Tennessee House Bill HB1959

Tennessee 2025-2026 Regular Session

• Introduced: 1/22/26
• Refer: 2/4/26
• Refer: 3/4/26
• Refer: 3/10/26
• Refer: 3/16/26
• Refer: 4/15/26

Caption

AN ACT to amend Tennessee Code Annotated, Title 63, relative to the ownership or control of pharmacies by pharmacy benefits managers.

Impact

If enacted, HB1959 would significantly alter the landscape of pharmacy regulations in Tennessee. It establishes strict criteria forbidding PBMs from acquiring ownership in pharmacies, which could enhance competition and patient choice in the pharmaceutical industry. The bill mandates that all pharmacies maintain independence from PBMs to promote fair business practices, thereby enhancing patient access to quality healthcare. Further, it emphasizes the role of pharmacists in patient safety and medication management, making these provisions critical in maintaining the integrity of pharmacy practices across the state.

Summary

House Bill 1959, known as the Freedom, Access, and Integrity in Registered Pharmacy (FAIR Rx) Act, is designed to regulate the ownership and control of pharmacies by pharmacy benefits managers (PBMs) in Tennessee. The bill aims to address conflicts of interest that arise when PBMs exert control over pharmacies, potentially impacting the affordability and accessibility of prescription medications for patients. By preventing PBMs from owning or controlling pharmacies, the legislation seeks to ensure that pharmacy operations prioritize patient care and transparency over profit motives, particularly in medicare underserved regions of the state.

Contention

Notably, discussions around HB1959 have highlighted divisions among various stakeholders. Supporters of the bill argue that it will help eliminate inherent conflicts of interest which may lead to inflated costs and reduced patient access to services. Opponents, however, raise concerns about the feasibility and implications of restrictions on PBM ownership. They argue that such measures could limit the efficiency and effectiveness of pharmaceutical distribution networks, ultimately affecting medication availability for patients. Additionally, there is apprehension regarding potential legal challenges tied to the bill's enforcement and its implications on the broader healthcare market.