HB26-1056 • 2026

Prescription Drug Benefit Information Transparency

The bill creates the "Prescription Drug Optimized Sourcing Transparency and Integrity Act" to prohibit a pharmacy benefit manager (PBM) or a health-care consultant from knowingly making or disseminati

Labor

Passed Legislature

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

Sponsor: Rep. K. DeGraaf
Last action: 2026-02-17
Official status: House Committee on Health & Human Services Postpone Indefinitely
Effective date: Not listed

Plain English Breakdown

The official status indicates the bill was postponed indefinitely by a committee in February 2026, meaning it has not yet become law despite passing earlier stages.

Prescription Drug Optimized Sourcing Transparency and Integrity Act

This bill stops pharmacy benefit managers and health-care consultants from knowingly sharing false information about the safety or legality of lawful drug sourcing programs and requires them to share specific cost details when asked by self-insured employers.

What This Bill Does

Prohibits PBMs or consultants from knowingly making or spreading false claims about the safety or legality of a lawful prescription drug optimized sourcing program established by a pharmacy stewardship program.
Requires PBMs and consultants to provide detailed cost information for each dispensed prescription drug upon written request from a self-insured employer.
Mandates that shared cost data includes total drug cost, member-paid portion, plan-paid portion, National Drug Code, quantity, strength, and days of supply without redaction or editing.
Confirms the right of self-insured employers to purchase drugs through lawful optimized sourcing programs, including those authorized by federal law for importing personal-use drugs.
Recognizes pharmacy stewardship programs as effective cost-containment tools when implemented in compliance with state and federal laws.

Who It Names or Affects

Pharmacy benefit managers (PBMs)
Health-care consultants
Self-insured employers who offer health plans to their employees

Terms To Know

Prescription Drug Optimized Sourcing Program: A lawful arrangement where a defined subset of prescription drugs is dispensed through channels other than the standard pharmacy network, if authorized by federal law, to reduce net plan costs while maintaining safety.
Pharmacy Stewardship Program: A program operated for a self-insured employer to optimize financial performance of drug benefits while maintaining patient safety and therapy continuity; it includes optimized sourcing but is not insurance or a health plan.
Self-Insured Employer: An employer that offers a self-insured health plan to its employees, meaning the employer pays for its own employees' health care costs rather than buying traditional insurance coverage.

Limits and Unknowns

The bill does not require any employer to adopt or participate in these drug sourcing programs.
These programs are only authorized when implemented in compliance with federal law and the provisions of this act.
This summary reflects the version of the bill as introduced; later amendments may alter its details.

Amendments

These notes stay tied to the official amendment files and metadata from the legislature.

L.001

HOU Health & Human Services

Passed [*]

Plain English: This amendment clarifies that pharmacy benefit managers or health-care consultants who spread false information about drug prices commit an unfair trade practice under Colorado law.

It adds a new rule to the state's list of deceptive business practices specifically for violating this bill's rules on misinformation.
It states clearly that breaking the ban on spreading false drug pricing info counts as an illegal and deceptive act.

The amendment text provided only shows how to change existing law sections, so it does not explain exactly what specific information is considered 'misinformation' or give examples of prohibited actions.
Because the full details of Section 10-16-171 are missing from this document, we cannot list every single rule that would be broken.

Bill History

2026-02-17 House
House Committee on Health & Human Services Postpone Indefinitely
2026-01-14 House
Introduced In House - Assigned to Health & Human Services

Official Summary Text

The bill creates the "Prescription Drug Optimized Sourcing Transparency and Integrity Act" to prohibit a pharmacy benefit manager (PBM) or a health-care consultant from knowingly making or disseminating false or misleading statements or claims to a self-insured employer or policyholder about the legality or safety of a lawful prescription drug optimized sourcing program established by a pharmacy stewardship program.
Upon written request by a self-insured employer, a PBM or health-care consultant is required to provide certain cost information for each prescription drug dispensed under the health benefit plan.
The prohibition and information-sharing provisions of the bill do not restrict or limit the rights of a self-insured employer to purchase prescription drugs through and contract for a lawful prescription drug optimized sourcing program. The bill also recognizes that a pharmacy stewardship program is an effective cost-containment tool and is authorized when implemented in compliance with federal law and with the bill.
(Note: This summary applies to this bill as introduced.)

