PRINTER'S NO. 1608
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 19970H1187B1608 - 2 -
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. B7L67DMS/19970H1187B1608 - 5 -