The Ohio Senate today passed Senate Bill 258, sponsored by Senator Troy Balderson (R–Zanesville), which establishes standards for the oversight of pharmacy audits in Ohio.
“My main objective in the Statehouse has been to create an environment in Ohio where businesses can grow and thrive so we can help our friends and neighbors get back to work,” said Balderson. “When our local pharmacies came and showed me the costly and burdensome process they have to undergo during audits, I knew we needed to do something to help these family-owned businesses.”
Ohio pharmacies are routinely audited by health plans and insurance companies to check for accuracy and to make certain there has been no fraud, waste, abuse, or clerical errors that may cause accidental overpayments. However, these audits frequently occur with little or no notice to the pharmacy and can be overly burdensome for local, independently owned pharmacies.
“This bill provides fair and uniform oversight for pharmacy audits and ensures this process pinpoints and weeds out actual fraud instead of simply creating unnecessary loopholes without improving the system for Ohioans or our local businesses,” added Balderson.
On average, the cost of per audit to a pharmacy is $2,500 and some Ohio pharmacies indicated that they face 6 of these audits each year.
Senate Bill 258 would make Pharmacy Benefit Managers (PBMs) subject to reasonable audit standards by placing guidelines on when and how audits are conducted. These new standards include:
29 other states have already enacted audit reform measures similar to those in Senate Bill 258. The legislation now proceeds to the Ohio House of Representatives for further consideration.
“Today we’re hearing from those who are the front lines of helping our moms and babies survive and thrive,” said Faber. “We know that simply throwing dollars at this crisis is not enough. We have some of the best medical care and research in our state, but what’s equally important is identifying community leaders from our at-risk neighborhoods to connect mothers with that care.”
Ohio’s Sales Tax Holiday is scheduled to provide optimal savings for parents, families and educators at a time when families must stretch their dollars. This temporary relief from the sales taxes is meant to ease the burden for families and ensure that students have the items necessary to succeed in the classroom.
"We have made significant progress to improve Ohio’s business climate and to support private sector job creation,” Obhof said. “Lower taxes, regulatory reform and new resources to help connect employers with job seekers are paying dividends in helping to improve our economy and creating new opportunities for Ohio families."
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