Assembly Bill A7789

2023-2024 Legislative Session

Relates to establishing the "340B prescription drug anti-discrimination act"

download bill text pdf

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Current Bill Status - In Assembly Committee


  • Introduced
    • In Committee Assembly
    • In Committee Senate
    • On Floor Calendar Assembly
    • On Floor Calendar Senate
    • Passed Assembly
    • Passed Senate
  • Delivered to Governor
  • Signed By Governor

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2023-A7789 (ACTIVE) - Details

Current Committee:
Assembly Health
Law Section:
Public Health Law
Laws Affected:
Add §280-d, Pub Health L

2023-A7789 (ACTIVE) - Summary

Relates to establishing the "340B prescription drug anti-discrimination act"; prohibits pharmaceutical manufacturers and pharmacy benefit managers from discriminating against covered entities and New York state pharmacies based on participation in the drug discount program authorized by section 340B of the federal public health service act.

2023-A7789 (ACTIVE) - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   7789
 
                        2023-2024 Regular Sessions
 
                           I N  A S S E M B L Y
 
                               June 15, 2023
                                ___________
 
 Introduced by M. of A. PAULIN -- read once and referred to the Committee
   on Health
 
 AN  ACT  to amend the public health law, in relation to establishing the
   340B prescription drug anti-discrimination act
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:

   Section  1.  Short  title. This act shall be known and may be cited as
 the "340B prescription drug anti-discrimination act".
   § 2. Declaration of purpose. Section 340B of the federal public health
 service act requires pharmaceutical manufacturers,  as  a  condition  of
 participation  in  Medicare and Medicaid, to provide discounts on outpa-
 tient drugs to certain providers that serve a high  number  of  Medicaid
 patients.  These  cost  savings  enable  safety-net providers to stretch
 scarce resources as far as  possible  in  providing  more  comprehensive
 services to their communities.
   In  recent  years,  some pharmaceutical companies and pharmacy benefit
 managers have imposed certain requirements and limitations on  New  York
 340B  covered entities, thus depriving such entities of much-needed cost
 savings. These practices discriminate against 340B covered entities  and
 their pharmacy partners, and by extension the patients they serve. These
 discriminatory practices have the effect of limiting those covered enti-
 ties' ability to care for their communities fully and comprehensively.
   There  is  a need for the state to prevent erosion of our 340B covered
 entities' 340B cost savings, with its  concomitant  impacts  on  patient
 access  to  health  care  services. This act is intended to achieve that
 goal by prohibiting pharmaceutical companies, among other entities, from
 engaging in practices that discriminate against  340B  covered  entities
 and their pharmacy partners.
   § 3. The public health law is amended by adding a new section 280-d to
 read as follows:
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD11664-01-3
 A. 7789                             2
              

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