Legislature(2025 - 2026)BELTZ 105 (TSBldg)
04/30/2025 01:30 PM Senate LABOR & COMMERCE
Note: the audio ![]()
and video ![]()
recordings are distinct records and are obtained from different sources. As such there may be key differences between the two. The audio recordings are captured by our records offices as the official record of the meeting and will have more accurate timestamps. Use the icons to switch between them.
| Audio | Topic |
|---|---|
| Start | |
| SB62 | |
| SB134 | |
| SB35 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | SB 62 | TELECONFERENCED | |
| + | SB 134 | TELECONFERENCED | |
| + | SB 35 | TELECONFERENCED | |
SB 134-PHARMACY BENEFITS MANAGER;3RD PARTY ADMIN
2:02:41 PM
CHAIR BJORKMAN reconvened the meeting and announced the
consideration of SENATE BILL NO. 134 "An Act relating to
pharmacy benefits managers; relating to third-party
administrators; and providing for an effective date."
2:03:12 PM
JANE ROHR, Staff, Senator Cathy Giessel, Alaska State
Legislature, Juneau, Alaska, presented the summary and sectional
analysis for SB 134. She read the following summary:
[Original punctuation provided.]
SB 134 relates to Third Party Administrators and
Pharmacy Benefit Mangers; these agencies do business
as intermediaries between insurance companies and
pharmacies or consumers. Some of their
responsibilities include negotiating medication prices
and processing claims. Current statute requires these
agencies to be registered which only allows for a
basic level of recognition. The purpose of this bill
is to require transparency and accountability for
third party administers and pharmacy benefit managers
operating in the State of Alaska by requiring them to
be licensed and subject to oversight by the division
of insurance.
2:04:16 PM
MS. ROHR read a paraphrased version of the sectional analysis
for SB 134:
[Original punctuation provided.]
Sections 1 through 4 give the division of insurance
the ability to examine these business entities and
make TPAs responsible for paying costs associated with
a market conduct examination.
Sections 5 through 7 make conforming changes by
replacing the term "registered" with "licensed" and
includes TPAs and PBMs in the list of agencies subject
to the requirements in the statute entitled "licensed
required"
Section 8 gives an exemption for a compliance officer
from a TPA or PBM to be able to take an exam before a
license is issued to that entity.
Section 9 prohibits TPAs and PBMs from operating in
the state with an expired license.
Sections 10 through 24 require designated compliance
officers to be licensed, and require exempt TPAs to
file a certification with the director annually on or
st
before February 1, as well as make conforming changes
by replacing "registered" with "licensed"
Section 25 requires all TPAs who operate in state be
licensed to operate in the state of Alaska
Sections 26 and 27 makes conforming changes by
replacing "registered" with "licensed"
Section 28 outlines new qualifications, disclosures,
application requirements, and required notifications
for licensees. Failure to meet the minimum standard
may result in denial, revocation, or suspension of
license.
Sections 29 and 30 allows the director to establish
fees for licensure and renewal that will be self-
supporting to the division by covering the costs of
salary, benefits, technology, and continuing
education.
2:06:12 PM
MS. ROHR continued with the sectional analysis for SB 134:
Section 31 amends the definition of a PBM to include
"regardless of ownership of the pharmacy benefits
manager"
Section 32 repeals an unnecessary provision around
"registration"
Section 33 sets an effective date January 1, 2026
2:06:47 PM
[CHAIR BJORKMAN announced invited testimony on SB 134.]
2:07:01 PM
HEATHER CARPENTER, Director, Division of Insurance, Department
of Commerce, Community and Economic Development (DCCED),
Anchorage, Alaska, testified by invitation on SB 134 and
explained that last year's House Bill 226 increased oversight of
pharmacy benefit managers (PBMs) by requiring separate
registration, but the division discovered they lacked full
authority to implement it. SB 134 now moves toward full
licensure, clarifies that PBMs are subject to market conduct
examinations, closes oversight loopholes, and strengthens
consumer protections.
2:08:59 PM
CHAIR BJORKMAN held SB 134 in committee.