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                                                      PRINTER'S NO. 1608

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 1187 Session of 1997


        INTRODUCED BY SERAFINI, GEIST, E. Z. TAYLOR, MELIO, TIGUE,
           YOUNGBLOOD, BOSCOLA, WASHINGTON AND DeLUCA, APRIL 29, 1997

        REFERRED TO COMMITTEE ON HEALTH AND HUMAN SERVICES,
           APRIL 29, 1997

                                     AN ACT

     1  Amending the act of June 13, 1967 (P.L.31, No.21), entitled "An
     2     act to consolidate, editorially revise, and codify the public
     3     welfare laws of the Commonwealth," providing for home
     4     intravenous drug therapy services.

     5     The General Assembly of the Commonwealth of Pennsylvania
     6  hereby enacts as follows:
     7     Section 1.  The act of June 13, 1967 (P.L.31, No.21), known
     8  as the Public Welfare Code, is amended by adding a section to
     9  read:
    10     Section 443.7.  Home Intravenous Drug Therapy Services.--(a)
    11  Reimbursement for home intravenous drug therapy services shall
    12  not exceed an amount equal to the lesser of the qualified
    13  provider's usual and customary charges for these services or the
    14  reimbursement schedule established under subsection (b) when
    15  determined medically necessary by the department. A
    16  reimbursement schedule established under this section shall be
    17  on a per diem basis. Service per diem rates shall include the
    18  following:


     1     (1)  Pharmacy sterile compounding fees.
     2     (2)  Intravenous pole, infusion pumps and pump cassettes.
     3     (3)  All required intravenous supplies, such as syringes,
     4  tubing and catheter-care kits.
     5     (4)  Any other related services necessary for home
     6  intravenous drug services.
     7     (b)  The department shall establish a reimbursement schedule
     8  for the following:
     9     (1)  Home intravenous antibiotics.
    10     (2)  Chemotherapy.
    11     (3)  Pain management.
    12     (4)  Total parenteral nutrition.
    13     (5)  Other home intravenous therapies.
    14     (c)  Reimbursement shall be the average wholesale cost of
    15  drug and solution plus a service per diem not exceeding the
    16  fortieth percentile of average daily medical assistance per diem
    17  to Commonwealth hospitals or the usual and customary
    18  reimbursement, whichever is lower.
    19     (d)  The referring physician prescribing the home intravenous
    20  therapy shall be reimbursed payment for certain clinical
    21  management services determined by the department. The schedule
    22  of physician fees for these services shall not exceed on a per
    23  diem basis the fortieth percentile of average reimbursement fees
    24  paid to physicians for Commonwealth hospital visits or the usual
    25  and customary reimbursement, whichever is lower.
    26     (e)  Except as provided in subsection (f), no payment for
    27  home intravenous drug therapy services shall be made to any
    28  qualified provider in which a physician or a physician's
    29  immediate family member has an ownership interest in the
    30  provider or in any situation where the physician receives
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     1  compensation from the provider to induce referrals. This section
     2  shall not be construed to apply to a referring physician whose
     3  only ownership or financial relationship with the provider is an
     4  uncompensated officer or director of the provider.
     5     (f)  Subsection (e) does not apply if:
     6     (1)  The ownership interest is the ownership of stock which
     7  is traded over a publicly regulated exchange and was purchased
     8  on terms generally available to the public.
     9     (2)  The compensation is reasonably related to items or
    10  services actually provided by the physician and does not vary in
    11  proportion to the number of referrals made by the referring
    12  physicians, but such exception does not apply to compensation
    13  provided for direct patient care services.
    14     (g)  No payment may be made under this act for home
    15  intravenous drug therapy service which is provided in violation
    16  of this act.
    17     (h)  No person or entity shall sell intravenous drugs in this
    18  Commonwealth or deliver the same into this Commonwealth through
    19  United States mail or a private carrier unless licensed by the
    20  State Board of Pharmacy.
    21     (i)  The provisions of this act shall not be deemed to grant
    22  the State Board of Pharmacy any authority to regulate the
    23  practice of nursing in this Commonwealth.
    24     (j)  As used in this section:
    25     "Home intravenous drug therapy services" means the items and
    26  services furnished to an individual who is under the care of a
    27  physician in a place of residence used as the individual's home,
    28  by a qualified home intravenous drug therapy provider and under
    29  a plan established and periodically reviewed by a physician. The
    30  term includes pharmacy and related services, including medical
    19970H1187B1608                  - 3 -

     1  supplies, intravenous fluids and equipment used in administering
     2  intravenous fluid, as are necessary to safely and effectively
     3  conduct an intravenously administered drug regimen.
     4     "Qualified provider" means any entity that the State Board of
     5  Pharmacy determines meets the following requirements:
     6     (1)  The entity is capable of providing home intravenous drug
     7  therapy services.
     8     (2)  The entity maintains clinical records on all patients.
     9     (3)  The entity adheres to the appropriate written protocols
    10  and policies with respect to the provision of items and
    11  services.
    12     (4)  The entity makes services available as needed seven days
    13  a week on a twenty-four-hour basis.
    14     (5)  The entity coordinates all services with the patient's
    15  physician.
    16     (6)  The entity conducts a quality assessment and assurance
    17  program, including drug regimen review and coordination of
    18  patient care.
    19     (7)  The entity is licensed by the State Board of Pharmacy.
    20     (8)  The entity provides sterile compounding of intravenous
    21  drugs in an atmosphere which contains less than one thousand
    22  particles five-tenths of a micron or larger in diameter per
    23  cubic foot of air and positive air flow. Clean air hoods must be
    24  certified at least annually.
    25     (9)  The entity performs stringent quality control
    26  procedures, including complete sterile compounding records of
    27  drug lot number, expiration date, quantity used and copy of the
    28  label attached to the final compounded product.
    29     (10)  The entity maintains patient records as to frequency of
    30  nursing visits, certificate of medical necessity from the
    19970H1187B1608                  - 4 -

     1  attending physician, progress reports on the patient and a
     2  patient care plan.
     3     (11)  The entity meets such other requirements the State
     4  Board of Pharmacy may determine are necessary to assure the safe
     5  and effective provision of home intravenous drug therapy
     6  services and the efficient administration of home intravenous
     7  drug therapy.
     8     "Referring physician" means, with respect to providing home
     9  intravenous drug therapy services to an individual, a physician
    10  who:
    11     (1)  Prescribed the home intravenous drug for which the
    12  services are to be provided.
    13     (2)  Established the plan of care for such services.
    14     Section 2.  All acts and parts of acts are repealed insofar
    15  as they are inconsistent with this act.
    16     Section 3.  This act shall take effect in 60 days.










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