Senate Resolution 927
By: Senators Hatchett of the 50th, Tillery of the 19th, Strickland of the 42nd, Robertson of
the 29th, Goodman of the 8th and others
ADOPTED SENATE
A RESOLUTION
Creating the Senate Pharmacy Benefits Managers and Consumer Access to Prescription
Medications Study Committee; and for other purposes.
WHEREAS, according to the United States Office of Health Policy, the cost of prescription
drugs has increased at rates exceeding the rate of inflation each year since 2016; and
WHEREAS, pharmacy benefits managers administer prescription drug insurance benefits,
negotiate with drug manufacturers and pharmacies, and establish drug formularies and
pharmacy networks; and
WHEREAS, pharmacy benefits managers undertake practices that have been criticized and
investigated by industry stakeholders, including health policy experts, state attorneys general,
and the Federal Trade Commission; and
WHEREAS, such policies include leveraging vertical integration to steer patients to
pharmacy benefits manager affiliate pharmacies, marking up the cost of medications at
pharmacy benefits manager owned pharmacies, manipulating pharmacy reimbursement rates,
and engaging in other unfair practices that harm patients, retail pharmacies, payers, and
employers; and
WHEREAS, in 2019, Georgia passed the first pharmacy benefits manager steering laws in
the nation but many believe that pharmacy benefits managers continue to steer patients to
pharmacy benefits manager affiliate pharmacies within this state; and
WHEREAS, Georgia law requires that pharmacy benefits managers publicly report drug
prices that are greater than 10 percent over the national average drug acquisition costs and
such reports have revealed markups for some medications for commercial and government
payers and markups of thousands of percent above the national average drug acquisition
costs for medications used to treat multiple sclerosis, cancer, and kidney disease, among
other medications; and
WHEREAS, a recent study by the Georgia Center for Rural Prosperity and Innovation at
Abraham Baldwin Agricultural College indicates that pharmacy benefits manager practices
pose risks to patients and independent pharmacies, including increasing the number of
counties in Georgia without a single pharmacy.
NOW, THEREFORE, BE IT RESOLVED BY THE SENATE:
(1) Creation of Senate study committee. There is created the Senate Pharmacy
Benefits Managers and Consumer Access to Prescription Medications Study Committee.
(2) Members and officers. The committee shall be composed of the following
members:
(A) The chairperson of the Senate Appropriations Committee;
(B) The chairperson of the Senate Health and Human Services Committee;
(C) Three other members of the Senate or experts on pharmacy benefits managers or
consumer access to prescription medication to be appointed by the President of the
Senate; and
(D) The President of the Senate shall designate a member of the committee as
chairperson of the committee.
(3) Powers and duties. The committee shall undertake a study of the conditions, needs,
issues, and problems mentioned above or related thereto and recommend any action or
legislation which the committee deems necessary or appropriate.
(4) Meetings. The chairperson shall call all meetings of the committee. The committee
may conduct such meetings at such places and at such times as it may deem necessary or
convenient to enable it to exercise fully and effectively its powers, perform its duties, and
accomplish the objectives and purposes of this resolution.
(5) Allowances, expenses, and funding.
(A) The legislative members of the committee shall receive the allowances provided
for in Code Section 28-1-8 of the Official Code of Georgia Annotated.
(B) Members of the committee who are state officials, other than legislative members,
or state employees shall receive no compensation for their services on the committee,
but they may be reimbursed for expenses incurred by them in the performance of their
duties as members of the committee in the same manner as they are reimbursed for
expenses in their capacities as state officials or employees.
(C) Members of the committee who are not legislators, state officials, or state
employees shall receive a daily expense allowance in an amount the same as that
specified in subsection (b) of Code Section 45-7-21 of the Official Code of Georgia
Annotated, as well as the mileage or transportation allowance authorized for state
employees.
(D) The allowances authorized by this resolution shall not be received by any member
of the committee for more than five days unless additional days are authorized. Funds
necessary to carry out the provisions of this resolution shall come from funds
appropriated to the Senate; except that funds for the reimbursement of the expenses of
state officials, other than legislative members, and for the reimbursement of the
expenses of state employees shall come from funds appropriated to or otherwise
available to their respective agencies.
(6) Report.
(A) In the event the committee adopts any specific findings or recommendations that
include suggestions for proposed legislation, the chairperson shall file a report of the
same prior to the date of abolishment specified in this resolution, subject to
subparagraph (C) of this paragraph.
(B) In the event the committee adopts a report that does not include suggestions for
proposed legislation, the chairperson shall file the report, subject to subparagraph (C)
of this paragraph.
(C) No report shall be filed unless the same has been approved prior to the date of
abolishment specified in this resolution by majority vote of a quorum of the committee.
A report so approved shall be signed by the chairperson of the committee and filed with
the Secretary of the Senate.
(D) In the absence of an approved report, the chairperson may file with the Secretary
of the Senate a copy of the minutes of the meetings of the committee in lieu thereof.
(7) Abolishment. The committee shall stand abolished on December 1, 2026.