Plain English Breakdown
The official text uses future tense ('would prohibit'), indicating this describes proposed changes rather than current active law.
AB-1460: Prescription Drug Pricing
This bill stops drug makers from blocking community clinics from buying discounted drugs when those clinics use specific pharmacies to fill prescriptions.
What This Bill Does
- Prohibits prescription drug manufacturers from using discriminatory practices that stop, limit, or interfere with a qualifying clinic's purchase of federally priced drugs if the clinic uses a specified pharmacy.
- Defines what counts as 'discriminatory practices' and which groups are considered 'qualifying nonhospital 340B community clinics'.
- Requires these clinics to perform specific activities every year to follow rules from the federal Health Resources and Services Administration.
- Includes a statement of intent regarding how the law should be applied.
Who It Names or Affects
- Prescription drug manufacturers who sell covered outpatient drugs.
- Qualifying nonhospital 340B community clinics that serve eligible patients.
- Specified pharmacies, including contract pharmacies, used by these clinics to dispense medication.
Terms To Know
- Discriminatory practices
- Actions defined in the bill where a manufacturer imposes extra conditions or blocks a clinic from buying discounted drugs when using a specific pharmacy.
- Qualifying nonhospital 340B community clinic
- A type of clinic defined by this bill that is eligible for federal drug pricing requirements and uses specified pharmacies.
Limits and Unknowns
- The text states clinics must perform 'specified activities' but does not list what those specific actions are.
- The bill defines terms like 'discriminatory practices' in the law, but this summary cannot show the full legal definition without reading the entire act.