CA SB786

Prohibits pharmacy benefit managers from discriminating against covered entities or their pharmacies in connection with dispensing drugs subject to federal 340B pricing requirements

Prevents pharmacy benefit managers from applying less favorable payment terms, reimbursement methodologies, or conditions to covered entities compared to similarly situated non-covered entities

Bars pharmacy benefit managers from refusing to contract with, terminating contracts with, or excluding covered entities from pharmacy networks based on their status as a covered entity or participation in the 340B program

Protects covered entities from retaliation, restrictions on grievances or public statements, and interference with patients' choice to receive drugs from covered entity pharmacies

Applies to pharmacy benefit managers contracting with managed care organizations serving Medi-Cal or Medicare members, but not directly to the Medi-Cal or Medicare programs themselves