PRIOR PRINTER'S NOS. 1044, 1816, 1836 PRINTER'S NO. 1889
No. 888 Session of 2003
INTRODUCED BY VANCE, EACHUS, KENNEY, WALKO, E. Z. TAYLOR, GRUCELA, ADOLPH, BARD, BALDWIN, BARRAR, BASTIAN, BROWNE, BUTKOVITZ, BUXTON, CAPPELLI, CASORIO, CORNELL, CORRIGAN, COSTA, DAILEY, DALLY, J. EVANS, FEESE, FLICK, FREEMAN, GABIG, GERGELY, GILLESPIE, GINGRICH, HARHAI, HARPER, HASAY, HENNESSEY, HERMAN, HERSHEY, HORSEY, JAMES, KELLER, KIRKLAND, LAUGHLIN, LEH, LEWIS, MACKERETH, MAHER, MARSICO, McCALL, McGILL, McNAUGHTON, MELIO, MICOZZIE, R. MILLER, S. MILLER, MUNDY, NAILOR, NICKOL, O'NEILL, PALLONE, PETRARCA, PETRI, PICKETT, PISTELLA, RAYMOND, READSHAW, ROBERTS, ROSS, RUBLEY, SAINATO, SAYLOR, SCAVELLO, SCHRODER, SEMMEL, SHANER, SOLOBAY, STEIL, R. STEVENSON, T. STEVENSON, J. TAYLOR, THOMAS, TIGUE, TRAVAGLIO, TURZAI, WANSACZ, WATSON, WEBER, WILT, WRIGHT, YOUNGBLOOD, YUDICHAK, ZUG AND FABRIZIO, MARCH 13, 2003
AS REPORTED FROM COMMITTEE ON HEALTH AND HUMAN SERVICES, HOUSE OF REPRESENTATIVES, AS AMENDED, JUNE 2, 2003
AN ACT 1 Providing for pharmaceutical assistance for the elderly, for 2 pharmaceutical purchasing, for limited prescription drug 3 redistribution within certain health care facilities, for <-- 4 pharmaceutical practices and cost control program and for the 5 Pharmaceutical Assistance Clearinghouse; imposing additional 6 powers and duties on the Department of Aging, the Department 7 of Health, the Department of Public Welfare and the Secretary 8 of Administration; and making repeals. 9 TABLE OF CONTENTS 10 Chapter 1. Preliminary Provisions 11 Section 101. Short title. 12 Chapter 3. Pharmaceutical Matters 13 Subchapter A. Pharmaceutical Assistance for the Elderly 14 Section 301. Legislative findings.
1 Section 302. Definitions. 2 Section 303. Determination of eligibility. 3 Section 304. Physician and pharmacy participation. 4 Section 305. Drug utilization review system. 5 Section 306. Reduced assistance. 6 Section 307. Rebates for expenses prohibited. 7 Section 308. Request for proposal. 8 Section 309. Program generally. <-- 9 Section 310. Generic drugs. 10 Section 311. Supply. 11 Section 312. Mail order system. 12 Section 313. Indication of price. 13 Section 314. Reimbursement. 14 Section 315. Nonliability. 15 Section 316. Income verification. 16 Section 317. Contract. 17 Section 318. The Pharmaceutical Assistance Contract for the 18 Elderly Needs Enhancement Tier. 19 Section 319. Board. 20 Section 320. Penalties. 21 Section 321. Prescription Drug Education Program. 22 Section 322. Outreach program. 23 Section 323. Accountability. 24 Subchapter B. Prudent Pharmaceutical Purchasing 25 Section 341. Definitions. 26 Section 342. Rebate agreement. 27 Section 343. Disposition of funds. 28 Subchapter C. Pharmacy Best Practices and Cost Control 29 Program 30 Section 361. Definitions. 20030H0888B1889 - 2 -
1 Section 362. Committee. 2 Section 363. Program. 3 Subchapter D. Pharmaceutical Assistance Clearinghouse 4 Section 371. Definitions. 5 Section 372. Pharmaceutical Assistance Clearinghouse. 6 Section 373. Toll-free telephone number. 7 Section 374. Assistance available. 8 Section 375. Reporting. 9 SECTION 309. DRUG UTILIZATION REVIEW AND THERAPEUTIC <-- 10 INTERCHANGE. 11 SECTION 310. PROGRAM GENERALLY. 12 SECTION 311. GENERIC DRUGS. 13 SECTION 312. SUPPLY. 14 SECTION 313. MAIL SERVICE PROGRAM. 15 SECTION 314. INDICATION OF PRICE. 16 SECTION 315. REIMBURSEMENT. 17 SECTION 316. NONLIABILITY. 18 SECTION 317. INCOME VERIFICATION. 19 SECTION 318. CONTRACT. 20 SECTION 319. THE PHARMACEUTICAL ASSISTANCE CONTRACT FOR THE 21 ELDERLY NEEDS ENHANCEMENT TIER. 22 SECTION 320. BOARD. 23 SECTION 321. PENALTIES. 24 SECTION 322. PRESCRIPTION DRUG EDUCATION PROGRAM. 25 SECTION 323. OUTREACH PROGRAM. 26 SUBCHAPTER B. PRUDENT PHARMACEUTICAL PURCHASING 27 SECTION 341. DEFINITIONS. 28 SECTION 342. REBATE AGREEMENT. 29 SECTION 343. DISPOSITION OF FUNDS. 30 SUBCHAPTER C. PHARMACEUTICAL ASSISTANCE CLEARINGHOUSE 20030H0888B1889 - 3 -
1 SECTION 361. DEFINITIONS. 2 SECTION 362. PHARMACEUTICAL ASSISTANCE CLEARINGHOUSE. 3 SECTION 363. TOLL-FREE TELEPHONE NUMBER. 4 SECTION 364. ASSISTANCE AVAILABLE. 5 SECTION 365. REPORTING. 6 Chapter 51. Miscellaneous Provisions 7 Section 5101. Federal programs. 8 Section 5102. Repeals. 9 Section 5103. Effective date. 10 The General Assembly of the Commonwealth of Pennsylvania 11 hereby enacts as follows: 12 CHAPTER 1 13 PRELIMINARY PROVISIONS 14 Section 101. Short title. 15 This act shall be known and may be cited as the 16 Pharmaceutical Reform Act. 17 CHAPTER 3 18 PHARMACEUTICAL MATTERS 19 SUBCHAPTER A 20 PHARMACEUTICAL ASSISTANCE FOR THE ELDERLY 21 Section 301. Legislative findings. 22 Finding that an increasing number of this Commonwealth's 23 elderly citizens who are living on fixed incomes are 24 experiencing difficulties in meeting the costs of life- 25 sustaining prescription drugs, the General Assembly, in its 26 responsibilities to provide for the health, welfare and safety 27 of the residents of this Commonwealth, hereby continues a 28 limited State pharmaceutical assistance program for the elderly. 29 Section 302. Definitions. 30 The following words and phrases when used in this subchapter 20030H0888B1889 - 4 -
