THE SENATE S.C.R. NO. 69 THIRTY-THIRD LEGISLATURE, 2025 S.D. 1 STATE OF HAWAII H.D. 1 SENATE CONCURRENT RESOLUTION REQUESTING THE ADMINISTRATOR OF THE STATE HEALTH PLANNING AND DEVELOPMENT AGENCY TO CONVENE A PHARMACY BENEFIT MANAGER WORKING GROUP TO DETERMINE THE BEST POLICIES TO LOWER DRUG COSTS FOR PATIENT CONSUMERS AND INCREASE ACCESS TO HEALTH CARE.
THE SENATE S.C.R. NO. 69
THIRTY-THIRD LEGISLATURE, 2025 S.D. 1
STATE OF HAWAII H.D. 1
THE SENATE
S.C.R. NO.
69
THIRTY-THIRD LEGISLATURE, 2025
S.D. 1
STATE OF HAWAII
H.D. 1
SENATE CONCURRENT
RESOLUTION
REQUESTING THE ADMINISTRATOR OF THE STATE HEALTH PLANNING AND DEVELOPMENT AGENCY TO CONVENE A PHARMACY BENEFIT MANAGER WORKING GROUP TO DETERMINE THE BEST POLICIES TO LOWER DRUG COSTS FOR PATIENT CONSUMERS AND INCREASE ACCESS TO HEALTH CARE.
WHEREAS, community pharmacies remain the most accessible health care locations, servicing remote and underserved communities with hours that often extend beyond those of other health care offices; and WHEREAS, medication price transparency and the reduction of medication costs are priorities of this body; and WHEREAS, over the past decade, the use of pharmacy benefit managers, who serve as the intermediary between pharmacies and insurance companies, has increased; and WHEREAS, other states have enacted a wide range of policies related to pharmacy benefit managers; and WHEREAS, Senate Bill No. 1509, introduced in the Regular Session of 2025, proposes to require pharmacy benefit managers and health insurers to pass on rebate savings to patient consumers to essentially create a reimbursement rate floor for, and prohibit spread pricing of, prescription drugs; now, therefore, BE IT RESOLVED by the Senate of the Thirty-third Legislature of the State of Hawaii, Regular Session of 2025, the House of Representatives concurring, that the Administrator of the State Health Planning and Development Agency is requested to convene a Pharmacy Benefit Manager Working Group to determine the best policies to lower drug costs for patient consumers and increase access to health care; and BE IT FURTHER RESOLVED that the Administrator of the State Health Planning and Development Agency, or the Administrator's designee, is requested to serve as chairperson of the Pharmacy Benefit Manager Working Group and to invite the following members to participate in the Working Group: (1) A representative from the Insurance Division of the Department of Commerce and Consumer Affairs; (2) A representative from the Department of the Attorney General; (3) A representative from the Med-QUEST Division of the Department of Human Services; (4) A representative from the Board of Pharmacy; (5) A representative from the Hawaii Pharmacists Association; (6) A representative from the National Community Pharmacists Association; (7) A representative from the Hawaii Association of Health Plans; (8) Two representatives from independent community pharmacies; (9) Two representatives from unaffiliated pharmacies; (10) Two representatives from the pharmacy benefit manager industry; and (11) One representative from the pharmacy benefit manager trade association; and BE IT FURTHER RESOLVED that the Pharmacy Benefit Manager Working Group is requested to evaluate the following priority areas: (1) The appropriate state agency to oversee PBM practices; (2) PBM reporting requirements and intervals; (3) Fair pharmacy audit procedures; and (4) Protections from medication under-reimbursements; and BE IT FURTHER RESOLVED that in conducting its evaluation, the Pharmacy Benefit Manager Working Group is requested not to seek or request information that is proprietary, would be considered a trade secret, is protected by the Health Insurance Portability and Accountability Act of 1996, or would violate the Freedom of Information Act or any other federal or state law; and BE IT FURTHER RESOLVED that the Pharmacy Benefit Manager Working Group is requested to submit a report of its findings and recommendations, including any proposed legislation, to the Legislature no later than twenty days prior to the convening of the Regular Session of 2026; and BE IT FURTHER RESOLVED that certified copies of this Concurrent Resolution be transmitted to the Director of Commerce and Consumer Affairs, Attorney General, Director of Human Services, Administrator of the State Health Planning and Development Agency, Insurance Commissioner, Administrator of the Med-QUEST Division of the Department of Human Services, and Chair of the Board of Pharmacy. Report Title: SHPDA; Pharmacy Benefit Manager; Working Group; Reform