Current Bill Text

Read the full stored bill text

Second Regular Session
Seventy-fifth General Assembly
STATE OF COLORADO
INTRODUCED

LLS NO. 26-0306.01 Eden Rolland x2373 HOUSE BILL 26-1056
House Committees Senate Committees
Health & Human Services
A BILL FOR AN ACT
CONCERNING PRESCRIPTION DRUG SOURCING PROVIDED PURSUANT TO101
A HEALTH BENEFIT PLAN.102
Bill Summary
(Note: This summary applies to this bill as introduced and does
not reflect any amendments that may be subsequently adopted. If this bill
passes third reading in the house of introduction, a bill summary that
applies to the reengrossed version of this bill will be available at
http://leg.colorado.gov.)
The bill creates the "Prescription Drug Optimized Sourcing
Transparency and Integrity Act" to prohibit a pharmacy benefit manager
(PBM) or a health-care consultant from knowingly making or
disseminating false or misleading statements or claims to a self-insured
employer or policyholder about the legality or safety of a lawful
prescription drug optimized sourcing program established by a pharmacy
HOUSE SPONSORSHIP
DeGraaf,
SENATE SPONSORSHIP
(None),
Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment.
Capital letters or bold & italic numbers indicate new material to be added to existing law.
Dashes through the words or numbers indicate deletions from existing law.
stewardship program.
Upon written request by a self-insured employer, a PBM or
health-care consultant is required to provide certain cost information for
each prescription drug dispensed under the health benefit plan.
The prohibition and information-sharing provisions of the bill do
not restrict or limit the rights of a self-insured employer to purchase
prescription drugs through and contract for a lawful prescription drug
optimized sourcing program. The bill also recognizes that a pharmacy
stewardship program is an effective cost-containment tool and is
authorized when implemented in compliance with federal law and with
the bill.
Be it enacted by the General Assembly of the State of Colorado:1
SECTION 1. Legislative declaration. (1) The general assembly2
finds and declares that:3
(a) Improving transparency and integrity in prescription drug4
purchasing protects employers and health benefit plan sponsors, supports5
patient safety, and reduces unnecessary costs, while preserving clinical6
decision-making; and7
(b) It is the policy of this state to permit the lawful personal-use8
importation of prescription drugs, otherwise known as pharmacy9
stewardship programs, optimized sourcing, or international sourcing, in10
order to reduce net plan costs without disrupting patient care.11
SECTION 2. In Colorado Revised Statutes, add 10-16-171 as12
follows:13
10-16-171. Pharmacy benefit managers - health-care14
consultants - prescription drug optimized sourcing - disclosure15
requirements - enforcement - short title - definitions.16
(1) Short title. T HE SHORT TITLE OF THIS SECTION IS THE17
"PRESCRIPTION DRUG OPTIMIZED SOURCING TRANSPARENCY AND18
INTEGRITY ACT".19
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(2) Definitions. AS USED IN THIS SECTION:1
(a) "H EALTH-CARE CONSULTANT " MEANS AN INDIVIDUAL OR2
ENTITY THAT PROVIDES PROFESSIONAL ADVICE , ANALYSIS, OR SERVICES3