1 shall have the meanings given to them in this section unless the 2 context clearly indicates otherwise: 3 "A-rated generic therapeutically equivalent drug." A drug 4 product that the Commissioner of Food and Drugs of the United 5 States Food and Drug Administration has approved as safe and 6 effective and has determined to be therapeutically equivalent, 7 as listed in "The Approved Drug Products with Therapeutic 8 Equivalence Evaluations" (Food and Drug Administration "Orange 9 Book"), with a specific "A" code designation only. 10 "Average wholesale cost." The cost of a dispensed drug based 11 upon the price published in a national drug pricing system in 12 current use by the Department of Aging as the average wholesale 13 price of a prescription drug in the most common package size. 14 "Average wholesale price." Average wholesale cost. 15 "Board." The Pharmaceutical Assistance Review Board. 16 "CMS." Center for Medicare and Medicaid Services. 17 "Department." The Department of Aging of the Commonwealth. 18 "Eligible claimant." A resident of this Commonwealth for no 19 less than 90 days, who is 65 years of age and older, whose 20 annual income is less than the maximum annual income and who is 21 not otherwise qualified for public assistance under the act of 22 June 13, 1967 (P.L.31, No.21), known as the Public Welfare Code. 23 "FDA." The United States Food and Drug Administration of the 24 Public Health Service of the Department of Health and Human 25 Services. 26 "Income." All income from whatever source derived, 27 including, but not limited to, salaries, wages, bonuses, 28 commissions, income from self-employment, alimony, support 29 money, cash public assistance and relief, the gross amount of 30 any pensions or annuities, including railroad retirement 20030H0888B1889 - 5 -
1 benefits, all benefits received under the Social Security Act 2 (49 Stat. 620, 42 U.S.C. § 301 et seq.) except Medicare 3 benefits, all benefits received under State unemployment 4 insurance laws and veterans' disability payments, all interest 5 received from the Federal Government or any state government or 6 any instrumentality or political subdivision thereof, realized 7 capital gains, rentals, workmen's compensation and the gross 8 amount of loss of time insurance benefits, life insurance 9 benefits and proceeds, except the first $5,000 of the total of 10 death benefits payments, and gifts of cash or property, other 11 than transfers by gift between members of a household, in excess 12 of a total value of $300, but does not include surplus food or 13 other relief in kind supplied by a government agency or property 14 tax rebate. 15 "Mail service program." A program set forth in section 312 <-- 16 313 to dispense prescription drugs by postal delivery service 17 designated and administered by the department and any entity 18 with which it contracts, upon an enrollee's submission of a 19 prescription and the applicable copayment. 20 "Maintenance drug." A prescription drug prescribed to an 21 individual for a chronic condition the use of which is medically 22 necessary for a consecutive period of at least 60 days. 23 "Maximum annual income." For PACE eligibility, annual income 24 which shall not exceed $14,000 $14,500 in the case of single <-- 25 persons nor $17,200 $17,700 in the case of the combined annual <-- 26 income of persons married to each other. Persons may, in 27 reporting income to the Department of Aging, round the amount of 28 each source of income and the income total to the nearest whole 29 dollar, whereby any amount which is less than 50¢ is eliminated. 30 "PACE." The Pharmaceutical Assistance Contract for the 20030H0888B1889 - 6 -
