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STATE OF OKLAHOMA
1st Session of the 60th Legislature (2025)
SENATE BILL 1063 By: Rosino
AS INTRODUCED
An Act relating to prescriptions; creating the
Oklahoma Health Care Safety Net and Affordable
Prescriptions Accessibility Act; providing short
title; defining terms; prohibiting certain
discriminatory actions related to reimbursement of
certain entities; prohibiting certain discriminatory
actions by a manufacturer or distributor related to
certain entities; providing for enforcement by the
Attorney General and Insurance Commissioner;
providing for violations; providi ng for federal
preemption; providing for noncodification; providing
for codification; and providing an effective date .
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OK LAHOMA:
SECTION 1. NEW LAW A new section of law not to be
codified in the Oklahoma Statutes reads as follows:
This act shall be known and may be cited as the “Oklahoma Health
Care Safety Net and Affordable Prescriptions Accessibilit y Act”.
SECTION 2. NEW LAW A new section of law to be c odified
in the Oklahoma Statutes as Section 5400 of Title 36, unless there
is created a duplication in numbering, reads as follows:
As used in this act:
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1. “340B drug” means a drug that has been subject to any offer
for reduced prices by a manufacturer pursuant to 42 U.S.C., Section
256b, and is purchased by a covered entity as defined in 42 U.S.C.,
Section 256b(a)(4);
2. “340B entity” means an entity participating or authorize d to
participate in the federal 340B drug discount program, as described
in 42 U.S.C., Section 256b, including its pharmacy, or any pharmacy
contracted with the participating entity to dispense drugs purchased
through the 340B drug discount program;
3. “Pharmacy” means a pharmacy licensed by the State Board of
Pharmacy, except that patients who are provided pharmacy care shall
be physically located in the state; and
4. “Pharmacy benefits manager” means a person that performs
pharmacy benefits management a nd any other person acting for such
person under a contractual or employment re lationship in the
performance of pharmacy benefits management for a managed care
company, nonprofit hospital, medical service organization, insurance
company, third-party payor, or a health program administered by a
department of this state.
SECTION 3. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 5401 of Title 36, unless there
is created a duplication in numbering, reads as follows:
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A. 1. With respect to reimbursement to a 340B entity for 340B
drugs, a health insurance issuer, pharmacy benefit s manager, other
third-party payor, or its agent shall not:
a. reimburse a 340B entity for 340B drugs at a rate lower
than that paid for the same drug to entities that are
not 340B entities or lower reimbursement for a claim
on the basis that the claim is for a 340B drug,
b. impose any terms or conditions on any 340B entity with
respect to any of the following that differ from such
terms or conditions applied to non -340B entities on
the basis that the entity pa rticipates in the federal
340B drug discount program set forth in 42 U.S.C.,
Section 256b, or that a drug is a 340B drug . Such
terms and conditions shall include, but not be limited
to, any of the following:
(1) fees, charges, clawbacks, or other adjustments or
assessments. For purposes of this subsection,
the term “other adjustments” includes placing any
additional requirements, restrictions, or
unnecessary burdens upon the 34 0B entity that
result in administrative costs or fees to the
340B entity that are not placed upon other
entities that do not participate in the 340B drug
discount program, including affiliate pharmacies
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of the health insurance issuer, pharmacy benefit s
manager, or other third -party payor,
(2) dispensing fees that are less than the dispensing
fees for non-340B entities,
(3) restrictions or requirements regarding
participation in standard or preferred pharmacy
networks,
(4) requirements relating to the freque ncy or scope
of audits of inventory management systems,
(5) requirements that a claim for a drug include any
identification, billing modifier, attestation, or
other indication that a drug is a 340B drug in
order to be processed or resubmitted unless it is
required by the Centers for Medicare and Medicaid
Services or the Oklahoma Health Care Authority
for the administration of the Oklahoma Medicaid
program, or
(6) any other restrictions, conditions, practices, or
policies that are not imposed on non -340B
entities,
c. require a 340B entity to reverse, resubmit, or clarify
a claim after the initial adjudication unless these
actions are in the normal course of pharmacy business
and not related to 340B drug pricing,