TO A SELF-INSURED EMPLOYER REGARDING HEALTH BENEFIT PLAN DESIGN4
OR ADMINISTRATION , INCLUDING SERVICES RELATED TO PRESCRIPTION5
DRUG BENEFITS.6
(b) "N ATIONAL DRUG CODE " HAS THE MEANING SET FORTH IN7
SECTION 10-16-122.9 (2)(f).8
(c) (I) "PHARMACY STEWARDSHIP PROGRAM" MEANS A PROGRAM9
OPERATED BY OR ON BEHALF OF A SELF-INSURED EMPLOYER TO OPTIMIZE10
THE FINANCIAL PERFORMANCE OF THE SELF -INSURED EMPLOYER 'S11
PHARMACY BENEFIT WHILE MAINTAINING SAFETY , CONTINUITY OF12
THERAPY, AND EQUAL OR LOWER MEMBER COST SHARE . PRESCRIPTIONS13
NOT FULFILLED THROUGH THE PHARMACY STEWARDSHIP PROGRAM14
CONTINUE TO PROCESS UNDER THE HEALTH BENEFIT PLAN 'S EXISTING15
PHARMACY BENEFIT MANAGER, CARRIER, AND NETWORK.16
(II) A "PHARMACY STEWARDSHIP PROGRAM" INCLUDES THE USE OF17
OPTIMIZED SOURCING.18
(III) A "PHARMACY STEWARDSHIP PROGRAM" IS NOT:19
(A) INSURANCE OR A POLICY OF INSURANCE;20
(B) A HEALTH PLAN;21
(C) A PBM; OR22
(D) A THIRD-PARTY ADMINISTRATOR.23
(d) (I) "P RESCRIPTION DRUG OPTIMIZED SOURCING PROGRAM "24
MEANS A LAWFUL ARRANGEMENT OPERATED BY OR ON BEHALF OF A25
SELF-INSURED EMPLOYER UNDER WHICH A DEFINED SUBSET OF26
PRESCRIPTION DRUGS FOR COVERED PERSONS MAY BE DISPENSED27
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THROUGH CHANNELS OTHER THAN THE HEALTH BENEFIT PLAN 'S1
PHARMACY BENEFIT MANAGER OR CARRIER-ADMINISTERED NETWORK, IF2
AUTHORIZED BY FEDERAL LAW , TO REDUCE THE NET PLAN COST WHILE3
MAINTAINING PATIENT SAFETY, CONTINUITY OF THERAPY, AND EQUAL OR4
LOWER MEMBER COST SHARE. A PRESCRIPTION DRUG OPTIMIZED SOURCING5
PROGRAM IS NOT INSURANCE , AND PRESCRIPTIONS NOT FULFILLED6
THROUGH THE PROGRAM CONTINUE TO PROCESS UNDER A PLAN'S EXISTING7
PHARMACY BENEFIT MANAGER, CARRIER, AND NETWORK.8
(II) "P RESCRIPTION DRUG OPTIMIZED SOURCING PROGRAM "9
INCLUDES A PROGRAM FOR IMPORTING PRESCRIPTION DRUGS AUTHORIZED10
BY FEDERAL LAW AND FDA REGULATION.11
(e) "SELF-INSURED EMPLOYER" MEANS AN EMPLOYER THAT OFFERS12
A SELF-INSURED HEALTH PLAN TO ITS EMPLOYEES.13
(3) Prohibition against misinformation. A PHARMACY BENEFIT14
MANAGER OR HEALTH-CARE CONSULTANT SHALL NOT KNOWINGLY MAKE15
OR DISSEMINATE FALSE OR MISLEADING STATEMENTS OR CLAIMS TO AN16
EMPLOYER, SELF -INSURED EMPLOYER , OR POLICYHOLDER ABOUT THE17
LEGALITY OR SAFETY OF A LAWFUL PRESCRIPTION DRUG OPTIMIZED18
SOURCING PROGRAM ESTABLISHED BY A PHARMACY STEWARDSHIP19
PROGRAM.20
(4) Disclosure requirements.21
(a) U PON WRITTEN REQUEST BY A SELF -INSURED EMPLOYER, A22
PHARMACY BENEFIT MANAGER OR HEALTH -CARE CONSULTANT SHALL23
PROVIDE DETAILED COST INFORMATION FOR EACH PRESCRIPTION DRUG24
DISPENSED UNDER THE PLAN, INCLUDING:25
(I) TOTAL DRUG COST PER CLAIM;26
(II) TOTAL MEMBER-PAID PORTION PER CLAIM;27
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(III) T OTAL PLAN -PAID, SPONSOR -PAID, OR EMPLOYER -PAID1
PORTION PER CLAIM; AND2
(IV) NATIONAL DRUG CODE, QUANTITY, STRENGTH, AND DAYS OF3
SUPPLY.4
(b) A PHARMACY BENEFIT MANAGER OR HEALTH -CARE5
CONSULTANT THAT PROVIDES COST INFORMATION PURSUANT TO6
SUBSECTION (4)(a) OF THIS SECTION SHALL NOT WITHHOLD , EDIT , OR7
REDACT THE INFORMATION THAT THE PHARMACY BENEFIT MANAGER OR8
HEALTH-CARE CONSULTANT PROVIDES.9
(5) Self-insured employer rights. T HIS SECTION DOES NOT10
RESTRICT OR LIMIT THE RIGHT OF A SELF -INSURED EMPLOYER TO11