1 Elderly program provided for in this subchapter. 2 "PACENET." The Pharmaceutical Assistance Contract for the 3 Elderly Needs Enhancement Tier provided for in this subchapter. 4 "Pharmacy." A pharmacy licensed by the Commonwealth. 5 "Prescription drug." All drugs requiring a prescription in 6 this Commonwealth, insulin, insulin syringes and insulin 7 needles. Experimental drugs or drugs prescribed for wrinkle 8 removal or hair growth are prohibited. 9 "Private contractor." A person, partnership or corporate 10 entity that enters into a contract with the Commonwealth to 11 provide services under the provisions of this subchapter. 12 "Program." The Pharmaceutical Assistance Contract for the 13 Elderly (PACE) and the Pharmaceutical Assistance Contract for 14 the Elderly Needs Enhancement Tier (PACENET) as established by 15 this subchapter, unless otherwise specified. 16 "Provider." A pharmacy or dispensing physician enrolled as a 17 provider in the program. 18 Section 303. Determination of eligibility. 19 The department shall adopt regulations relating to the 20 determination of eligibility of prospective claimants and 21 providers, including dispensing physicians, and the 22 determination and elimination of program abuse. To this end, the 23 department shall establish a compliance unit staffed 24 sufficiently to fulfill this responsibility. The department 25 shall have the power to declare ineligible any claimant or 26 provider who abuses or misuses the established prescription 27 plan. The department shall have the power to investigate cases 28 of suspected provider or recipient fraud. 29 Section 304. Physician and pharmacy participation. 30 Any physician, pharmacist, pharmacy or corporation owned in 20030H0888B1889 - 7 -
1 whole or in part by a physician or pharmacist enrolled as a 2 provider in the program or that has prescribed medication for a 3 claimant in the program who is precluded or excluded for cause 4 from the Department of Public Welfare's medical assistance 5 program shall be precluded or excluded from participation in the 6 program. No physician precluded or excluded from the Department 7 of Public Welfare's medical assistance program shall have claims 8 resulting from prescriptions paid for by the program. 9 Section 305. Drug utilization review system. 10 The department shall ensure that a state-of-the-art 11 therapeutic drug utilization review system is established to 12 monitor and correct misutilization of drug therapies. 13 Section 306. Reduced assistance. 14 Any eligible claimant whose prescription drug costs are 15 covered in part by any other plan of assistance or insurance may 16 be required to receive reduced assistance under the provisions 17 of this subchapter. 18 Section 307. Rebates for expenses prohibited. 19 A system of rebates or reimbursements to the claimant for 20 prescription drugs shall be prohibited. 21 Section 308. Request for proposal. 22 (a) General.--The department shall prepare a request for 23 proposal for the purpose of providing pharmaceutical assistance 24 for the elderly within this Commonwealth. Upon the adoption of 25 the General Fund budget, the Department of Revenue shall be 26 authorized to transmit the appropriated funds in the State 27 Lottery Fund to the State Treasurer to be deposited in the 28 Pharmaceutical Assistance Contract for the Elderly Fund. This 29 fund shall consist of appropriations and interest and shall be 30 created by the State Treasurer to fund the operations of the 20030H0888B1889 - 8 -
1 program by the department and the private contractor. Funds not 2 expended in the fiscal year in which they were appropriated 3 shall not lapse and shall be available for use in the next 4 fiscal year. 5 (b) Additional requests.--To provide for the continued 6 operation of the program, the department shall prepare, as 7 needed, requests for proposals, in addition to that set forth in 8 subsection (a), for the purpose of providing pharmaceutical 9 assistance for the elderly within this Commonwealth. A request 10 for proposal shall require potential private contractors to 11 submit a proposal for a period of time and with monetary 12 limitations as determined by the department. Upon the enactment 13 of an appropriation from the State Lottery Fund, the Department 14 of Revenue shall be authorized to transmit the appropriated 15 amount to the State Treasurer to be deposited in the 16 Pharmaceutical Assistance Contract for the Elderly Fund. Funds 17 not expended in the fiscal year in which they were appropriated 18 shall not lapse and shall be available for use in the next 19 fiscal year. 20 SECTION 309. DRUG UTILIZATION REVIEW AND THERAPEUTIC <-- 21 INTERCHANGE. 22 (A) DRUG UTILIZATION REVIEW.--THE DEPARTMENT SHALL ENSURE 23 THAT A STATE-OF-THE-ART THERAPEUTIC DRUG UTILIZATION REVIEW 24 SYSTEM IS ESTABLISHED TO MONITOR AND CORRECT MISUTILIZATION OF 25 DRUG THERAPIES. 26 (B) THERAPEUTIC INTERCHANGE.--THE DEPARTMENT MAY DEVELOP A 27 THERAPEUTIC INTERCHANGE PROGRAM BASED ON NATIONAL MEDICAL 28 STANDARDS THAT ESTABLISH THERAPEUTICALLY EQUIVALENT DRUGS WHICH 29 PRODUCE IDENTICAL LEVELS OF CLINICAL EFFECTIVENESS AND OUTCOMES. 30 THE PROGRAM SHALL AUTHORIZE PHARMACY BENEFIT COVERAGE WHEN A 20030H0888B1889 - 9 -
