A buried provision in Nevada's health services bill gives small employers a new way to cut pharmacy costs—without negotiating contracts themselves.
Most property management and real estate business owners don't realize they may now have access to Nevada's state-level prescription drug purchasing power—simply by opting in.
That's the practical effect of a provision buried in SB494, a bill focused on health and human services revisions. Tucked into Section 66 on page 77, the language creates a straightforward path for small employers and local government agencies that provide employee health coverage to use the Nevada Health Authority's bulk prescription drug purchasing agreements.
Until now, small and mid-sized employers negotiating pharmacy benefit costs were largely on their own. They either worked with brokers, accepted standard rates from major pharmacy benefit managers, or tried to negotiate directly with insurers—all resource-intensive options for a small business.
SB494 changes that equation. If your property management company or real estate firm provides health benefits to employees, you can now notify the Nevada Health Authority and gain access to the same prescription drug purchasing agreements the state uses. These agreements reflect bulk negotiating power that individual small employers typically cannot achieve alone.
The mechanism is simple: notification. You don't need to apply for approval, meet complex eligibility criteria, or sign lengthy contracts with the state. You notify the Nevada Health Authority, and you're in.
The provision applies to:
Small employers offering employee health coverage (the bill doesn't define a specific size threshold, so clarification with the Nevada Health Authority on your company's eligibility is prudent)
Local government agencies providing health benefits to employees
If your property management or real estate business falls into either category and you're currently managing pharmacy benefit costs through standard commercial channels, this is worth exploring.
Prescription drug costs are a significant driver of employer health plan expenses. For small and mid-sized firms, even modest percentage reductions in pharmacy benefit costs can meaningfully affect the bottom line and employee out-of-pocket expenses.
By accessing state-negotiated rates, you're leveraging agreements already in place—no contract negotiation required on your end. The Nevada Health Authority handles the heavy lifting; you handle the notification.
This doesn't replace your existing health plan or insurance broker relationship. Rather, it's an option to explore with your broker or benefits consultant to see whether the state's prescription drug purchasing agreements could reduce your current costs.
The provision became effective July 1, 2025. If you haven't already, now is the time to discuss this option with your benefits advisor or directly contact the Nevada Health Authority to understand the notification process and whether your firm qualifies.
The specifics of how to notify the Nevada Health Authority, which agreements are available, and how they integrate with your current coverage should be clarified directly with the authority or through your benefits consultant.
Source: Nevada SB494 (BDR 18-1116), Section 66, page 77, effective July 1, 2025.