Colorado Lawmakers Pass Bill ‘Delinking’ PBM Pay From Drug Costs

  • May 08, 2025

    Colorado’s legislature has passed a measure that would ban PBMs from being paid based on the price of a drug and instead require them to be compensated based on a flat fee. It appears to be the first bill approved by state lawmakers that echoes a now-stalled federal “delinking” proposal that drew fierce lobbying efforts. 

    The bill, HB-1094, passed the Colorado House via a 48-15 vote on March 17, then cleared the state Senate on May 6 via a 29-6 vote. 

    “We expect Governor Jared Polis (D) to sign the bill, though it can become law without his signature,” Laura Hobbs, an analyst at the institutional research firm Washington Analysis, wrote in a May 7 note to clients. “Large, vertically integrated PBMs are unlikely to be meaningfully impacted by a single state law. That said, we are watching developments in other legislatures, where about half remain in session.” 

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  • Leslie Small

    Leslie has been working in journalism since 2009 and reporting on the health care industry since 2014. She has covered the many ups and downs of the Affordable Care Act exchanges, the failed health insurer mega-mergers, and hundreds of other storylines spanning subjects such as Medicaid managed care, Medicare Advantage, employer-sponsored insurance, and prescription drug coverage. As the managing editor of Health Plan Weekly and Radar on Drug Benefits, she writes and edits for both publications while overseeing a small team of reporters who also focus on the managed care sector. Before joining AIS Health, she was a senior editor for the e-newsletter Fierce Health Payer, and she started her career as a copy editor at multiple local newspapers. She graduated with a dual degree in journalism and political science from Penn State University.

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