Associations representing grocery stores and drug stores are among those lauding a U.S. Supreme Court decision that gives states more authority to regulate pharmacy benefit managers, Supermarket News reported.

The 8-0 decision Thursday restored a 2015 Arkansas law that required PBMs to reimburse pharmacies at least the amount the pharmacy paid for certain medications, the news site reported. The question was whether the Employee Retirement Income Security Act of 1974, a federal law that regulates private employee benefit plans, prevents states from regulating the amount that PBMs pay pharmacies.

The National Grocers Association, the National Association of Chain Drug Stores, FMI—The Food Industry Association and the National Community Pharmacists Association all issued statements in support of the decision in Rutledge v. Pharmaceutical Care Management Association, Supermarket News reported.

"FMI is pleased that the Supreme Court voted unanimously to protect public access to health care through local pharmacies by allowing states to regulate PBMs, which have been allowed to operate virtually unchecked for far too long," FMI CEO Leslie Sarasin said in a statement. "This decision is a strong vote of confidence by the Supreme Court as FMI works to achieve greater oversight of PBMs."

PBMs manage prescription drug benefits for health insurers, Medicare Part D drug plans and large employers, Supermarket News reported.

"We are disappointed in the court's decision that will result in the unraveling of federal protections under the Employee Retirement Income Security Act of 1974 (ERISA)," PCMA, the national trade group representing PBMs, said in a statement. "As states across the country consider this outcome, we would encourage they proceed with caution and avoid any regulations around prescription drug benefits that will result in higher health care costs for consumers and employers."

MORE CEO DATELINE