PURCHASE PRESCRIPTION DRUGS THROUGH A LAWFUL PRESCRIPTION DRUG12
OPTIMIZED SOURCING PROGRAM. A SELF-INSURED EMPLOYER RETAINS THE13
RIGHT TO CONTRACT FOR ANY LAWFUL PRESCRIPTION DRUG OPTIMIZED14
SOURCING PROGRAM, INCLUDING PERSONAL-USE IMPORTATION PROGRAMS15
PERMITTED UNDER FEDERAL LAW, FOR DRUGS USED BY THE SELF-INSURED16
EMPLOYER'S HEALTH BENEFIT PLAN'S COVERED PERSONS.17
(6) Pharmacy stewardship programs.18
(a) A PHARMACY STEWARDSHIP PROGRAM THAT IS DESIGNED TO19
IMPROVE THE COST -EFFECTIVENESS OF MEDICATION USE WHILE20
MAINTAINING PATIENT SAFETY IS RECOGNIZED AS AN EFFECTIVE21
COST-CONTAINMENT TOOL.22
(b) PHARMACY STEWARDSHIP PROGRAMS AND PRESCRIPTION DRUG23
OPTIMIZED SOURCING PROGRAMS ARE AUTHORIZED BY STATE LAW WHEN24
IMPLEMENTED IN COMPLIANCE WITH FEDERAL LAW AND WITH THIS25
SECTION. SUCH AUTHORIZED PROGRAMS INCLUDE PROGRAMS FOR26
IMPORTING PRESCRIPTION DRUGS WHEN AUTHORIZED UNDER FEDERAL27
HB26-1056-5-
LAW.1
(c) NOTHING IN THIS SECTION SHALL BE CONSTRUED TO CREATE A2
NEW INSURANCE PRODUCT OR MANDATORY COVERAGE.3
(7) No state cost or self-insured employer mandate.4
(a) THIS SECTION DOES NOT:5
(I) CREATE A FISCAL REQUIREMENT FOR ANY STATE AGENCY OR AN6
APPROPRIATION FROM THE GENERAL FUND;7
(II) R EQUIRE AN EMPLOYER TO ADOPT OR PARTICIPATE IN A8
PRESCRIPTION DRUG OPTIMIZED SOURCING PROGRAM OR PHARMACY9
STEWARDSHIP PROGRAM; OR10
(III) REQUIRE THAT RESOURCES BE EXPENDED AS A RESULT OF THIS11
SECTION.12
(b) THE COMMISSIONER SHALL IMPLEMENT THIS SECTION WITHIN13
EXISTING APPROPRIATIONS.14
(8) Enforcement. T HE COMMISSIONER SHALL ENFORCE THIS15
SECTION WITH RESPECT TO A PBM OR HEALTH-CARE CONSULTANT THAT16
ADMINISTERS OR MANAGES PRESCRIPTION DRUG BENEFITS FOR A HEALTH17
BENEFIT PLAN . A VIOLATION OF THIS SECTION BY A PBM OR A18
HEALTH-CARE CONSULTANT IS AN UNFAIR METHOD OF COMPETITION AND19
AN UNFAIR OR DECEPTIVE ACT OR PRACTICE IN THE BUSINESS OF20
INSURANCE PURSUANT TO SECTION 10-3-1104 (1)(uu). EACH DAY DURING21
WHICH A VIOLATION CONTINUES CONSTITUTES A SEPARATE VIOLATION.22
SECTION 3. In Colorado Revised Statutes, 10-3-1104, add23
(1)(uu) as follows:24
10-3-1104. Unfair methods of competition - unfair or deceptive25
practices - rules - definitions. (1) The following are defined as unfair26
methods of competition and unfair or deceptive acts or practices in the27
HB26-1056-6-
business of insurance:1
(uu) VIOLATING SECTION 10-16-171.2
SECTION 4. Act subject to petition - effective date -3
applicability. (1) This act takes effect at 12:01 a.m. on the day following4
the expiration of the ninety-day period after final adjournment of the5
general assembly (August 12, 2026, if adjournment sine die is on May 13,6
2026); except that, if a referendum petition is filed pursuant to section 17
(3) of article V of the state constitution against this act or an item, section,8
or part of this act within such period, then the act, item, section, or part9
will not take effect unless approved by the people at the general election10
to be held in November 2026 and, in such case, will take effect on the11
date of the official declaration of the vote thereon by the governor.12
(2) This act applies to conduct or omissions occurring on or after13
the applicable effective date of this act.14
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