This bill aims to prohibit pharmacy benefits managers from directly or indirectly operating pharmacy practice sites in New Jersey, with the prohibition taking effect on July 1, 2027. The legislation seeks to enhance patient access to prescription drugs and pharmacy services while addressing anticompetitive practices that have negatively impacted locally-operated pharmacies. The New Jersey State Board of Pharmacy will be responsible for enforcing this prohibition by denying, revoking, or refusing to renew permits for pharmacy practice sites that violate the new law. However, the board may issue special permits for certain rare, orphan, or limited distribution drugs that are otherwise unavailable, valid until September 1, 2028.

Additionally, the bill mandates the New Jersey State Board of Pharmacy to conduct an initial assessment of active permits and notify pharmacy practice sites that may be in violation of the new law at least 90 days before the effective date. Pharmacy practice sites receiving such notices must inform patients and prescribing healthcare providers at least 60 days prior to the prohibition date, detailing that they will no longer be able to dispense prescriptions. The written notices must include contact information for the board and a list of compliant pharmacies, ensuring transparency and continuity of care for patients.