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Protecting Pharmacies in Medicaid: Transparent Drug Payments

This act aims to ensure pharmacies receive fair payments for drugs under Medicaid and to prevent unfair pricing practices. This means drug prices will be more transparent, potentially impacting the stability of drug access and pharmacy services for Medicaid beneficiaries.
Key points
Introduces monthly surveys of pharmacy drug prices to determine national average acquisition costs, ensuring fair payments.
Pharmacies must respond to price surveys; refusal or false information can result in civil penalties up to $100,000.
Prohibits abusive "spread pricing" where intermediaries take excessive margins, ensuring funds reach pharmacies.
Increases oversight of drug payments in Medicaid, including how pharmacy benefit managers handle reimbursements to pharmacies.
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Status:
Introduced
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Additional Information
Protecting Pharmacies in Medicaid Act
Print number: S 927
Sponsor: Sen. Welch, Peter [D-VT]
Process start date: 2025-03-11