SB 1447: Oklahoma Employees Insurance Plan; prohibiting certain contracts from being awarded; requiring certain scoring; requiring certain certifications. Effective date. - Oklahoma

Floor (House) → Floor (Senate) · 5 edits

MODERATE

The bill was converted from a House version to a Senate version, which significantly altered the requirements for selecting pharmacy benefits managers (PBMs). The Senate version adds strict disqualifiers for PBMs that have been sued, fined, or have judgments against them over the last five years, and it explicitly bans contracts with PBMs owned by insurance companies, retail pharmacy chains, or pharmaceutical manufacturers. Additionally, the bill was renumbered to codify under a different section of the Oklahoma Statutes.

Scope change

The bill's scope was narrowed regarding eligible bidders by adding specific corporate structure restrictions and a history of legal liability as grounds for disqualification.

ELIGIBILITY

Added a requirement that PBMs must not have settled lawsuits, faced fines, or had judgments against them totaling over $4 million in the previous five years to be eligible for contracts.

Added a prohibition on awarding contracts to PBMs that have corporate structures including health insurance companies, retail pharmacy chains, specialty pharmacies, mail-order pharmacies, or pharmaceutical manufacturers.

REQUIREMENT

Added a requirement that the contracted PBM and its contractors must be SOC 2 Type 2 certified and compliant with the Oklahoma Health Information Exchange Act.

TECHNICAL

Changed the codification section from Title 74, Section 1330.1 to Title 74, Section 1329.2.

TIMELINE

Added an effective date of November 1, 2026.

SB1447 (3-23-26) (GOLLIHARE) FA2.PDF → Floor (House) · 4 edits

MODERATE

The bill text was converted from a Senate committee amendment draft to the final House floor version, removing procedural amendment language and adding the official statutory text. The substantive policy content, including new definitions and requirements for Pharmacy Benefit Managers (PBMs), remains consistent between the two versions.

Scope change

The document scope changed from a proposed amendment to a complete enacted bill text, but the underlying policy scope regarding PBM regulation remains unchanged.

TECHNICAL

Removed procedural text including the Senate chamber header, committee amendment instructions, and the specific motion to amend the Floor Substitute.

Added the official House floor header, session details, and the statutory enactment language ("BE IT ENACTED").

DEFINITION

Replaced a deleted definition of "Rebate" with a comprehensive new definition that explicitly lists excluded items like pharmacy purchase discounts, while retaining the core requirement that PBMs disclose all other forms of value.

Added new definitions for "Affiliate," "Control," "Operation data," "Remuneration," "Subcontractor," and "Total net cost" to clarify regulatory obligations.

SB1447 (3-17-26) (GOLLIHARE) FS FA1.PDF → SB1447 (3-23-26) (GOLLIHARE) FA2.PDF · 3 edits

MINOR

The bill was amended to significantly expand the definition of 'rebate' to include a broader range of payments from drug manufacturers, ensuring more money flows back to the state plan. The amendment also grants the state plan explicit audit rights to inspect manufacturer rebate contracts without redaction, increasing transparency and oversight over pharmacy benefit managers (PBMs).

Scope change

The scope of the bill was expanded to cover a wider variety of financial transactions between drug manufacturers and PBMs, and the enforcement mechanism was strengthened by allowing unredacted audits of specific contracts.

DEFINITION

The definition of 'rebate' was expanded to include various forms of compensation like incentives, commissions, and grants, while explicitly excluding purchase discounts from specialty pharmacies.

ENFORCEMENT

New language was added to require that manufacturer rebate contracts be open to state audit without redaction, increasing transparency.

REQUIREMENT

Specific language regarding state plan ownership of operational data and broad audit rights over PBMs was removed, likely to streamline the text after the new definitions were inserted.

Enrolled (final version) → SB1447 (3-17-26) (GOLLIHARE) FS FA1.PDF · 2 edits

MINOR

The bill text was reformatted from a standard enrolled version to a floor substitute version, which includes updated legislative session details and page numbering. The substantive legal content, including all definitions and requirements for pharmacy benefits managers, remains identical to the previous version.

TECHNICAL

The document header was updated to reflect the current 60th Legislature (2026) and marked as a 'Floor Substitute' for Senate Bill 1447, replacing the previous 'Enrolled' status and 59th Legislature references.

Page numbering and internal reference markers were adjusted to match the new floor substitute document structure, though the actual legal text of the bill sections is unchanged.

Engrossed → Enrolled (final version) · 2 edits · Apr 29, 2026

MINOR

The bill was finalized from its Engrossed version to the Enrolled version, adding a new subject line and a sponsor name (Burns) to the Senate sponsors. The substantive legal text, including definitions and requirements for pharmacy benefit managers, remains unchanged.

TECHNICAL

Added a 'SUBJECT' line to the bill header to clarify the topic.

Added 'Burns' to the list of Senate sponsors.

Introduced → Engrossed · 7 edits · Mar 30, 2026

MODERATE

The bill was significantly expanded from a single page to over 20 pages, transforming it from a limited contract restriction into a comprehensive regulatory framework for Pharmacy Benefit Managers (PBMs). The new version adds extensive definitions for corporate relationships and data, introduces strict prohibitions on PBM practices like formulary changes and 'gag clauses,' and mandates detailed reporting and rebate pass-throughs to the state plan.

Scope change

The bill's scope expanded from regulating specific corporate structures and lawsuit history to governing nearly all operational aspects of PBM contracts, including pricing guarantees, network terms, and data reporting requirements.

DEFINITION

Added detailed definitions for 'Affiliate,' 'Control,' 'Operation data,' 'Rebate,' 'Remuneration,' and 'Subcontractor' to clarify relationships and financial flows.

REQUIREMENT

Added requirements for PBMs to provide written impact analyses before changing contract provisions or drug formulary placements.

Added a mandate for PBMs to disclose affiliates or subcontractors before a contract is awarded.

Added requirements for PBMs to pass through all rebates and remuneration to the state plan.

Added a requirement for PBMs to submit detailed reports including claim-level data.

Added a requirement for PBMs to maintain SOC 2 Type 2 certification.

ELIGIBILITY

Removed the specific financial threshold (lawsuits over $4 million) and replaced it with broader prohibitions on certain contract structures and practices.

Oklahoma Employees Insurance Plan; prohibiting certain contracts from being awarded; requiring certain scoring; requiring certain certifications. Effective date.

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