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MMB seeks flexibility on PBM contracting; supporters and opponents argue over reverse-auction law
Summary
Senate File 3055 would change Minnesota's reverse-auction procurement requirements for pharmacy benefit managers. Proponents from MMB argued the law limits flexibility; advocates for the reverse-auction model and other stakeholders warned the bill would undo documented savings and transparency gains.
Senate File 3055, sponsored by Senator Mann, would adjust statutory requirements that direct Minnesota Management and Budget (MMB) to use a technology-driven reverse-auction procurement when contracting for pharmacy benefit manager (PBM) services for the state employee group insurance program. Committee testimony on April 1 presented sharply divided views on whether the reverse-auction statute should be altered.
MMB's witness, Galen Benschoo (Enterprise Director for Employee Insurance at MMB), said the agency seeks more contracting flexibility. Benschoo argued the current statute "needlessly limits…
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