1 PATIENT'S HEALTH CARE PROVIDER PRESCRIBES A PRESCRIPTION DRUG 2 NOT IN THE PROGRAM IF ANY OF THE FOLLOWING APPLY: 3 (1) THE PROGRAM DRUG: 4 (I) HAS NOT BEEN EFFECTIVE IN TREATING THE PATIENT'S 5 CONDITION; OR 6 (II) IS NOT EXPECTED WITH REASONABLE CERTAINTY TO BE 7 EFFECTIVE IN TREATING THE PATIENT'S CONDITION. 8 (2) THE PROGRAM DRUG CAUSES OR IS REASONABLY EXPECTED TO 9 CAUSE ADVERSE OR HARMFUL REACTIONS IN THE PATIENT. 10 (3) OTHER CLINICAL CRITERIA APPROVED BY THE DEPARTMENT 11 ARE COMPLIED WITH. 12 Section 309 310. Program generally. <-- 13 (a) Parameters of program.--The program shall include the 14 following: 15 (1) Participating pharmacies shall be paid within 21 16 days of the contracting firm receiving the appropriate 17 substantiation of the transaction. Pharmacies shall be 18 entitled to interest for payment not made within the 21-day 19 period at a rate approved by the board. 20 (2) Collection of the copayment by pharmacies shall be 21 mandatory. 22 (3) Senior citizens participating in the program are not 23 required to maintain records of each transaction. 24 (4) A system of rebates or reimbursements to eligible 25 claimants for pharmaceutical expenses shall be prohibited. 26 (5) There shall be the following copayments: <-- 27 (i) For generic drugs - $5. 28 (ii) For preferred drug list drugs - $10. 29 (iii) For drugs which are not on the preferred drug 30 list - $15. 20030H0888B1889 - 10 -
1 (5) THE COPAYMENT AMOUNT FOR GENERIC OR MULTI-SOURCE <-- 2 DRUGS SHALL BE LESS THAN THE COPAYMENT AMOUNT FOR SINGLE- 3 SOURCE DRUGS. 4 (6) Payments as follows: 5 (i) Except as provided in subparagraph (ii), to 6 pharmacies on behalf of eligible claimants for costs of 7 the prescription drug in excess of the copayment as 8 provided in subsections (b) and (c), plus a dispensing 9 fee of $3.50 or the dispensing fee established by the 10 department by regulation, whichever is greater. 11 (ii) For A-rated generic therapeutically equivalent 12 drugs, to pharmacies on behalf of eligible claimants for 13 the upper limits established under 42 CFR § 447.332 14 (relating to upper limits for multiple source drugs), 15 plus a dispensing fee of $4 or the dispensing fee 16 established by the department by regulations, whichever 17 is greater. 18 (7) In no case shall the Commonwealth or any person 19 enrolled in the program be charged more than the price of the 20 drug at the particular pharmacy on the date of the sale. 21 (b) Multiple-source drugs.--Except for brand name drugs that 22 are certified in accordance with subsection (d), the department 23 payment for multiple-source drugs must not exceed the amount 24 that would result from the application of the specific limits 25 established in accordance with subsection (e). If a specific 26 limit has not been established under subsection (e), then the 27 rule for "other drugs" set forth in subsection (c) applies. 28 (c) Other drugs.--The department payments for brand name 29 drugs certified in accordance with subsection (d) and drugs 30 other than multiple-source drugs for which a specific limit has 20030H0888B1889 - 11 -
1 been established under subsection (e) must not exceed in the 2 aggregate payment levels that the department has determined by 3 applying the lower of the: 4 (1) Estimated acquisition costs plus reasonable 5 dispensing fees established by the department. 6 (2) Providers' usual and customary charges to the 7 general public. 8 (d) Certification of brand-name drugs.-- 9 (1) The upper limit for payments for multiple-source 10 drugs for which a specific limit has been established under 11 subsection (e) does not apply if a physician certifies in his 12 or her own handwriting that a specific brand is medically 13 necessary for a particular recipient. 14 (2) The department must decide what certification form 15 and procedure are used. 16 (3) A checkoff box on a form is not acceptable but a 17 notation like "brand necessary" is allowable. 18 (4) The department may allow providers to keep the 19 certification forms if the forms will be available for 20 inspection by the department. 21 (e) Establishment and issuance of a listing of multiple- 22 source drugs.-- 23 (1) The department will use the CMS listings that 24 identify and set upper limits for multiple-source drugs that 25 meet the following requirements: 26 (i) All of the formulations of the drug approved by 27 the Food and Drug Administration (FDA) have been 28 evaluated as therapeutically equivalent in the most 29 current edition of their publication, Approved Drug 30 Products with Therapeutic Equivalence Evaluations, 20030H0888B1889 - 12 -
1 including supplements or in successor publications.
