Des Moines, Iowa – Pharmacists are praising a bill under consideration in the Iowa House and Senate that would set new restrictions on pharmacy benefit managers or PBMs. Critics accuse PBMs of pocketing part of the money that should instead be reimbursing the pharmacies that fill prescriptions. Kate Gainor, executive director of the Iowa Pharmacy Association, says two dozen pharmacies closed in Iowa last year.
Charlie Hartig is CEO of the Dubuque-based Hartig Drug Company, which closed two of its 15 pharmacies last year.
Scott Koener — the chief pharmacist for MercyOne hospitals and clinics in Iowa — says there are now pharmacy deserts that were created by the PBMs.
Insurance companies say PBMs are controlling the price of medications and the bill would lead to increased costs. Scott Sundstrom, a lobbyist for Wellmark Blue Cross and Blue Shield of Iowa, the state’s dominant insurance carrier.
Matt McKinney is a lobbyist for Principal Financial Group and the Federation of Iowa Insurers.
Sharon Presnall, a senior VP at the Iowa Bankers Association, says the Iowa Bankers Insurance and Services health plan that covers 21-thousand Iowans would be affected if the bill becomes law.
The chair of the House Commerce Committee says she’s eager to take action on the bill, which is largely patterned after a law in West Virginia. Hundreds of pharmacists and pharmacy students were at the Capitol last week, lobbying for the bill.
The Iowa Pharmacy Association held a news conference at the statehouse on Feb 5, 2025. (RI photo)
