Pharmacy discount card bill signed into law

Vermont Business Magazine Treasurer Pieciak’s pharmacy discount card proposal (H.577) has been signed into law by Governor Scott. Under H.577, Vermont will join ArrayRx—a growing coalition of states pooling their purchasing power to unlock major discounts on prescription drugs. Vermonters, regardless of income or insurance status, will be able to sign up for a free ArrayRx pharmacy discount card offering up to 80% off generic drugs and up to 20% off name-brand medications.  

See list of bills signed by the governor on Monday, below.

As prescription drug costs strain household budgets, and federal cuts strip thousands of their coverage, the program offers Vermonters the opportunity to save millions annually and ensure they can access their medications at an affordable price.   

The bill earned overwhelming bipartisan approval from the Legislature, in addition to widespread support from patient advocates, insurers, businesses, and pharmacists. The program requires no additional taxes or fees. 

“This is a win for patients—delivering better health outcomes, lower costs, and more money in Vermonters' pockets, all without raising taxes,” said Treasurer Pieciak. “I want to thank the Governor and the Legislature for supporting this program—an investment in a more affordable health care system that works for Vermonters, not against them.” 

Senator Ginny Lyons, Chair of the Senate Health and Welfare Committee, and Representative Alyssa Black, Chair of the House Health Care Committee, served as the bill's lead sponsors. 

"Health care costs are putting real pressure on families, and Vermonters are looking to us for solutions," said Senator Lyons. "This proven, tax-neutral program has lowered prescription drug costs in other states. In the Senate, we approved the bill unanimously, and I appreciate Treasurer Pieciak's leadership in advancing this commonsense proposal." 

Representative Black said, "At a time when Vermonters are paying more and getting less from our health care system, H.577 delivers meaningful relief and supports healthier communities. It proves that when we come together and put patients first, we can get results." 

A 2023 survey found that one in three U.S. adults can’t afford to take their medications as prescribed. Those cost barriers can lead to delayed treatment, worsened outcomes for patients, and higher premiums for ratepayers.  

Coverage instability is also exposing more Vermonters to the full out of pocket cost of their medications. Since the expiration of Affordable Care Act subsidies, more than 2,500 Vermonters have foregone health insurance through Vermont Health Connect. Tightened Medicaid eligibility rules have also taken coverage away from non-citizens, with further changes in 2027 projected to kick roughly 30,000 Vermonters off the program.  

Reaction from Stakeholders: 

Greg Marchildon, State Director of AARP Vermont, highlighted the potential cost-savings for older Vermonters who have more complex health needs. “AARP hears every day from seniors who can’t afford the medications they need. When patients are priced out of their prescriptions, their health suffers—and so do their families and communities. H.577 moves us in the right direction, bringing much-needed relief as costs for everyday essentials continue to climb.” 

Beth Roberts, President and CEO of Blue Cross and Blue Shield of Vermont, described the legislation as an important step toward addressing the rising cost of care in Vermont. “The signing of H.577 is a big win for Vermonters’ wallets and health. Drug costs are a significant piece of the high healthcare prices we pay, and we’re proud to partner with Treasurer Pieciak on solutions like this. When Vermonters have greater access to the medicines they need, health outcomes improve, along with costs and pressure on our healthcare system.” 

Vermont Businesses for Social Responsibility (VBSR) Executive Director Chelsea Bardot Lewis said the program will help reduce costs for Vermont employers, employees, and their families. "VBSR has been a leader on healthcare advocacy in Vermont for over 20 years and we will continue to support policies which make healthcare more affordable for Vermont businesses, employees and communities. VBSR's businesses thank the Treasurer's office for leading on prescription drug affordability. We're proud of Vermont lawmakers for taking action to promote fair pricing on lifesaving drugs for working Vermonters this legislative session.” 

Pharmacists from across Vermont indicated the program would strengthen medication affordability while supporting the sustainability of local pharmacies.

Johnny Alexander, Pharmacy Director at Richford Health Center, said, “As Vermonters face rising costs and less stability with their health care, public programs like ArrayRx that are offered through a responsible state partner will provide security, health, and affordability to our most vulnerable populations, while minimizing negative revenue impacts to local pharmacies." 

About the Program: 

Under H.577, Vermont will join ArrayRx—a growing coalition of states pooling their purchasing power to unlock major discounts on prescription drugs. Vermonters, regardless of income or insurance status, will be able to sign up for a free ArrayRx pharmacy discount card offering up to 80% off generic drugs and up to 20% off name-brand medications.  

The ArrayRx discount card is accepted at most pharmacies nationwide and can be used for any FDA–approved medication. Expenses incurred using the discount card will count toward a patient’s deductible if they submit a claim to their insurer, which will help achieve even greater savings for Vermonters on their health care. 

In states like Connecticut that have joined ArrayRx, residents have saved an average of $259 per month using the discount card. Assuming a matching savings rate, if just 1% of Vermonters (about 6,840 people) enroll, patients could collectively save more than $20 million annually on their prescriptions.   

Treasurer Pieciak emphasized that while H.577 will provide meaningful relief on drug costs, broader reform is needed to fix Vermont’s broken health care system. 

"Every year, Vermonters are asked to pay more for health care—even as they wait longer for appointments, travel farther for services, and access becomes less certain in their communities. We cannot stop here. We must invest in solutions, short-term and long-term, that tackle the underlying drivers of rising health care costs and build a system that delivers affordable, accessible, high-quality care for all.” 

The ArrayRx pharmacy discount card will be administered through the Treasurer’s Office. Vermonters can sign up for updates as instructions for enrollment become available later this year. 

Montpelier, Vt. - Governor Phil Scott announced action on the following bills, passed by the General Assembly.

 

On June 15, Governor Scott signed bills of the following titles:

  • H.527, An act relating to extending the sunset of 30 V.S.A. § 248a
  • H.542, An act relating to testing of schools in Vermont for polychlorinated biphenyls
  • H.567, An act relating to unclaimed property, State retirement systems, and capital debt
  • H.577, An act relating to establishing the Vermont Prescription Drug Discount Card Program
  • H.583, An act relating to clinical decision making
  • H.606, An act relating to firearms relinquishment and storage procedures
  • H.639, An act relating to genetic data privacy
  • H.657, An act relating to various programming and requirements within the Department for Children and Families
  • H.921, An act relating to alcoholic beverages
  • H.957, An act relating to approval of amendments to the charter of the Town of Williston

 

To view a complete list of action on bills passed during the 2026 legislative session, click here.

 

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