Nashville, TN – April 23, 2025 – Tennessee pharmacy professionals are celebrating the passage of SB 1414 (Briggs) / HB 1242 (Helton-Haynes) by the Tennessee General Assembly—a landmark bill that expands protections for 340B entities and contract pharmacy arrangements while preserving the intent of the federal 340B Drug Pricing Program across the state. The legislation takes a major step toward ensuring equitable treatment for hospitals, clinics, pharmacies and healthcare providers that serve vulnerable populations. As noted in a press release by the Tennessee House Republican Caucus, the legislation prohibits discriminatory practices by drug manufacturers against 340B entities, while preventing manufacturers from imposing additional conditions that limit access to 340B-eligible medications—unless explicitly required by federal or state law.
In collaboration with the Tennessee Primary Care Association, Tennessee Hospital Association, various 340B covered entities, and grassroots outreach from TPA members, the bill passed both the House and Senate on April 16, 2025. Following a strong, unified advocacy effort from the coalition, compromise amendatory language was utilized to remove an initial $14 million fiscal note, and the final bill language achieved the needed protections to the program.
Tennessee now joins a growing list of states—including Arkansas, Louisiana, Mississippi, Missouri, and West Virginia—that have enacted similar laws to protect the 340B program. In those states, courts have upheld such legislation, and several manufacturers have reversed restrictions as a direct result of state action.
This legislative victory ensures continued access to affordable medications, supports pharmacy sustainability, and strengthens care for Tennessee’s most underserved patients. Once signed by the Governor, key provisions of the bill will take effect on July 1, 2025.
Key Provisions of the New Law Include:
- Beginning July 1, 2025, drug manufacturers cannot impose additional requirements for health information or claims data as a condition of participation in 340B, or impose requirements for accreditation or credentialing beyond any restrictions set by the federal government.
- Beginning July 1, 2025, drug manufacturers cannot interfere with, prohibit, or restrict the 340B covered entities arrangements with contract pharmacies. 340B pharmacies cannot be excluded from payer networks or subjected to unique fees unless those same conditions apply to non-340B entities.
- These protections are enforceable by the Tennessee Attorney General.
- The law exempts specific state healthcare programs, including TennCare, CoverKids, and Volunteer RX, from its application. Amendments were adopted to fine-tune compliance and oversight, including removing certain data reporting requirements and penalties initially proposed.
For Tennessee pharmacies and the patients they serve, this bill ensures equitable access to affordable medications and supports the sustainability of community-based care. By removing discriminatory practices and regulatory roadblocks, the legislation empowers safety-net providers and protects the integrity of the 340B program—crucial for rural and underserved communities where healthcare access is already limited.
Tennessee PharmPAC and TPA General Advocacy Fund
Legislative victories do not happen without hard work, determination, and financial support. TPA needs your support of the PharmPAC or the General Advocacy Fund.
The PharmPAC’s primary purpose is to provide financial assistance to candidates for public office who support the profession of pharmacy and recognize the value of quality care and services.
The General Advocacy Fund allows for contributions to TPA’s overall advocacy strategy and activities, including our Pharmacy Day on the Hill programming, contract lobbyists, and marketing and advocacy tools.
About The Tennessee Pharmacists Association
The Tennessee Pharmacists Association represents the profession of pharmacy across the state, united for the purpose of promoting safe and effective medication use to improve the health of patients. Since 1886, the Tennessee Pharmacists Association has preserved and advanced the interests of the profession and has served the professional needs of all pharmacists, student pharmacists, and pharmacy technicians. For more information, please visit tnpharm.org.
