Pharmacy benefits managers; licensure and regulation. (HB1290)

Introduced By

Del. Keith Hodges (R-Urbanna) with support from co-patrons Del. Les Adams (R-Chatham), Del. Chris Head (R-Roanoke), Del. Ibraheem Samirah (D-Herndon), and Del. Shelly Simonds (D-Newport News)


Passed Committee
Passed House
Passed Senate
Signed by Governor
Became Law


Pharmacy benefits managers; licensure and regulation. Provides that no person is authorized to provide pharmacy benefits management services or otherwise act as a pharmacy benefits manager without first obtaining a license from the State Corporation Commission. The measure prohibits a carrier on its own or through its contracted pharmacy benefits manager or representative of a pharmacy benefits manager from (i) causing or knowingly permitting the use of any advertisement, promotion, solicitation, representation, proposal, or offer that is untrue; (ii) charging a pharmacist or pharmacy a fee related to the adjudication of a claim other than a reasonable fee for an initial claim submission; (iii) reimbursing a pharmacy or pharmacist an amount less than the amount that the pharmacy benefits manager reimburses a pharmacy benefits manager affiliate for providing the same pharmacist services, calculated on a per-unit basis using the same generic product identifier or generic code number and reflecting all drug manufacturer's rebates, direct and indirect administrative fees, and costs and any remuneration; or (iv) penalizing or retaliating against a pharmacist or pharmacy for exercising rights provided by this measure. The measure also prohibits a carrier from (a) imposing provider accreditation standards or certification requirements inconsistent with, more stringent than, or in addition to requirements of the Virginia Board of Pharmacy or other state or federal entity; (b) including any mail order pharmacy or pharmacy benefits manager affiliate in calculating or determining network adequacy; or (c) conducting spread pricing in the Commonwealth. The measure also imposes recordkeeping and reporting requirements. The bill has a delayed effective date of October 1, 2020. This bill incorporates HB 1292, HB 1459, HB 1479, and HB 1659 and is identical to SB 251. Read the Bill »


Bill Has Passed


01/08/2020Prefiled and ordered printed; offered 01/08/20 20103195D
01/08/2020Referred to Committee on Labor and Commerce
01/16/2020Assigned L & C sub: Subcommittee #2
01/22/2020Impact statement from SCC (HB1290)
01/30/2020House subcommittee amendments and substitutes offered
01/30/2020Subcommittee recommends reporting with substitute (6-Y 2-N)
02/04/2020Reported from Labor and Commerce with substitute (22-Y 0-N) (see vote tally)
02/04/2020Committee substitute printed 20107170D-H1
02/04/2020Incorporates HB1292 (Hodges)
02/04/2020Incorporates HB1659 (Head)
02/04/2020Incorporates HB1459 (O'Quinn)
02/04/2020Incorporates HB1479 (Samirah)
02/05/2020Read first time
02/06/2020Read second time
02/06/2020Passed by temporarily
02/06/2020Committee substitute agreed to 20107170D-H1
02/06/2020Engrossed by House - committee substitute HB1290H1
02/07/2020Read third time and passed House BLOCK VOTE (100-Y 0-N)
02/07/2020VOTE: Block Vote Passage (100-Y 0-N) (see vote tally)
02/10/2020Constitutional reading dispensed
02/10/2020Referred to Committee on Commerce and Labor
02/11/2020Impact statement from SCC (HB1290H1)
02/17/2020Reported from Commerce and Labor (12-Y 3-N) (see vote tally)
02/19/2020Constitutional reading dispensed (39-Y 0-N) (see vote tally)
02/20/2020Read third time
02/20/2020Passed Senate (37-Y 3-N) (see vote tally)
02/25/2020Bill text as passed House and Senate (HB1290ER)
02/25/2020Impact statement from SCC (HB1290ER)
02/25/2020Signed by Speaker
02/26/2020Signed by President
03/03/2020G Governor's Action Deadline 11:59 p.m., April 6, 2020
03/03/2020Enrolled Bill communicated to Governor on March 3, 2020
03/03/2020G Governor's Action Deadline 11:59 p.m., March 10, 2020
03/10/2020G Approved by Governor-Chapter 219 (effective - see bill)
03/10/2020G Acts of Assembly Chapter text (CHAP0219)


This bill was discussed on the floor of the General Assembly. Below is all of the video that we have of that discussion, 1 clip in all, totaling 1 minute.