In a substantial move aimed at tackling the concentration of power within the pharmaceutical industry, Michigan Attorney General Dana Nessel has joined forces with a coalition of attorneys general from across the nation. Their united front sends a clear message to Congress: it's time to legislate against pharmacy benefit managers (PBMs) owning or running pharmacies. This concerted action spotlights concerns over higher drug prices and the financial pressures placed on smaller pharmacies, according to the Michigan Department of Attorney General.

The coalition, consisting of 39 state and territory attorneys general, has presented a compelling case to legislative leaders. They argue that PBMs have begun to use their position to unfairly prioritize their own profits, to the detriment of consumers and independent pharmacies alike. "By owning pharmacies, pharmacy benefit managers have manipulated the system to prioritize profits, forcing patients to pay higher prices and subjecting small, independent pharmacies to unfair and arbitrary conditions," Nessel elucidated. This statement comes directly from an announcement on the Michigan Department of Attorney General's website.

Striving to draw sharper lines in the sand of industry regulation, the attorneys general have pinpointed the market influence of PBMs. Once mere facilitators, these entities have grown through horizontal consolidation and vertical integration to a status where they now wield market force over their own competitors. The top six PBMs in the sector also operate affiliated pharmacies, and all but one belong to larger conglomerates that are ensconced in insurance and health care clinic operations, as reported by the Michigan Department of Attorney General.

The collective letter further details the intricate web of control exercised by PBMs. Their substantial sway as middlemen allows them to impose stringent conditions on non-affiliated pharmacies, often resulting in confusing and detrimental contractual terms. The Michigan Department of Attorney General are confident that an act of Congress could effectively dismantle this exploitative practice, thus safeguarding consumer interests. In amplifying their call, Nessel added, "I am proud to stand with my colleagues in calling on Congress to prohibit this exploitative process."

Indeed, this push for legislative change is not solely the effort of one; it stands upon a robust foundation of wide geographic representation. Among the supporters are the attorneys general of Alaska, Arizona, Arkansas, California, Delaware, and many more, spanning the United States from Hawai'i to New York, reaching even to the Virgin Islands, as per the Michigan Department of Attorney General. The breadth of this alliance underscores the gravity and national relevance of the issue at hand, seeking to rebalance the scales of the pharmacy sector back towards the consumer.