Arkansas House Bill HB1300

Arkansas 2023 Regular Session

• Introduced: 1/26/23
• Refer: 1/26/23
• Failed: 5/1/23

Caption

To Amend The Prohibition On Nonprofit, Tax Exempt, Or Governmentally-funded Hospitals From Holding A Licensed Pharmacy Permit For The Sale At Retail Of Drugs.

Impact

If enacted, HB1300 would alter the Arkansas Code, specifically § 17-92-607, by broadening the eligibility criteria for hospitals seeking retail pharmacy permits. The new law would allow hospitals with an average daily inpatient census of at least 25 patients to more easily obtain a retail pharmacy permit, which could improve medication accessibility for their patients. This change could impact how hospitals interact with different pharmacy services and influence the dynamics within the local healthcare market, particularly in rural or underserved areas.

Summary

House Bill 1300 aims to amend the existing laws that prohibit nonprofit, tax-exempt, or governmentally-funded hospitals from obtaining a licensed pharmacy permit for the retail sale of drugs. The bill seeks to provide greater access to pharmacy services by allowing these types of hospitals to hold one retail pharmacy permit at each hospital location, provided certain conditions are met. Specifically, it enables hospitals that offer inpatient services and meet minimum patient thresholds to have their own retail pharmacy, potentially enhancing the availability of prescription medications to patients in emergencies or other situations.

Contention

The bill has drawn attention and may create contention regarding potential conflicts of interest and competitive disadvantages for existing pharmacies. Critics are concerned that enabling hospitals to operate retail pharmacies could lead to anticompetitive practices and affect the market dynamics for independent pharmacies. In response to these concerns, the bill includes measures to mitigate conflicts by prohibiting certain types of pharmacy contracting that could undermine patient choice and fair competition.

Notable_points

Another aspect of the bill is the stipulated restriction on pharmacy contracting, designed to prevent practices that incentivize patients to use specific pharmacies at the expense of others. The Arkansas State Board of Pharmacy is tasked with overseeing compliance and has the authority to investigate complaints related to violations of these provisions. Thus, while HB1300 proposes to expand services and access, it also seeks to uphold ethical practices within pharmacy operations.