In Review: On April 11 and April 12, significant movement occurred in the Montana Legislature, with the passage of HB 740 (omnibus) and the continued advancement of the package of prior authorization repeal bills. HB 740 cleared the Senate Judiciary Committee and passed the second and third reading votes in the Senate on Saturday, April 13. The pivotal vote was 28–22 on the second reading on Thursday, April 12. Amendments adopted include a sunset clause (effective through June 30, 2029) and the re-inclusion of the state employee health plan. Several senators supported the amendments after the pharmacy association indicated it would not oppose a comprehensive interim study bill (SJ 33) that was introduced as the bills were passing. During a required fiscal hearing in the Senate Finance & Claims Committee, the state acknowledged the substantial fiscal impact of the bill. Throughout the debate, policy questions were often set aside in favor of a broader “corporate vs. rural Montana” narrative.
The study bill, SJ 33, which will establish a comprehensive review of the prescription drug supply chain—including PBMs, manufacturers, wholesalers, and pricing structures—is now on file and awaiting a committee hearing. We continue to support this measure and will highlight the pharmacy association’s commitment to the study during HB 740 negotiations as we advocate for its advancement.
Regarding prior authorization bills, SB 446, 447, and 449 passed the House unanimously (99–0) on April 11 and have been amended by supporters who pushed the bill sponsor to continue moving the bills forward regardless of problematic language. All three bills now return to the Senate for concurrence. These bills reflect the negotiated language that was stripped from earlier legislation negotiated by the health plans (HB 398 and HB 399). Hearings were held on April 10, and PCMA testified opposed. Separately, HB 398 has returned from enrolling, and HB 399 has been transmitted to the Governor.
Up Next: We will finalize our strategy for engaging with the Governor’s office on HB 740, following up on earlier conversations; identify action items relative to the prior authorization bills following the lead of the health plans; and identify priorities relative to advancing SJ 33 with emphasis on maintaining the commitment to a balanced study.
If you have any questions, please contact Tonia Sorrell-Neal at tsorrell-neal@pcmanet.org.