Senator Vin Gopal and Leading Lawmakers Unite to Address PBM Practices and Ensure Affordable Prescription Costs

TRENTON, NJ - In response to recent findings from a New York Times investigation on Pharmacy Benefit Managers (PBMs), a coalition of New Jersey lawmakers and independent pharmacists announced they are taking action to address the impact of PBMs and the crisis of rising drug costs on the state. Senator Vin Gopal, alongside Assemblywoman Margie Donlon, M.D., and Assemblywoman Luanne Peterpaul, joins Senate President Nick Scutari, Assembly Speaker Craig Coughlin, Senate Health Committee Chair Joseph Vitale, Senators Raj Mukherji, Troy Singleton, Linda Greenstein, and Assembly Health Committee Chair Herb Conaway, M.D., in reaffirming their commitment to affordable prescription costs and tighter regulation of PBMs.

“We are proud to convene members of State Senate and Assembly leadership to take a comprehensive look at the status of PBMs and how they impact consumers, employers, and independent pharmacists,” stated the LD11 team of Senator Gopal, Assemblywoman Donlon, and Assemblywoman Peterpaul. “The role of PBMs is to ensure the most cost-effective medication routes. If state health benefits programs and Medicaid are being exploited by PBMs, those costs are borne by taxpayers. There is an urgent need to address the impact of PBMs on the current market.”

Senate President Nick Scutari highlighted the legislative progress made last year, emphasizing the importance of regulating PBMs. “We passed important legislation to make prescription medications more affordable, including provisions that tighten rules for PBMs,” said Scutari. “These consumer protections will help make medicines more affordable and more accessible for those in need.”

Assembly Speaker Craig J. Coughlin echoed the sentiment, noting the obstacles posed by PBMs to fair pricing. “We have made progress expanding access to affordable prescription drugs for New Jersey seniors and families, but PBMs have proven to be a substantial obstacle to fair prices," said Coughlin. "I join Sen. Gopal and other colleagues in the call for an investigation into potential market manipulation. It's time we explore further avenues for accountability."

Senator Joseph Vitale, Chair of the Senate Health, Human Services and Senior Citizens Committee, stressed the need for ongoing oversight. “As legislators, it is our responsibility to prevent and protect New Jersey residents from malfeasance like that alleged by the New York Times,” Vitale stated. “More transparency and accountability of the system are needed.”

Senator Linda Greenstein highlighted the financial impact on state health benefits plans. “PBMs need to be heavily regulated by the New Jersey Department of Banking and Insurance,” she stated. “We have seen significant increases in the cost of our employee State Health Benefits plans, with the price of drugs being a key factor.”