Shown verbatim: the complete text as captured from the official PDF posted by the Arkansas General Assembly, fetched 2026-07-23. Page and line markers are part of the official record; nothing is edited or removed. The official bill page.
Stricken language would be deleted from and underlined language would be added to present law.
1 State of Arkansas A Bill
2 95th General Assembly
3 Regular Session, 2025 SENATE BILL 593
4
5 By: Senator J. Boyd
6 By: Representative Achor
7
8 For An Act To Be Entitled
9 AN ACT TO AMEND THE ARKANSAS PHARMACY BENEFITS
10 MANAGER LICENSURE ACT; TO CREATE THE PHARMACY
11 SERVICES ADMINISTRATIVE ORGANIZATION ACT; AND FOR
12 OTHER PURPOSES.
13
14
15 Subtitle
16 TO AMEND THE ARKANSAS PHARMACY BENEFITS
17 MANAGER LICENSURE ACT; AND TO CREATE THE
18 PHARMACY SERVICES ADMINISTRATIVE
19 ORGANIZATION ACT.
20
21 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS:
22
23 SECTION 1. Arkansas Code � 23-92-503(12), concerning the definition of
24 "pharmacy services administrative organization" used under the Arkansas
25 Pharmacy Benefits Manager Licensure Act, is amended to read as follows:
26 (12) "Pharmacy services administrative organization" means an
27 organization that helps community pharmacies and pharmacy benefits managers
28 or third-party payers achieve administrative and economic efficiencies,
29 including contracting, reimbursement, and payment efficiencies;
30
31 SECTION 2. Arkansas Code � 23-92-503, concerning definitions used
32 under the Arkansas Pharmacy Benefits Manager Licensure Act, is amended to add
33 additional subdivisions to read as follows:
34 (16)(A) "Pharmacy benefits manager national contract to
35 pharmacies" means a standardized agreement entered into by a pharmacy
36 benefits manager and a network of pharmacies across the United States in
*ANS443* 03/31/2025 4:16:26 PM ANS443
SB593
1 which a pharmacy is, either directly or indirectly, passed through a pharmacy
2 services administrative organization to agree to certain pricing terms and
3 conditions if that pharmacy is included within a pharmacy benefits manager
4 network.
5 (B) "Pharmacy benefits manager national contract to
6 pharmacies" includes a nationwide network of pharmacies that have entered
7 into a contract for national reimbursement rates, terms, and conditions that
8 are not Arkansas-specific with a pharmacy benefits manager to provide
9 pharmacist services, including without limitation dispensing medications to a
10 patient within the pharmacy benefits manager network; and
11 (17) "Pharmacy services administrative organization contracting"
12 means an agreement between a pharmacy or pharmacist with a pharmacy benefits
13 manager and other healthcare payors for a health benefit plan.
14
15 SECTION 3. Arkansas Code Title 23, Chapter 99, is amended to add an
16 additional subchapter to read as follows:
17 Subchapter 20 -- Pharmacy Services Administrative Organization Act
18
19 23-99-2001. Title.
20 This subchapter shall be known and may be cited as the "Pharmacy
21 Services Administrative Organization Act".
22
23 23-99-2002. Definitions.
24 As used in this subchapter:
25 (1) "Health benefit plan" means the same as defined in � 23-92-
26 503;
27 (2) "Healthcare payor" means the same as defined in � 23-92-503;
28 (3) "Pharmacy benefits manager" means the same as defined in �
29 23-92-503;
30 (4) "Pharmacy benefits manager national contract to pharmacies"
31 means the same as defined in � 23-92-503;
32 (5) "Pharmacy services administrative organization" means the
33 same as defined in � 23-92-503;
34 (6) "Pharmacy services administrative organization contracting"
35 means the same as defined in � 23-92-503; and
36 (7) "Pharmacy services administrative organization-pharmacy
2 03/31/2025 4:16:26 PM ANS443
SB593
1 contract" means a contractual agreement between a pharmacy services
2 administrative organization and a pharmacy by which a pharmacy services
3 administrative organization agrees to negotiate with a pharmacy benefits
4 manager and other healthcare payors for health benefit plans on behalf of a
5 pharmacy or pharmacist and to provide other services as stated in the
6 pharmacy services administrative organization-pharmacy contract.
7
8 23-99-2003. Registration requirements -- Application -- Fees.
9 (a)(1) A pharmacy services administrative organization shall not
10 provide any service in Arkansas without being registered with the State
11 Insurance Department under this subchapter.
12 (2)(A) An initial registration fee for a pharmacy services
13 administrative organization is two hundred fifty dollars ($250).
14 (B) The Insurance Commissioner may charge registration
15 renewal fees as established by rule.
16 (b)(1) The commissioner shall prescribe the application for
17 registration to operate in Arkansas as a pharmacy services administrative
18 organization.
19 (2) An application for registration as a pharmacy services
20 administrative organization shall include:
21 (A) The full business name of the pharmacy services
22 administrative organization;
23 (B) The name, business address, phone number, website, and
24 email address for the primary contact;
25 (C) The name, business address, phone number, website, and
26 email address for the contact designated to handle grievances; and
27 (D) The employer identification number, also known as the
28 federal employer identification number or the federal tax identification
29 number.
30 (3) The commissioner may charge application fees as established
31 by rule.
32
33 23-99-2004. Notice and disclosure requirements.