2 (ii) At least three suppliers list the drug, which
3 has been classified by the FDA as category "A" in its
4 publication, Approved Drug Products with Therapeutic
5 Equivalence Evaluations, including supplements or in
6 successor publications, based on all listings contained
7 in current editions, or updates, of published compendia
8 of cost information for drugs available for sale in this
9 Commonwealth.
10 (2) The department publishes the list of multiple-source
11 drugs for which upper limits have been established and any
12 revisions to the list in Medicaid program instructions.
13 (3) The department will identify the sources used in
14 compiling these lists.
15 Section 310 311. Generic drugs. <--
16 (a) General.--Notwithstanding any other statute or
17 regulation, if an A-rated generic therapeutically equivalent
18 drug is available for dispensing to a claimant, the provider
19 shall dispense the A-rated generic therapeutically equivalent
20 drug to the claimant. The department shall not reimburse
21 providers for brand name products except in the following
22 circumstances:
23 (1) There is no A-rated generic therapeutically
24 equivalent drug available on the market. This paragraph does
25 not apply to the lack of availability of an A-rated generic
26 therapeutically equivalent drug in the providing pharmacy
27 unless it can be shown to the department that the provider
28 made reasonable attempts to obtain the A-rated generic
29 therapeutically equivalent drug or that there was an
30 unforeseeable demand and depletion of the supply of the A-
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1 rated generic therapeutically equivalent drug. In either
2 case, the department shall reimburse the provider for 90% of
3 the average wholesale cost plus a dispensing fee based on the
4 least expensive A-rated generic therapeutically equivalent
5 drug for the brand drug dispensed.
6 (2) The Department of Health has determined that a drug
7 shall not be recognized as an A-rated generic therapeutically
8 equivalent drug for purpose of substitution under section
9 5(b) of the act of November 24, 1976 (P.L.1163, No.259),
10 referred to as the Generic Equivalent Drug Law.
11 (3) At the time of dispensing, the provider has a
12 prescription on which the brand name drug dispensed is billed
13 to the program by the provider at a usual and customary
14 charge which is equal to or less than the least expensive
15 usual and customary charge of any A-rated generic
16 therapeutically equivalent drug reasonably available on the
17 market to the provider.
18 (b) Copayment.--If a claimant chooses not to accept the A-
19 rated generic therapeutically equivalent drug required by
20 subsection (a), the claimant shall be liable for the copayment
21 and 70% of the average wholesale cost of the brand name drug.
22 (c) Substitution or construction.--The dispensing of an A-
23 rated generic therapeutically equivalent drug in accordance with
24 this subchapter shall not be deemed incorrect substitution under
25 section 6(a) of the Generic Equivalent Drug Law.
26 (d) Medical exception.--A medical exception process shall be
27 established by the department, which shall be published as a
28 notice in the Pennsylvania Bulletin and distributed to providers
29 and recipients in the program.
30 Section 311 312. Supply. <--
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1 (a) Requirement.--Except as set forth in subsection (b), 2 prescription benefits for any single prescription shall be 3 limited to a 30-day supply of the prescription drug or 100 4 units, whichever is less for acute conditions. 5 (b) Exceptions.-- 6 (1) In the case of diagnosis for acute conditions, 7 prescription benefits for any single prescription shall be 8 limited to a 15-day supply. 9 (2) Subsection (a) shall not apply to topical ointments 10 or gels which are not available in containers which meet the 11 size and supply restrictions set forth in subsection (a). 12 (c) Subsection (a) does not apply to contracts under section 13 312(c) 313(C). <-- 14 Section 312 313. Mail service program. <-- 15 (a) General rule.--The department shall encourage the use of 16 a mail service program for maintenance drugs for eligible 17 claimants. Only mail order pharmacy services provided by 18 pharmacies which are licensed by the Commonwealth and which have 19 their principal place of business within this Commonwealth may 20 participate as providers under the program. 21 (b) Minimum standards of practice.--The department shall 22 develop and promulgate specific regulations governing the 23 practice of mail order pharmacy and other enrolled providers to 24 include the following minimum standards of practice to ensure 25 the health, safety and welfare of program participants: 26 (1) The appropriate method by which pharmacies verify 27 the identity of the eligible claimant and the authenticity of 28 prescriptions received. 29 (2) The appropriate method by which pharmacies mail or 30 deliver prescription drugs ensuring, to the maximum extent 20030H0888B1889 - 15 -
