Dear Alabama APCI member,
We need your help encouraging your Alabama legislators to support SB 227, a proposed bill that we are calling a “Patient’s Right to Choose.” This bill will allow all Alabamians to choose where they want to have their prescriptions filled while not forcing them to PBM-controlled pharmacies.
Passing SB 227 and its House companion bill (which is yet to be introduced) will require a unified effort from the independent pharmacy community. The PBM lobby is planning to spend a lot of money to defeat this legislation and has hired a number of extra lobbyists to achieve their goal. However, what they do NOT have is YOU, your employees, and – most importantly – your patients. WE CANNOT TAKE THIS EFFORT LIGHTLY.
SB 227 will:
- Prohibit a PBM from paying its pharmacies more than any other pharmacy in the state for the same services
- Prohibit a PBM from paying a pharmacy one amount and then charging health plan a higher amount -- and putting the difference their pocket (spread pricing)
- Allow the Alabama Department of Insurance to enforce rules and regulations regarding PBMs
- Prohibit a PBM from mandating/forcing a patient to use a mail order pharmacy or a brick-and-mortar pharmacy owned by the PBM.
- Require that manufacturer rebates are passed to the patient level to benefit the patient’s cost share of the prescription
- Require PBMs to disclose rebates obtained relative to a health plan
PBMs have been abusing the pharmacy supply chain for years, taking advantage of an unregulated industry and implementing abusive practices that threaten the existence of many community pharmacies. PBMs say they control costs, but the only thing they hold back is the ability of independent pharmacies to fully serve their patients and communities. We have continues to see PBMs steer patients to pharmacies they own, including brick-and-mortar pharmacies, mail order pharmacies, and specialty pharmacies. We also continue to see PBMs reimbursing pharmacies they own more than other pharmacies for the same prescriptions. While prescription costs continue rise, PBM profits continue to rise in lockstep.
THE TIME IS NOW TO CONTACT YOUR STATE SENATOR AND REPRESENTATIVE AND URGE THEM TO REIN IN THE PBMs!
SB 227 was introduced February 15 and referred to the Senate Banking & Insurance Committee. NOW is the time to contact your legislators in the state Senate and House of Representatives to urge them to support SB 227 and the companion legislation that will soon be introduced in the House of Representatives. As the legislation moves forward, we will be asking you to make more contacts with your elected officials to help ensure this vital legislation becomes law. Click the button below to send an email to your state legislators urging them to support this critical legislation!
APCI's Legislative Resource in Montgomery
APCI is extremely fortunate to have one of the most experienced and respected advocates in Montgomery, Ferrell Patrick. Ferrell is a staple in Alabama governmental affairs and has worked passionately to advance the interests of pharmacy in the state of Alabama for more than three decades. During that time he has earned the respect and admiration of lawmakers throughout the state.
Ferrell began his representation of pharmacy with APA and APCI helped financially with Ferrell’s salary the last few years of his time with APA. Once that relationship ended, APCI knew that any efforts regarding pharmacy legislation would suffer without Ferrell. So we immediately approached him about joining our team.
In recognition and appreciation of Ferrell’s representation of pharmacy both at APA and APCI for the last 12-plus years, we put together a tribute to his efforts.
Please view the video below and learn how our advocate in the state capitol is viewed by his peers.
I appreciate your assistance in this vital legislative effort.
Thanks,
Tim Hamrick
APCI CEO