Senator Feldman: It's NOT Over Regulatory

Dede Feldman

Newsnm note (Spence) It would appear that MORE BIG GOVERNMENT is on the way - Pharmacy Benefit Manager's bill (SB16) which is sponsored by Albuquerque Senator Dede Feldman (D-Bernalillo-13) was passed by the New Mexico Senate on a vote of 33 to 4 Thursday (2-24-2011). SB16 creates the authority for the licensure and regulation of Pharmacy Benefit Managers through the Public Regulation Commission/Insurance Division. Pharmacy Benefit Managers provide pharmacy network management, negotiation and administration of product discounts, rebates, and other benefits accruing to the PBMs or other prescription drug or device service to third parties. "This is just an attempt to get them under one roof," said Sen. Feldman, "Its not over regulatory. We just want to license them to find out who they are."

The act sets up conditions for licensure and for suspension or revocation of a license within several new sections of the New Mexico Insurance Code. The act does not apply to a person that is a licensed health care facility, pharmacy, licensed health care professional, health insurer, union, HMO, Medicare advantage plan or prescription drug plan when that person is providing formulary services to its own patients, employees, members or beneficiaries. SB16 sets up a $1,000 filing fee for Pharmacy Benefit Managers with the Department of Insurance to cover costs associated with licensing.

Senator Feldman: It's NOT Over Regulatory