflicts of interest for the actuarial consultant and requires the technology platform vendor to provide necessary data to support the report.

Furthermore, the bill introduces a provision that allows the commissioner to forego the reverse auction process for selecting a successor PBM if the comparison indicates that no savings were achieved or if the results are inconclusive. If savings are determined to have been achieved, the commissioner is required to use the reverse auction process for the procurement of the successor contract. The report must also include findings and recommendations for achieving savings in future contracts if savings were not realized.

Statutes affected:
Introduction: 43A.231