HR-2450 : Still Just a Bill

The Prescription Drug Transparency and Affordability Act, also known as H.R. 2450, aims to increase oversight of pharmacy benefit management (PBM) services. The bill amends the Public Health Service Act, the Employee Retirement Income Security Act of 1974, and the Internal Revenue Code of 1986 to achieve this goal. Key provisions include:

• Reporting Requirements: PBMs would be required to provide detailed reports to group health plans, including information on drug prices, rebates, fees, and other remuneration received from drug manufacturers and other entities. The frequency of reporting will be semi-annual, but can be quarterly at the request of the group health plan.
• Information Disclosure: Group health plans would be required to provide participants and beneficiaries with summary documents containing information on drug spending, rebates, and benefit design parameters. Participants and beneficiaries can request claims-level information regarding drug prices.
• Contractual Obligations: Group health plans and health insurance issuers would be prohibited from entering into contracts with applicable entities that limit or delay the disclosure of information necessary for PBMs to make required reports.
• Privacy Protection: The bill includes provisions to ensure that the reporting of information is consistent with privacy regulations, including HIPAA.
• Enforcement: The Secretary of Health and Human Services, the Secretary of Labor, and the Secretary of the Treasury would have the authority to enforce the provisions of the bill, including the imposition of civil monetary penalties for violations.