Bill Text - SB591 (2018)

Relative to accreditation of health care providers by pharmacy benefit managers.


Revision: May 8, 2018, 2:37 p.m.

SB 591-FN - VERSION ADOPTED BY BOTH BODIES

 

02/22/2018   0653s

05/03/2018   1862EBA

 

2018 SESSION

18-2906

01/03

 

SENATE BILL 591-FN

 

AN ACT relative to accreditation of health care providers by pharmacy benefit managers.

 

SPONSORS: Sen. Soucy, Dist 18; Sen. Reagan, Dist 17; Rep. Rosenwald, Hills. 30; Rep. Keans, Straf. 23

 

COMMITTEE: Health and Human Services

 

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AMENDED ANALYSIS

 

This bill prohibits certain practices of pharmacy benefit managers except under certain circumstances until June 30, 2020.

 

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

02/22/2018   0653s

05/03/2018   1862EBA 18-2906

01/03

 

STATE OF NEW HAMPSHIRE

 

In the Year of Our Lord Two Thousand Eighteen

 

AN ACT relative to accreditation of health care providers by pharmacy benefit managers.

 

Be it Enacted by the Senate and House of Representatives in General Court convened:

 

1  New Subparagraph; Managed Care Law; Provider Contracts; Pharmacy Benefit Managers.  Amend RSA 420-J:8, XV by inserting after subparagraph (c) the following new subparagraph:

(d)  A pharmacy benefit manager shall not require accreditation of providers other than requirements set forth by the New Hampshire pharmacy board or other state or federal entity.

2  Repeal.  RSA 420-J:8, XV(d), relative to prohibiting pharmacy benefit managers to require providers to obtain certain accreditation, is repealed.

3  Contingency.  If HB 1746-FN of the 2018 regular legislative session becomes law, sections 1-2 of this act shall not take effect.  If HB 1746-FN of the regular legislative session does not become law, section 1 of this act shall take effect upon its passage and section 2 of this act shall take effect June 20, 2020.

4  Effective Date.  

I.  Sections 1 and 2  of this act shall take effect as provided in section 3 of this act.

II.  The remainder of this act shall take effect upon its passage.

 

LBAO

18-2906

Revised 1/24/18

 

SB 591-FN- FISCAL NOTE

AS INTRODUCED

 

AN ACT relative to accreditation of health care providers by pharmacy benefit managers.

 

FISCAL IMPACT:      [ X ] State              [    ] County               [    ] Local              [    ] None

 

 

 

Estimated Increase / (Decrease)

STATE:

FY 2019

FY 2020

FY 2021

FY 2022

   Appropriation

$0

$0

$0

$0

   Revenue

Indeterminable

Indeterminable

Indeterminable

Indeterminable

   Expenditures

Indeterminable

Indeterminable

Indeterminable

Indeterminable

Funding Source:

  [ X ] General            [    ] Education            [    ] Highway           [ X ] Other - Federal Medicaid matching funds.

 

 

 

 

 

COUNTY:

 

 

 

 

   Revenue

$0

$0

$0

$0

   Expenditures

Indeterminable

Indeterminable

Indeterminable

Indeterminable

 

 

 

 

 

LOCAL:

 

 

 

 

   Revenue

$0

$0

$0

$0

   Expenditures

Indeterminable

Indeterminable

Indeterminable

Indeterminable

 

METHODOLOGY:

This bill prohibits pharmacy benefit managers from requiring accreditation of providers other than by the NH Pharmacy Board or other state entity, except in the case of specialty pharmacies as defined by the bill.  The Insurance Department states it is unable to predict what impact, if any, the bill will have on insurance premiums, and hence the impact on insurance premium tax revenue is indeterminable.  The Department of Health and Human Services states that since the pharmacy benefit managers utilized by its fee-for-service program and contracted managed care organizations do not currently require accreditation of providers, the discretion provided by the bill with respect to specialty pharmacies might have the effect of increasing state Medicaid costs by an indeterminable amount.  The Department of Administrative Services notes that, since the State's employee and retiree health benefit plan contracts with a third-party prescription vendor, the State may be indirectly impacted by any costs the bill may impose on that vendor.  

 

The New Hampshire Municipal Association and New Hampshire Association of Counties state the bill will have no fiscal impact.

 

AGENCIES CONTACTED:

Insurance Department, Department of Health and Human Services, Department of Administrative Services, New Hampshire Association of Counties, and New Hampshire Municipal Association