The Virginia House Health and Human Services Committee advanced dozens of bills covering pharmacy benefit manager transparency, mental health parity, child welfare reform, and maternal health — with the sharpest debate centering on HB 1109, where sponsor Delegate Hodges cited a $2.9 billion gap in PBM Medicaid reporting while the Virginia Association of Health Plans called claims of savings 'irresponsible.' HB 1452 on expedited Medicaid authorization was pulled back after a contested vote, and HB 297 on assisted living referral agencies was continued to 2027.
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Delegate Hodges argued that a $2.9 billion difference in 2023 between pharmacy payments and PBM reporting to CMS — and $10.9 billion cumulatively from 2017 through 2023 — demonstrates the need for transparency and standardization. Doug Gray, representing the Virginia Association of Health Plans, countered that an independent study found savings of less than 1%, approximately $20 million out of a $2.6 billion program, and stated: 'It's irresponsible to continue to suggest that there are savings when there aren't.' Hodges rebutted that the single PBM study cited by Gray 'has actually nothing to do with this' bill and that the $2.9 billion figure is 'verifiable data.'
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“But then you look at what is reported from the PBMs back to Medicaid. In 2023, there was a $2.9 billion difference. 2.9 billion with a B. So something's going on there.”
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Sign in to subscribeGood morning. Good morning. Welcome to the full Health and Human Services committee meeting. This is part two of a quadruple header today for Health and Human Services. We've got quite a few meetings. We've already had Health professions. We have the full now will be followed immediately after this by Health. And then we will have another health meeting. Health subcommittee meeting this afternoon. So thanks everyone for being here. And with that, the clerk will put us up on the roll. Okay, we've got a quorum. I'm going to kick us off this morning with a welcome. We have delegate Ren Williams as our newest member and delegate. Thank you for being here. Thank you for having me. That's cool. I heard some moans. This is good. This is good. That was coming from. We do have a lawyer. Let's see. That's right. No. Doug Bones. He has a lot of passion in health care. I know you've spoken. You worked on a lot of bills related to health care. So it's great to have you on here. So thank you to do that. With that, we're going to jump right into our very full docket here. We…
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