Pharmacy Benefits Administration - Maryland Medical Assistance Program and Pharmacy Benefits Managers

SB 438 sets minimum reimbursement rates for pharmacies dispensing drugs under Maryland's Medicaid program (Medical Assistance Program). It requires pharmacy benefits managers (PBMs) to pay pharmacies at least the national drug cost average plus a state-determined dispensing fee, applying to both generic and brand-name drugs when prescribed. The bill expands the definition of "purchaser" to include insurers and certain health plans, clarifying which entities must follow PBM regulations. These changes directly affect community pharmacies, PBMs, and managed care organizations that contract with them for prescription drug coverage in Maryland.