34 (a)(1) Beginning on or before March 1, 2026, a pharmacy services
35 administrative organization shall file with the Insurance Commissioner an
36 annual report for the preceding calendar year.
3 03/31/2025 4:16:26 PM ANS443
SB593
1 (2) A report may be requested by the commissioner on renewal of
2 the registration of the pharmacy services administrative organization if the
3 information is needed.
4 (b) The annual report required under subsection (a) of this section
5 shall:
6 (1) Include an approximate number of pharmacies that the
7 pharmacy services administrative organization has a pharmacy services
8 administrative organization-pharmacy contract with within the state; and
9 (2) Include the names of:
10 (A) The pharmacy benefits managers with which the pharmacy
11 services administrative organization has an agreement; and
12 (B) The pharmacy benefits managers with which the pharmacy
13 services administrative organization does not have an agreement.
14 (c) A pharmacy services administrative organization shall annually
15 disclose to the State Insurance Department and to pharmacists who or
16 pharmacies that have an active pharmacy services administrative organization-
17 pharmacy contract the extent of any ownership or control of the pharmacy
18 services administrative organization by a parent company, subsidiary, or
19 other organization that:
20 (1) Manufactures, sells, or distributes prescription drugs and
21 is licensed, permitted, or registered as a wholesale distributor in this
22 state with the Arkansas State Board of Pharmacy; or
23 (2) Sells prescription drugs and medicines at retail and is
24 licensed, permitted, or registered as a retail pharmacy with the board.
25 (d) A pharmacy services administrative organization shall notify the
26 department in writing within five (5) business days of any material change in
27 its ownership or control relating to any company, subsidiary, or other
28 organization described in subsection (c) of this section.
29
30 23-99-2005. Pharmacy services administrative organization contracting
31 -- Requirements.
32 (a)(1) A pharmacy benefits manager shall offer and include in any
33 existing pharmacy services administrative organization a separate Arkansas-
34 based amendment that complies with the Arkansas Pharmacy Benefits Manager
35 Licensure Act, � 23-92-501 et seq., and other state laws on or before January
36 1, 2026.
4 03/31/2025 4:16:26 PM ANS443
SB593
1 (2) A contract provision that states that the pharmacy benefits
2 manager agrees to comply with applicable laws does not comply with the
3 requirement in subdivision (a)(1) of this section.
4 (3) The Insurance Commissioner may review the pharmacy services
5 administrative organization agreements that are executed between a pharmacy
6 and a pharmacy benefits manager if the commissioner has an active
7 investigation of state laws being violated by the pharmacy benefits manager
8 related to an executed agreement with a pharmacy services administrative
9 organization.
10 (b)(1)(A) A pharmacy services administrative organization-pharmacy
11 contract shall include a provision that requires a pharmacy services
12 administrative organization to provide to a pharmacy a copy of the pharmacy
13 services administrative organization-pharmacy contract, amendment, payment
14 schedule, or reimbursement rates within thirty (30) days of the receipt of a
15 written request from a pharmacy or pharmacist after the execution of a
16 pharmacy services administrative organization-pharmacy contract, or an
17 amendment to a pharmacy services administrative organization-pharmacy
18 contract, signed on behalf of the pharmacy if it is a new agreement, new
19 network, or has a reduction in reimbursement rates compared to the previous
20 agreement.
21 (B) The pharmacy services administrative organization may
22 respond to a written request from a pharmacy or a pharmacist under
23 subdivision (b)(1)(A) of this section by making the pharmacy services
24 administrative organization-pharmacy contract document or an amendment or
25 update to the pharmacy services administrative organization-pharmacy contract
26 document available through a pharmacy portal.
27 (2) Upon written request from a pharmacy or pharmacist for an
28 existing pharmacy services administrative organization-pharmacy contract, a
29 pharmacy services administrative organization-pharmacy contract shall include
30 a provision that requires a pharmacy services administrative organization to
31 provide to a pharmacy a copy of the pharmacy services administrative
32 organization-pharmacy contract, amendment, payment schedule, or reimbursement
33 rates within five (5) business days of the request.
34 (c) A pharmacy services administrative organization may file a
35 complaint with the commissioner against a pharmacy benefits manager or other
36 healthcare payor for "take it or leave it" terms and conditions in a proposed
5 03/31/2025 4:16:26 PM ANS443
SB593
1 contract, pharmacy provider manual, or contract amendment that violate
2 requirements of state law if the pharmacy benefits manager does not actively
3 respond, communicate, and adjust to the concerns of a pharmacy services
4 administrative organization, pharmacy, or pharmacist that the proposed
5 contract or provider manual terms do not follow state law.
6 (d) The information or data acquired during an examination or review
7 under subsections (a) and (b) of this section is:
8 (1) Considered proprietary and confidential under �� 23-61-
9 107(a)(4) and 23-61-207; and
10 (2) Not subject to the Freedom of Information Act of 1967, � 25-
11 19-101 et seq.
12
13 23-99-2006. Enforcement -- Rules.
14 (a) The Insurance Commissioner shall promulgate rules to administer
15 and enforce this subchapter.
16 (b) After notice and opportunity for hearing, the commissioner may
17 revoke, place on probation, or suspend the registration of a pharmacy
18 services administrative organization.
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
6 03/31/2025 4:16:26 PM ANS443Every fact on this page links to its source, starting with the official bill record.