The "340B Nondiscrimination Act" is designed to protect entities 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 legislation prohibits these entities from being reimbursed at lower rates than non-340B entities for 340B drugs and ensures they do not face additional burdens or restrictions. It also prevents manufacturers and distributors from interfering with the acquisition or delivery of 340B drugs to pharmacies associated with 340B entities. Key definitions related to 340B drug pricing are added to existing law, reinforcing the act's commitment to fair treatment and reimbursement for these entities.

Additionally, the bill introduces regulations for PBMs, including network adequacy requirements based on 340B participation and prohibitions against excluding 340B entities from networks. It mandates transparency in PBM contracts, ensuring pharmacies can inform patients about cost differences and requiring PBMs to disclose rebate and pricing data. The Attorney General is granted enhanced enforcement authority, including the ability to impose civil penalties on PBMs for violations and to conduct public hearings. The act is set to take effect on November 1, 2025, and includes a severability clause to maintain the effectiveness of the remaining provisions if any part is found unconstitutional.

Statutes affected:
Introduced: 36-6960, 36-6962