DeSantis Signs Bill Limiting Big Pharma Power

Governor Ron DeSantis (R-FL) has signed the Prescription Drug Reform Act, which looks to create “transparency and accountability within the Pharmaceutical Industrial Complex.”

Its goal is to limit the power of Pharmacy Benefit Manager (PBMs) which are known as middlemen in the industry. The bill requires PBMs to pass through 100% of all rebates received from Big Pharma for “the sole purpose of reducing consumer costs," according to the DeSantis press release.

It also bans clawbacks (prescription drug overpayments), prohibits mail order mandates, bars spread pricing, outlaws steering, stops the sharing of personal data without the customer or patient’s consent, and bans affiliate only networks.

“This legislation builds a foundation of transparency for pharmacy benefit manager (PBM) practices and drug prices in Florida, allowing consumers to make the best choices for their own health,” said Governor Ron DeSantis. “PBMs and Big Pharma have managed to escape the public eye and work in the shadows for far too long. I’m proud to sign a bill that takes the reins back from these health care monopolies while empowering consumers.”

“Prescription drugs can drastically impact a person’s quality of life, and for some Floridians, they are the difference between life and death. Patients deserve to know when drug price increases occur and where they can find their prescription drugs at an affordable price,” stated State Senator Jason Brodeur (R-FL).

“Under the leadership of Governor DeSantis, we are holding PBMs, which are acting on behalf of pharmacy benefits plans, to standards that protect the patients. This great bill will help patients in Florida receive their medications in a more accessible manner and at a more affordable cost.”

The bill will also hold PBMs accountable for any violations, as well as force them to disclose all organizations affiliated with applicants, including any pharmacies or companies “within their corporate umbrella.”

In January, Surgeon General Joseph Ladapo shared his thoughts of the proposed legislation at the time.

“The American people have been led to believe that drug costs are high so that pharmaceutical companies can continue to perform research,” stated Surgeon General Ladapo. “But this claim ignores the fact that pharmaceutical research and innovation tends to begin in universities, mostly through NIH funding. That’s our tax dollars. The American people deserve affordable prescriptions, not unnecessary mark-ups that continue to line the pockets of Big Pharma.”

The bill will also require PBMs to disclose all proposed drug prices increases.