WHEREAS, community pharmacies remain the most accessible health care locations, servicing remote and underserved communities with hours that often extend beyond those of other health care offices; and
WHEREAS, medication price transparency and the reduction of medication costs are priorities of this body; and
WHEREAS, over the past decade, the use of pharmacy benefit managers, who serve as the intermediary between pharmacies and insurance companies, has increased; and
WHEREAS, other states have enacted a wide range of policies related to pharmacy benefit managers; and
WHEREAS, Senate Bill No. 1509, introduced in the Regular Session of 2025, proposes to require pharmacy benefit managers and health insurers to pass on rebate savings to patient consumers to essentially create a reimbursement rate floor for, and prohibit spread pricing of, prescription drugs; now, therefore,
BE IT RESOLVED by the Senate of the Thirty-third Legislature of the State of Hawaii, Regular Session of 2025, the House of Representatives concurring, that the Administrator of the State Health Planning and Development Agency is requested to convene a Pharmacy Benefit Manager Working Group to determine the best policies to lower drug costs for patient consumers and increase access to health care; and
BE IT FURTHER RESOLVED that the Administrator of the State Health Planning and Development Agency, or the Administrator's designee, is requested to serve as chairperson of the Pharmacy Benefit Manager Working Group and to invite the following members to participate in the Working Group:
(1) A representative from the Insurance Division of the Department of Commerce and Consumer Affairs;
(2) A representative from the Department of the Attorney General;
(3) A representative from the Med-QUEST Division of the Department of Human Services;
(4) A representative from the Board of Pharmacy;
(5) A representative from the Hawaii Pharmacists Association;
(6) A representative from the National Community Pharmacists Association;
(7) A representative from the Hawaii Association of Health Plans;
(8) Two representatives from independent community pharmacies;
(9) Two representatives from unaffiliated pharmacies;
(10) Two representatives from the pharmacy benefit manager industry; and
(11) One representative from the pharmacy benefit manager trade association; and
BE IT FURTHER RESOLVED that the Pharmacy Benefit Manager Working Group is requested to evaluate the following priority areas:
(1) The appropriate state agency to oversee PBM practices;
(2) PBM reporting requirements and intervals;
(3) Fair pharmacy audit procedures; and
(4) Protections from medication under-reimbursements; and
BE IT FURTHER RESOLVED that in conducting its evaluation, the Pharmacy Benefit Manager Working Group is requested not to seek or request information that is proprietary, would be considered a trade secret, is protected by the Health Insurance Portability and Accountability Act of 1996, or would violate the Freedom of Information Act or any other federal or state law; and
BE IT FURTHER RESOLVED that the Pharmacy Benefit Manager Working Group is requested to submit a report of its findings and recommendations, including any proposed legislation, to the Legislature no later than twenty days prior to the convening of the Regular Session of 2026; and
BE IT FURTHER RESOLVED that certified copies of this Concurrent Resolution be transmitted to the Director of Commerce and Consumer Affairs, Attorney General, Director of Human Services, Administrator of the State Health Planning and Development Agency, Insurance Commissioner, Administrator of the Med-QUEST Division of the Department of Human Services, and Chair of the Board of Pharmacy.
Report Title:
SHPDA; Pharmacy Benefit Manager; Working Group; Reform