SD passed HB 1147 Address Discriminatory Acts Against Entities Participating in a 340B Drug Pricing Program; amended SD INS 58-29D-31; SD INS 58-29E-10.
Provisions
Outlines grounds for non-renewal, revocation, suspension, or denial of license.
Provides definition of relevant terms including, covered individual, generic drug, health benefit plan, interchangeable biological project, maximum allowable cost, others.
Allows for private lawsuit by third party payor, 340B entity, to enforce these provisions.
Prohibits certain discriminatory acts against 340B entity, reimbursing a lower rate, assessing a fee based on participation in 340(b) drug discount program.
Restricting or limiting access, restricting methods of obtaining access, restricting how entities may dispense drugs, refusing to provide reimbursement to 340B entities.
Misleading Acts or Practices of PBMs
Following acts or practices by a pharmacy benefits manager are declared to be misleading, deceptive or unfair practices or acts against 304B program entity.
Prohibiting provision of cost-sharing data for particular drug, penalizing pharmacist or pharmacy for giving such data; committing discriminatory act as above.
Legislative History
On Jan. 25, 2024, bill introduced in House; on Feb. 12, 2024, bill passed House.
On Feb. 13, 2024, bill introduced in Senate; on Feb. 22, 2024, bill passed Senate.
On Feb. 27, 2024, delivered to governor; on Mar. 5, 2024, bill signed by governor.
Effectiveness
Upon approval by governor, HB 1147 will be effective Jan. 1, 2025.
Regulators
SD LEG
Entity Types
CNSM; Corp; Ins
Reference
PR, Bill HB1147, 3/5/2024; Citation: *SD INS* 58-29D-31, 58-29E-10;
