Pharmacies; prohibit drug manufacturer and wholesalers from preventing a licensed pharmacy from acquiring drugs from entities that participate in a particular federal drug discount program
Summary
House Bill 139 would amend Georgia pharmacy law to protect access to drugs purchased through the federal 340B drug discount program. The bill prohibits drug manufacturers and wholesale distributors from directly or indirectly blocking a licensed Georgia pharmacy from acquiring or dispensing drugs obtained through a contract pharmacy arrangement with a covered entity, such as a hospital, clinic, or other authorized 340B participant. It also bars manufacturers and wholesalers from preventing pharmacies from contracting with or participating in these arrangements by cutting off access to their drugs.
The bill further restricts manufacturers, wholesalers, and their affiliates from requiring covered entities to provide claims or utilization data as a condition of allowing drug acquisition or delivery, unless such data sharing is required by the U.S. Department of Health and Human Services. Any violation of the new section would be treated as an unfair or deceptive act or practice under Georgia’s Fair Business Practices Act, making it enforceable through existing state consumer-protection and related legal remedies.
Impact
HB139 would add a new Code section to Georgia’s pharmacy laws in Title 26, Chapter 4, Article 6, creating state-level protections for pharmacies and covered entities participating in the federal 340B drug discount program. It would limit the ability of drug manufacturers and wholesale distributors to interfere with contract pharmacy arrangements and would expose violators to penalties under Georgia’s Fair Business Practices Act and other applicable state law. The bill would therefore affect manufacturers, wholesalers, licensed pharmacies, and 340B-covered healthcare providers by preserving access to discounted drugs and limiting supply-chain restrictions tied to the federal program.
Sentiment
Based on the bill text and the absence of recorded committee debate or votes in the provided materials, the bill appears to be framed as a pro-access, pro-pharmacy measure intended to support participation in the 340B program. The overall sentiment suggested by the legislation is favorable toward hospitals, clinics, and pharmacies that rely on discounted drug access, and skeptical of manufacturer or wholesaler practices that restrict that access. No contrary viewpoints are documented in the supplied context.
Contention
The main point of contention inherent in the bill is the balance between 340B-covered entities and drug manufacturers/wholesalers. Supporters would likely view the bill as preventing supply restrictions and protecting patient access to discounted medications, while manufacturers and distributors may object to limits on their ability to control distribution channels or require data related to drug utilization. The bill also touches on the controversial issue of contract pharmacy arrangements and whether states should regulate conduct already tied to a federal drug pricing program.
Health: pharmaceuticals; drug manufacturers from engaging in certain conduct with pharmacies participating with a 340B program; prohibit. Amends 1978 PA 368 (MCL 333.1101 - 333.25211) by adding sec. 17757c. TIE BAR WITH: SB 95'25
Prohibits any health insurer, pharmacy benefit manager, manufacturer or other third-party payor from discriminating against any 340B entity participating in a drug discount program.
Prohibits any health insurer, pharmacy benefit manager, manufacturer or other third-party payor from discriminating against any 340B entity participating in a drug discount program.