Topeka Buzz 🐝
Tuesday, March 24, 2026
Conference Committee End-Run Sends PBM Regulation to the House Floor—and It Passes 104-17
The Kansas Consumer Prescription Protection and Accountability Act cleared the House Monday 104-17—not as SB 360, the bill that carried it through the Senate and became a flashpoint between rank-and-file members and House leadership, but as SB 20, a conference committee vehicle that had its original contents stripped and replaced.
The maneuver was procedurally extraordinary. SB 20 originally dealt with reducing membership on insurance-related boards—provisions that were already enacted last session. The conference committee—Rep. Bill Sutton (R), Rep. Brian Bergkamp (R), and Rep. Cindy Neighbor (D) for the House; Sen. Brenda Dietrich (R), Sen. Michael Fagg (R), and Sen. Marci Francisco (D) for the Senate—agreed to gut the bill entirely and insert an amended version of SB 360's PBM regulatory framework. The House then suspended Rule 1502, which requires the sequence of bills to be posted a day in advance, to allow same-day consideration of the conference report. A substitute motion to reject the report and appoint a new conference committee failed, and the House adopted the CCR 104-17.
The context makes the vote even more notable. Speaker Dan Hawkins (R), who has 30 years of experience in the insurance industry and is running for insurance commissioner, had used his authority as speaker to block SB 360 from reaching the House floor all session. Since it arrived from the Senate after passing 32-8 on February 18, Hawkins ordered the bill transferred between the House Insurance and Health committees four times without either committee taking action. A coalition of roughly 50 House Republicans, backed by House Democrats, had prepared to force the bill's contents to the floor last week—prompting Hawkins and Majority Leader Chris Croft (R) to abruptly end the House session on March 19, sidelining 20 bills that had been scheduled for debate.
The conference committee route bypassed all of that. Conference reports come to the floor outside the speaker's normal control over the General Orders calendar.
What the bill does. The act creates a comprehensive state regulatory framework for pharmacy benefit managers (PBMs)—the intermediaries between drug manufacturers, insurers, and pharmacies that have drawn bipartisan criticism for opaque pricing practices. Key provisions:
PBMs must charge health plans the same price for a drug that they pay the dispensing pharmacy—a direct ban on spread pricing.
Pharmacies must be reimbursed at no less than the National Average Drug Acquisition Cost (NADAC) plus a professional dispensing fee of $10.50 or the state-calculated dispensing fee, whichever is greater.
PBMs cannot reimburse a pharmacy less than they would reimburse themselves or an affiliate for the same drug—targeting vertical integration advantages.
PBMs are barred from imposing point-of-sale or retroactive fees on pharmacies.
Rebates from manufacturers that aren't applied to reduce a patient's cost sharing must be passed through to the health plan.
Auditing entities must register with the Insurance Commissioner and follow detailed audit procedures, including 14-day advance notice, a 30-day response window for pharmacies, and a ban on extrapolation-based recoupments.
PBMs face new annual and quarterly reporting requirements to the Insurance Commissioner—covering rebates received and distributed, spread between pharmacy reimbursement and health plan charges, and drug-level NADAC comparison data.
The Commissioner gains authority to examine PBMs for compliance and to order reimbursement for monetary losses caused by violations.
Penalty caps are removed: fines can reach $5,000 per violation for knowing violations (previously capped at $50,000 per six-month period) and $100,000 for operating without a license (previously $5,000).
Self-funded health plans subject to the federal Employee Retirement Income Security Act (ERISA) are exempt from the reimbursement and rebate provisions. The Kansas Department of Insurance estimates the bill would require five new staff positions and roughly $413,000 in first-year spending from the PBM Licensure Fund.
What's next. SB 20 is a Senate-origin bill, so the House acted first on the conference report. The Senate still needs to adopt the same CCR to send the bill to the governor. Given that the Senate passed SB 360's substance 32-8 and that Dietrich—who carried SB 360 on the Senate floor—was a conferee, adoption appears likely, but it hasn't happened yet.
Pretrial and Sentencing Overhaul Clears Concurrence 85-37
HB 2444 cleared the House on concurrence 85-37 Monday. The bill creates mandatory prison sentences and consecutive terms for people who commit new nondrug felonies while on probation, parole, or postrelease supervision. It bars courts from double-counting jail credit across consecutive cases, raises pretrial bond requirements for certain supervised defendants, and limits judges' ability to depart from sentencing guidelines unless both sides agree. The Senate passed it 35-5 during its 89-bill marathon last Thursday.
New Bills Introduced
House
HR 6042: Strengthening the sister-state ties between the State of Kansas and Taiwan.
Floor Votes
Monday, March 23
House (6)
HB 2444: PASS — Concurrence (85 Yes, 37 No, 3 Absent). Creates mandatory prison and consecutive sentences for nondrug felonies committed while on supervision, bars double-counting jail credit, and raises pretrial bond requirements for certain supervised defendants.
HB 2416: PASS — Concurrence (122 Yes, 0 No, 3 Absent). Creates the Kansas Motorsports Venue Protection Act, shielding racetracks from nuisance claims when the facility predates a neighboring owner's purchase. Immunity does not apply if the facility violates state or local law or hasn't held a race in four years.
HB 2602: PASS — Concurrence (101 Yes, 21 No, 3 Absent). Lets independent contractors choose third-party "portable benefit" accounts for health, disability, retirement, and other benefits. Creates a state income tax subtraction for qualifying contributions starting tax year 2027.
HB 2571: PASS — Concurrence (122 Yes, 0 No, 3 Absent). Raises the public letting threshold for county construction projects from $25,000 to $100,000, allowing counties to award more mid-sized projects without formal public bidding.
SB 20: PASS — Conference Committee Report (104 Yes, 17 No, 4 Absent). Enacts the Kansas Consumer Prescription Protection and Accountability Act. See top story above for full details.
HB 2323: PASS — Concurrence (122 Yes, 0 No, 3 Absent). Gives the Insurance Commissioner power to bring civil actions against fraudulent insurance acts, with fines up to $10,000 per act, restitution authority, and two-way audio-video testimony. Extends fraud rules to the automobile assigned claims plan.
Senate (1)
HB 2331: PASS — Final Vote (38 Yes, 0 No, 2 Absent). Lets district coroners dispose of unclaimed cremated remains after three years with published notice and a 30-day waiting period. Limits liability except for gross negligence. Requires six hours of annual continuing education for embalmers and funeral directors by July 1, 2026.
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