The 340B Nondiscrimination Act is designed to protect 340B entities, which are organizations involved in the federal 340B drug discount program, from discriminatory practices by health insurance issuers, pharmacy benefits managers (PBMs), and other third-party payors. The bill prohibits these entities from reimbursing 340B entities at lower rates than non-340B entities, imposing additional fees or administrative burdens, and discriminating against patients' choices to receive drugs from 340B entities. It also ensures that manufacturers cannot interfere with the acquisition or delivery of 340B drugs and requires 340B entities to contract with any willing pharmacy within a specified radius.

The legislation grants enforcement authority to the Insurance Department and the Attorney General, allowing them to impose civil fines for violations and ensuring confidentiality during investigations. It introduces new provisions regulating PBMs, including prohibitions against discrimination based on a provider's participation in 340B pricing, mandates on patient copayments, and requirements for transparency regarding rebates and pricing. The Attorney General is empowered to impose penalties on PBMs for violations and collect fines, with funds directed to an enforcement fund. The act is set to take effect on November 1, 2025.

Statutes affected:
Introduced: 36-6960, 36-6962
Floor (House): 36-6960, 36-6962
Floor (Senate): 36-6960, 36-6962
Engrossed: 36-6960, 36-6962
Enrolled (final version): 36-6960, 36-6962