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d. discriminate against a 340B entity in a mann er that
prevents or interferes with any patient ’s choice to
receive such drugs from the 340B entity, including the
administration of such drugs. For purposes of this
subsection, it is considered a discriminatory practice
that prevents or interferes with a patient’s choice to
receive drugs at a 340B entity if a health insurance
issuer, pharmacy benefits manager, or other third -
party payor places any additional requirements,
restrictions, or unnecessary burdens upon the 340B
entity that results in administra tive costs or fees to
the 340B entity, including , but not limited to,
requiring a claim for a drug to include any
identification, billing modifier, attestation, or
other indication that a drug is a 340B drug in order
to be processed or resubmitted unless i t is required
by the Centers for Medicare and Medicaid Services or
the Oklahoma Health Care Authority in administration
of the Oklahoma Medicaid program,
e. include any other provision in a contract between a
health insurance issuer, pharmacy benefit s manager, or
other third-party payor and a 340B entity that
discriminates against the 340B entity or prevents or
interferes with an individual ’s choice to receive a
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prescription drug from a 340B entity, including the
administration of the drug, in person or via direct
delivery, mail, or other form of shipment, or creation
of a restriction or additional charge on a patient who
chooses to receive drugs from a 340B entity,
f. require or compel the submission of ingredient costs
or pricing data pertaining to 340B dr ugs to any health
insurance issuer, pharmacy benefit s manager, or other
third-party payor, or
g. exclude any 340B entity from the health insurance
issuer, pharmacy benefit s manager, or other third -
party payor network on the basis that the 340B entity
dispenses drugs subject to an agreement under 42
U.S.C., Section 256b, or refuse to contract with a
340B entity for reasons other than those that apply
equally to non-340B entities.
B. Nothing in this section applies to the Oklahoma Medicaid
program as payor when Medicaid provides reimbursement for covered
outpatient drugs as defined in 42 U.S.C., Section 1396r-8(k).
SECTION 4. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 5402 of Title 36, unless there
is created a duplication in numbering, reads as follows:
A. A manufacturer or distributor shall not deny, restrict,
prohibit, or otherwise interfere with, either directly or
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indirectly, the acquisition of a 340B drug by, or delivery of a 340B
drug to, a pharmacy that is under contract with a 340B entity and is
authorized under such contract to receive and dispense 340B drugs on
behalf of the covered entity unless such receipt is prohibited by
the United States Department of Health and Human Services.
B. A manufacturer or distributor shall not interfere with a
pharmacy contracted wit h a 340B entity.
SECTION 5. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 5403 of Title 36, unless there
is created a duplication in numbering, reads as follows:
A. The Attorney General may make rules and regulations
interpreting the provisions of this act, and shall make
recommendations to the Insurance Commissioner for enforcement with
the jurisdiction of the Insurance Commissioner.
B. The Insurance Commissioner may censure, suspend, revoke, or
refuse to issue or renew a license of or levy a civil penalty
against any person licensed under the insurance laws of this state
for any violation of this act.
C. In addition to or in lieu of any applicable censure,
suspension, or revocation of a license, a manufacturer, distributor,
health insurance issuer, pharmacy benefit s manager, other third -
party payor, or its agent may be subject to a civil fine not less
than One Hundred Dollars ($100.00) and not greater than Ten Thousand
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Dollars ($10,000.00) for eac h violation of the provisions of this
act. A violation occurs each time a prohibited act is committed.
SECTION 6. NEW LAW A new section of law to be cod ified
in the Oklahoma Statutes as Section 5404 of Title 36, unless there
is created a duplication in numbering, reads as follows:
A. Nothing in this section is to be construed or applied to be
less restrictive than federal law for a person or entity regul ated
by this act.
B. Nothing in this act is to be construed or applied to be i n
conflict with any of the following:
1. Applicable federal law and related regulations; or
2. Other laws of this state if the state law is compatible with
applicable federal law.
C. Limited distribution of a drug required under 21 U.S.C.,
Section 355-1, is not to be construed as a violation of this
section.
SECTION 7. This act shall become effective November 1, 2025.
60-1-759 CAD 1/16/2025 3:01:37 PM