1 possible, that the intended eligible claimant is the actual 2 ultimate recipient of any prescription dispensed. 3 (3) The appropriate method by which pharmacies 4 communicate with eligible claimants in emergency situations. 5 (c) Ninety-day supply.--The department shall negotiate mail 6 order contracts to provide a 90-day supply of drugs to eligible 7 claimants at a single copayment rate equal to a 30-day supply 8 for each order. 9 (d) Requirement.--Except as set forth in subsection (e), an <-- 10 (D) OPTION.--AN eligible claimant shall MAY use the mail <-- 11 service program if the eligible claimant: 12 (1) utilizes a maintenance drug DRUG DEEMED BY THE <-- 13 DEPARTMENT TO BE APPROPRIATE FOR MAIL ORDER SERVICE; 14 (2) has filled a prescription; and 15 (3) has refilled the prescription under paragraph (2) at 16 least once. 17 (e) Exception.--Subsection (d) shall not apply to an <-- 18 eligible claimant who submits to the department, in a form 19 acceptable to the department, a written statement asserting the 20 eligible claimant's right to fill prescriptions at the pharmacy 21 chosen by the eligible claimant. 22 (f) (E) Rebates.--A mail order contract must include a <-- 23 rebate from the prescription drug manufacturer. The rebate must 24 be at least as much as follows: 25 (1) For a brand-name drug, the sum of subparagraphs (i) 26 and (ii): 27 (i) A dispensing fee of at least $6. 28 (ii) The difference between: 29 (A) the average wholesale price; and 30 (B) 20% of that price. 20030H0888B1889 - 16 -
1 (2) For a generic drug, the sum of subparagraphs (i) and 2 (ii): 3 (i) A dispensing fee of at least $6. 4 (ii) The difference between: 5 (A) the average wholesale price; and 6 (B) 50% of that price. 7 (g) (F) Negotiated payments.--The department shall not <-- 8 discriminate against a pharmacy that agrees to accept negotiated 9 payment levels with the same terms and conditions and to adhere 10 to quality standards established by the PACE and PACENET 11 programs. 12 Section 313 314. Indication of price. <-- 13 The retail price of the prescription shall be indicated on 14 the label of the prescription container or furnished by separate 15 receipt. 16 Section 314 315. Reimbursement. <-- 17 (a) Indication.--The department shall indicate third-party 18 coverage for each eligible claimant. 19 (b) Result.--For-profit third-party insurers and not-for- 20 profit prescription plans shall be responsible for any payments 21 made to a providing pharmacy on behalf of a claimant covered by 22 such a third party. 23 Section 315 316. Nonliability. <-- 24 (a) General.--Any person rendering service as a member of a 25 utilization review committee for this program shall not be 26 liable for any civil damages as a result of any acts or 27 omissions in rendering the service as a member of any such 28 committee except any acts or omissions intentionally designed to 29 harm or any grossly negligent acts or omissions which result in 30 harm to the person receiving such service. 20030H0888B1889 - 17 -
1 (b) Department personnel.--Any officer or employee of the
2 department rendering service as a member of a utilization review
3 committee for this program shall not be liable for any civil
4 damages as a result of any acts or omissions in rendering the
5 service as a member of any such committee or as a result of any
6 decision or action in connection with the program except any
7 acts or omissions intentionally designed to harm or any grossly
8 negligent acts or omissions which result in harm to the person
9 receiving such service.
10 Section 316 317. Income verification. <--
11 (a) General.--The department shall annually verify the
12 income of eligible claimants by requiring income documentation
13 from the claimants. An application for benefits under this
14 subchapter shall constitute a waiver to the department of all
15 relevant confidentiality requirements relating to the claimant's
16 Pennsylvania State income tax information in the possession of
17 the Department of Revenue. The Department of Revenue shall
18 provide the department with the necessary income information
19 shown on the claimant's Pennsylvania State income tax return
20 solely for income verification purposes.
21 (b) Unlawful act.--It shall be unlawful for any officer,
22 agent or employee of the department to divulge or make known in
23 any manner whatsoever any information gained through access to
24 the Department of Revenue information except for official income
25 verification purposes under this subchapter.
26 (c) Penalty.--A person who violates this chapter commits a
27 misdemeanor and shall, upon conviction, be sentenced to pay a
28 fine of not more than $1,000 or to imprisonment for not more
29 than one year, or both, together with the cost of prosecution,
30 and, if the offender is an officer or employee of the
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1 Commonwealth, he shall be dismissed from office or discharged 2 from employment. 3 (d) Coordination of effort.--To the extent possible, the 4 department and the Department of Public Welfare shall coordinate 5 efforts to facilitate the application and enrollment of eligible 6 older people in the Medicaid Healthy Horizons Program by 7 processing these applications at senior citizens centers and 8 other appropriate facilities providing services to the elderly. 9 Section 317 318. Contract. <-- 10 The department is authorized to enter into a contract 11 providing for prescription drugs to eligible persons pursuant to 12 this subchapter. The department shall select a proposal that 13 includes, but is not limited to, the criteria set forth in this 14 subchapter. 15 Section 318 319. The Pharmaceutical Assistance Contract for the <-- 16 Elderly Needs Enhancement Tier. 17 (a) Establishment.--There is hereby established within the 18 department a program to be known as the Pharmaceutical 19 Assistance Contract for the Elderly Needs Enhancement Tier 20 (PACENET). 21 (b) Eligibility.--A claimant with an annual income of not 22 less than $17,000 $14,500 and not more than $20,000 $22,450 in <-- 23 the case of a single person and of not less than $20,001 $17,770 <-- 24 and not more than $23,200 $30,300 in the case of the combined <-- 25 income of persons married to each other shall be eligible for 26 enhanced pharmaceutical assistance under this section. A person 27 may, in reporting income to the department, round the amount of 28 each source of income and the income total to the nearest whole 29 dollar, whereby any amount which is less than 50¢ is eliminated. 30 (c) Requirements.--Upon enrollment in PACENET, eligible 20030H0888B1889 - 19 -
