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SB1545 • 2026

pharmacy benefit managers; pharmacy permits

SB1545 - pharmacy benefit managers; pharmacy permits

Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Janae Shamp
Last action
Official status
Effective date
Not listed

Plain English Breakdown

The bill summary does not provide specific details on how emergency situations will be handled or what happens if a pharmacy cannot obtain a limited service permit.

Pharmacy Benefit Managers; Pharmacy Permits

The bill restricts pharmacy benefit managers from owning or controlling pharmacies that sell prescription drugs in Arizona.

What This Bill Does

  • Prevents pharmacy benefit managers from acquiring a direct or indirect interest in permits for retail sale of prescription drugs.
  • Requires the Arizona State Board of Pharmacy to revoke or not renew permits if a violation is found after December 31, 2026.
  • Allows the board to issue limited service pharmacy permits under certain conditions for rare and hard-to-find medications.
  • Sets rules for notifying the board about unavailable drugs and requesting special permits.
  • Provides exceptions where pharmacy benefit managers can still have a direct or indirect interest in pharmacies.

Who It Names or Affects

  • Pharmacy benefit managers
  • Retail pharmacies selling prescription drugs
  • The Arizona State Board of Pharmacy

Terms To Know

pharmacy benefit manager
A company that manages pharmacy benefits for health plans and helps patients get their medications.
limited service pharmacy permit
A special permit issued by the Arizona State Board of Pharmacy to sell rare or hard-to-find drugs.

Limits and Unknowns

  • The bill does not specify what happens if a pharmacy is unable to get a limited service permit.
  • It's unclear how the board will handle emergency situations where patients need immediate access to certain medications.
  • The exact timeline for when pharmacies must notify their patients about changes in drug dispensing services is not detailed.

Bill History

No action history is stored for this bill yet.

Official Summary Text

SB1545 - pharmacy benefit managers; pharmacy permits

Current Bill Text

Read the full stored bill text
SB1545 - 572R - I Ver

REFERENCE TITLE:
pharmacy benefit managers; pharmacy permits

State of Arizona

Senate

Fifty-seventh Legislature

Second Regular Session

2026

SB 1545

Introduced by

Senator
Shamp

AN
ACT

amending title 32, chapter 18, article 2,
arizona revised statutes, by adding section 32-1932; relating to the
Arizona state board of pharmacy.

(TEXT OF BILL BEGINS ON NEXT PAGE)

Be it enacted by the Legislature of the State of Arizona:

Section 1. Title 32, chapter 18, article 2,
Arizona Revised Statutes, is amended by adding section 32-1932, to read:

START_STATUTE
32-1932.

Pharmacy benefit managers; pharmacy permits; acquisition or
holding prohibited; limited service pharmacy permits; rules; exceptions;
notification requirements; definition

A. A pharmacy benefit manager may not
acquire a direct or indirect interest in, or otherwise hold, directly or
indirectly, a permit pursuant to section 32-1930 for the retail sale of
prescription drugs in this state.

B. From and after the effective date
of this section, the board shall either revoke or not renew the permit of an
entity that holds a permit in violation of this section.

C. The board may issue a limited
service pharmacy permit for certain rare, orphaned or limited distribution
drugs that are otherwise unavailable in the market to a patient or a pharmacy
that would otherwise be prohibited under this section.� The board may assess
the need for rare, orphaned or limited distribution drugs for a limited service
pharmacy permit for certain rare, orphaned or limited distribution drugs
described in this subsection before revoking or renewing an existing pharmacy
permit for a pharmacy. If the board's assessment pursuant to this
subsection determines that a rare, orphaned or limited distribution drug is
otherwise unavailable in the market to a patient or pharmacy that would
otherwise be prohibited by this section, the board shall convert the pharmacy
permit for the prohibited pharmacy to a limited service pharmacy permit for
that pharmacy for a period of at least ninety days.

d. The board shall adopt rules to
implement the requirements of this section. Rules adopted pursuant
to this subsection shall establish:

1. The process in which a patient,
pharmacy or health care provider may notify the board of a rare, orphaned or
limited distribution drug that is unavailable in the market.

2. The process in which a pharmacy
may request a limited service pharmacy permit pursuant to subsection C of this
section.

3. The timeline in which the board
must make a decision.

4. The process for emergency
determinations due to patient need.

e. The board may extend the use of a
pharmacy permit or issue a renewal of a pharmacy permit for a pharmacy that
offers same-day patient access for pharmacist services, a prescription
for a controlled substance, or another critical patient health care service for
a period of time as determined by the board if there is a pending sale of the
pharmacy to an eligible buyer.

f. This section does not apply to a
pharmacy employer and a pharmacy if any of the following applies:

1. the pharmacy employer and pharmacy
Have a direct or indirect interest in a pharmacy benefits manager.

2. A pharmacy employer is the sole
client of the pharmacy benefit manager in this state in which the pharmacy
employer has a direct or indirect interest.

3. the pharmacy employer and pharmacy
Exclusively service the employees and dependents of the pharmacy employer while
using the affiliated pharmacy benefit manager in this state.

g. The board shall conduct an initial
assessment of each active pharmacy permit that was issued under this article as
of July 1, 2026, and, at least ninety days before January 1, 2027, shall send
written notice to each pharmacy permit holder that the board reasonably
believes will violate section this section. For the purposes of this
subsection, "written notice" means actual notice to the pharmacy
permit holder via mail or email.

h. The written notice required
pursuant to subsection g of this section shall include:

1. A list of each pharmacy benefit
manager that holds a direct or indirect interest in, or otherwise holds,
directly or indirectly, a pharmacy permit issued pursuant to section 32-1930
for the retail sale of prescription drugs in this state held by the pharmacy
permit holder. The list shall include:

2. A phone number and email address
that is monitored by the board during regular business hours.

3. A list of pharmacies in this state
that hold an active retail pharmacy permit and that are not reasonably expected
to violate this section as of January 1, 2027. The list shall include:

(
a
) The name of
the pharmacy.

(
b
) The phone
number of the pharmacy.

(
c
) The
physical address of the pharmacy.

(
d
) The website
of the pharmacy.

(
e
) An email
address for the pharmacy.

i. If the board has a searchable
website that includes the information required by subsection h, paragraph 3 of
this section, the board may provide the website information in lieu of the
list.

j. At least sixty days before January
1, 2027, a pharmacy permit holder that receives written notice from the board
pursuant to subsection g of this section shall provide written notice to each
patient and each patient's prescribing health care provider that has used the
pharmacy within the previous twelve months that the pharmacy can no longer
dispense retail drugs to the patient on or after January 1, 2027. For the
purposes of this subsection, "written notice" means actual notice to
the patient via mail or email or through the pharmacy's patient portal.

k. Written notice required by
subsection j of this section shall include the information prescribed by
subsection h, paragraphs 1 and 2 of this section that the board is required to
provide to pharmacy permit holders.

l. For the purposes of this section,
"pharmacy benefit manager":

1. Has the same meaning prescribed in
section 20-3321.

2. Includes an entity that either:

(
a
) Is managed
by a pharmacy benefit manager or is a subsidiary of a pharmacy benefit manager.

(
b
) Has a
direct or indirect ownership interest in a pharmacy benefit manager.
END_STATUTE

Sec. 2.
Effective date

This act is effective from and after
December 31, 2026.