IA SF315

Requires the Iowa Department of Administrative Services (DAS) to contract for pharmacy benefits manager (PBM) services for self-funded public sector health plans using a competitive reverse auction process, where PBM bidders can submit progressively lower bids across multiple rounds

DAS must procure a technology platform by November 1, 2025, capable of conducting online reverse auctions, automating drug pricing comparisons using 100% of annual claims data, and performing line-by-line review of all invoiced prescription drug claims to identify contract deviations

Prohibits awarding the technology platform contract to any vendor that is a PBM or affiliated with a PBM, and prohibits the winning vendor from outsourcing any part of the reverse auction or claims review process

First PBM services contract must be awarded effective January 1, 2026; subsequent contracts must be awarded at least three months before current contracts expire for active employee groups, or six months for groups including Medicare Part D employer group waiver program retirees

Three years after the first contract award, any self-funded public sector health plan may opt to conduct its own PBM reverse auction using the state's technology platform while retaining autonomy over formulary and benefit design decisions