1 claimants in the income ranges set forth in subsection (b) shall 2 be required to meet a monthly deductible in unreimbursed 3 prescription drug expenses of $40 per person per month. To 4 qualify for the deductible set forth in this subsection the 5 prescription drug must be purchased for the use of the eligible 6 claimant from a provider as defined in this subchapter. The 7 department, after consultation with the board, may SHALL approve <-- 8 an adjustment in the deductible on an annual basis. 9 (d) Copayments.--The following are the copayments: <-- 10 (1) For generic drugs - $6. 11 (2) For preferred drug list drugs - $12. 12 (3) For drugs which are not on the preferred drug list - 13 $18. 14 (D) COPAYMENT.--THE COPAYMENT AMOUNT FOR GENERIC OR MULTI- <-- 15 SOURCE DRUGS SHALL BE LESS THAN THE COPAYMENT AMOUNT FOR SINGLE- 16 SOURCE DRUGS. 17 Section 319 320. Board. <-- 18 (a) General.--The Pharmaceutical Assistance Review Board is 19 continued to ensure that the program is providing and continues 20 to provide the assistance intended in a fiscally responsible 21 manner without excessively hampering the pharmacy industry. 22 (b) Membership.--The board shall be comprised of the 23 following eight persons: 24 (1) The Secretary of Aging, who shall serve as its 25 chairman. 26 (2) The Secretary of Revenue. 27 (3) The Secretary of Health. 28 (4) Five public members, one appointed by the President 29 pro tempore of the Senate, one appointed by the Minority 30 Leader of the Senate, one appointed by the Speaker of the 20030H0888B1889 - 20 -
1 House of Representatives, one appointed by the Minority
2 Leader of the House of Representatives and one appointed by
3 the Governor. Those appointed by the legislative officers
4 shall include two senior citizens who have not been a part of
5 the pharmacy industry to serve as consumer advocates, one
6 representative of the pharmacy industry and one practicing
7 Pennsylvania pharmacist. The individual appointed by the
8 Governor must be a physician. A public member who misses two
9 consecutive meetings without good cause acceptable to the
10 chairman shall be replaced by the appointing authority.
11 (c) Annual review.--Using the annual report submitted by the
12 department pursuant to section 2102 of the act of August 26,
13 1971 (P.L.351, No.91), known as the State Lottery Law, and other
14 appropriate data sources, the board shall conduct an annual
15 review. The board shall develop recommendations concerning any
16 changes in the level of copayment, deductible or in the level of
17 fees paid to participating pharmacists. The board shall review
18 the department's therapeutic drug utilization review program on
19 an ongoing basis. The board may also recommend other changes in
20 the structure of the program and direct the department to enter
21 into discussions with the private contractor concerning
22 amendments to the contract, or the department may enter into
23 such discussion if it deems necessary. The copayment or
24 deductible schedule shall only be adjusted on an annual basis.
25 (d) Meetings.--The board shall meet at least two times per
26 year.
27 Section 320 321. Penalties. <--
28 (a) General.--It shall be unlawful for any person to:
29 (1) Submit a false or fraudulent claim or application
30 under this subchapter, including, but not limited to:
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1 (i) aiding or abetting another in the submission of 2 a false or fraudulent claim or application; 3 (ii) receiving benefits or reimbursement under a 4 Federal, state or a private program for prescription 5 assistance and claiming or receiving duplicative benefits 6 hereunder; 7 (iii) soliciting, receiving, offering or paying any 8 kickback, bribe or rebate, in cash or in kind, from or to 9 any person in connection with the furnishing of services 10 under this subchapter; 11 (iv) engaging in a pattern of submitting claims that 12 repeatedly uses incorrect National Drug Code numbers for 13 the purpose of obtaining wrongful enhanced reimbursement; 14 or 15 (v) otherwise violating any provision of this 16 subchapter. 17 (2) Charge a copay if the amount of the copay exceeds 18 the actual cost of the drug purchased. 19 (b) Civil penalty.--In addition to any appropriate criminal 20 penalty for prohibited acts under this subchapter whether or not 21 that act constitutes a crime under 18 Pa.C.S. (relating to 22 crimes and offenses), a provider who violates this section may 23 be liable for a civil penalty, which shall be collected by the 24 department, in an amount not less than $500 and not more than 25 $10,000 for each violation of this chapter. Each violation 26 constitutes a separate offense. If the department collects three 27 or more civil penalties against the same provider, the provider 28 shall be ineligible to participate in either PACE or PACENET for 29 a period of one year. If more than three civil penalties are 30 collected from any provider, the department may determine that 20030H0888B1889 - 22 -
1 the provider is permanently ineligible to participate in PACE or
2 PACENET.
3 (c) Suspension.--The license of any provider who has been
4 found guilty under this subchapter shall be suspended for a
5 period of one year. The license of any provider who has
6 committed three or more violations of this subchapter may be
7 suspended for a period of one year.
