The Oklahoma Senate has passed legislation from Jonathan Wingard aimed at holding pharmacy benefit managers accountable for low reimbursement rates that local pharmacies say are draining time and money. According to data from the Oklahoma Attorney General’s Office, pharmacists across the state have filed more than 145,000 reimbursement appeals so far this year, averaging roughly 500 appeals per pharmacy. Apparently, running a pharmacy now also requires a side hustle in paperwork and arguing with insurance middlemen.

Wingard said pharmacies are constantly losing money while trying to fight unfair reimbursement rates and that the new legislation is meant to force PBMs to pay what is actually owed the first time. Under Senate Bill 2007, PBMs would have to pay a $100 administrative fee every time they increase reimbursement after a successful appeal. If they take more than 90 days to pay, that fee jumps to $500, and after 180 days it rises to $1,000. Nothing motivates corporate behavior quite like the threat of having to spend their own money for once.

PBMs act as middlemen between insurance companies, employers, and pharmacies by negotiating prescription drug pricing and reimbursement rates. Critics say their practices are focused more on profits than helping consumers or keeping local pharmacies open. Wingard said many pharmacies are losing between $40 and $50 on every prescription because reimbursements are so low, an especially serious problem for rural communities already struggling to keep health care services alive. Senate Bill 2007 passed the Senate by a 38-1 vote and now heads to the House, where it will be carried by Preston Stinson.