AB 1460: California's 340B Contract Pharmacy Protection Bill Expected to Return in 2026
AB 1460 (Assemblymember Chris Rogers, D-Santa Rosa) would prohibit pharmaceutical manufacturers from restricting 340B contract pharmacy arrangements. The bill passed the Assembly in 2025 but stalled in the Senate. It's expected to return in 2026. Eight states have enacted similar laws; 23 have pending bills. For rural FQHCs, passage would expand access to 340B pharmacy discounts. However, the IRA is simultaneously creating structural pressure: 340B hit $81B in 2024 (+23% YoY), and Medicare Part D/B manufacturer rebate exemptions begin impacting 340B margins in 2026.
Key takeaways
- AB 1460 would prohibit pharma manufacturers from restricting 340B contract pharmacy arrangements
- Passed Assembly in 2025, stalled in Senate — expected to return in 2026
- 8 states enacted similar laws; 23 have pending bills — critical for rural FQHCs
- 340B hit $81B in 2024 (+23% YoY) — IRA rebate exemptions begin impacting margins in 2026
Primary source
McDermott Will & Emery / California LegislatureFQHC Talent. (2026, March 9). AB 1460: California's 340B Contract Pharmacy Protection Bill Expected to Return in 2026. Primary source: McDermott Will & Emery / California Legislature. Retrieved April 28, 2026, from https://www.fqhctalent.com/intel/ab-1460-340b-contract-pharmacy-2026
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