Pharmacies are closing at a pace our communities cannot afford. In 2024, according to NYC Center for an Urban Future, 10% of all New York City pharmacies shut down. Behind these closures is a quiet but devastating force: Pharmacy Benefit Managers (PBMs). These powerful middlemen dictate what pharmacies are paid for prescriptions, and too often, they set reimbursement rates so low that pharmacies lose money with every prescription they fill.
Sometimes it’s $100 or more lost on a single medication. No business model can survive under these conditions. As a result, patients are paying the price. Pharmacies forced to operate at a loss eventually close. Families in underserved areas are left without nearby care. What emerges are pharmacy deserts. Pharmacy deserts are not just problems for rural New York. When pharmacies in The Bronx shut down, we force our aging patients to walk dozens of blocks just to access their medication. This is a healthcare crisis, and it is only getting worse.
That is why pharmacists across New York gathered last month in The Bronx to demand action. We are banding together and urging our elected officials to prioritize passing the Patient Access to Pharmacy Act (PAPA) this session. Sponsored by State Sen. James Skoufis and Assemblymember John McDonald, the bill (S5939/A5882) would require PBMs to reimburse pharmacies fairly, at rates that at least cover the actual cost of the drug…