Massachusetts Senate Bill S779

Massachusetts 2025-2026 Regular Session

• Introduced: 2/27/25
• Refer: 2/27/25

Caption

To protect 340B providers

Impact

Should the bill be enacted, it would significantly amend several sections of the Massachusetts General Laws to ensure that 340B entities are not reimbursed at a lower rate than non-340B entities for the same drugs. Additionally, it prohibits the imposition of any terms or conditions that could disadvantage these entities in the reimbursement process. This provision aims to bolster the financial sustainability of 340B providers and ensure their continued ability to serve vulnerable populations effectively.

Summary

Senate Bill 779, titled 'An Act to protect 340B providers,' aims to safeguard the interests of entities participating in the 340B drug discount program. This program enables covered entities, including certain healthcare providers, to purchase drugs at reduced prices to improve access to medications for low-income patients. The bill stipulates that various healthcare payers, including health insurance issuers and pharmacy benefit managers, must adhere to specific reimbursement practices that prevent discrimination against 340B entities.

Contention

However, the bill faces potential contention from various stakeholders, particularly from health insurance companies and pharmacy benefit managers, who may argue that the requirements imposed by Senate Bill 779 could lead to increased costs for them. Critics may raise concerns about the balance between ensuring access to drugs for low-income patients and the financial implications for the broader healthcare system. Debate on the bill is likely to focus on the economic impacts of mandating differential treatment of 340B entities in reimbursement practices.