8 (d) Reparation.--Any provider, recipient or other person who
9 is found guilty of a crime for violating this subchapter shall
10 repay three times the value of the material gain received. In
11 addition to the civil penalty authorized pursuant to subsection
12 (b), the department may require the provider, recipient or other
13 person to repay up to three times the value of any material gain
14 to PACE or PACENET.
15 Section 321 322. Prescription Drug Education Program. <--
16 The department, in cooperation with the Department of Health,
17 shall develop and implement a Statewide prescription drug
18 education program designed to inform older adults of the dangers
19 of prescription drug abuse and misuse. The prescription dug
20 education program shall include, but not be limited to,
21 information concerning the following:
22 (1) The hazards of prescription drug overdose.
23 (2) The potential dangers of mixing prescription drugs.
24 (3) The danger of retaining unused prescription drugs
25 after the need to take them no longer exists.
26 (4) The necessity to carefully question physicians and
27 pharmacists concerning the effects of taking prescription
28 drugs.
29 (5) The advisability of maintaining a prescription drug
30 profile or other record of prescription drug dosage and
20030H0888B1889 - 23 -
1 frequency of dosage. 2 (6) The desirability of advising family members of the 3 types and proper dosage of prescription drugs which are being 4 taken. 5 (7) The dangers of taking prescription drugs in excess 6 of prescribed dosages. 7 (8) The need to obtain complete, detailed directions 8 from the physician or pharmacist concerning the time period a 9 prescription drug should be taken. 10 Section 322 323. Outreach program. <-- 11 The department, in consultation with appropriate Commonwealth 12 agencies, shall coordinate the development of an outreach plan 13 to inform potential contractors, providers and enrollees 14 regarding eligibility and available benefits of the PACE and 15 PACENET programs. The plan shall include provisions for reaching 16 special populations, including nonwhite and non-English-speaking 17 people; for reaching different geographic areas, including rural 18 and inner-city areas; and for assuring that special efforts are 19 coordinated within the overall outreach activities throughout 20 this Commonwealth. 21 Section 323. Accountability. <-- 22 (a) Audits.--The PACE and PACENET programs shall be subject 23 to an audit by an independent entity at least once each fiscal 24 year. This subsection shall include fiscal audits, provider 25 claims audits, benefits manager administration audits and 26 manufacturer's rebate audits. 27 (b) Conduct of audit.--The audit shall be conducted in 28 accordance with generally accepted auditing standards as 29 prescribed by the American Institute of Certified Public 30 Accountants, the Governmental Accounting Standards Board, the 20030H0888B1889 - 24 -
1 United States General Accounting Office or other professionally 2 recognized entities that prescribe auditing standards. 3 (c) Access.--The auditor shall be entitled to have access to 4 all of the books, accounts, confidential or nonconfidential 5 reports, vouchers or other records of information in the 6 department and its contractors including access to all 7 electronic data. The auditor shall have access to copyrighted or 8 restricted information obtained by the department and its 9 contractors under subscription agreements and utilized in the 10 preparation of economic estimates only for audit purposes. 11 (d) Purpose and report.--The audit shall determine the 12 following: 13 (1) Whether the records, books and accounts of the 14 department and its contractors accurately reflect the 15 financial and fiscal operations. 16 (2) Whether effective accounting control over revenues, 17 obligations, expenditures, assets and liabilities is 18 maintained. 19 (3) Whether the department and its contractors have 20 obligated, expended, received and used State funds in 21 accordance with the purpose for which those funds have been 22 appropriated. 23 (4) Whether the records, books and accounts of the 24 department and its contractors fairly and accurately reflect 25 the financial and fiscal operations relating to the 26 obligation receipt, expenditure and use of State funds. 27 (5) Whether the department and its contractors are 28 managing and utilizing resources, personnel, property, 29 equipment and space in an economical and efficient manner 30 including causes of inefficiencies or uneconomical practices, 20030H0888B1889 - 25 -
1 inadequacies in management information systems, internal and 2 administrative procedures, organizational structure, use of 3 resources, allocation of personnel, purchasing policies and 4 equipment. 5 (6) Whether financial, program and statistical reports 6 of the department and its contractors contain useful data and 7 are fairly presented. 8 (7) Whether the objectives and intended benefits are 9 being achieved efficiently and effectively. 10 (8) Whether the programs are being performed and 11 administered as authorized and required by law. 12 (9) Whether the benefits manager and pharmacy providers 13 are accurately transmitting and billing PACE and PACENET 14 prescription claims. 15 (e) Report.--The auditor shall submit an annual report of 16 its findings, conclusions and recommendations to the department 17 and its contractors and to the Aging and Youth Committee, the 18 Appropriations Committee and the Public Health and Welfare 19 Committee of the Senate and the Aging and Older Adult Services 20 Committee, the Appropriations Committee and the Health and Human 21 Services Committee of the House of Representatives. 22 (f) Response.--The Department of Aging shall respond to the 23 audit report within 30 days of its release. 24 (g) Contract.--The department shall contract for the audit 25 as follows: 26 (1) The auditor shall earn a basic fee not to exceed 27 $200,000. This fee shall be credited to the department if the 28 auditor is compensated under paragraph (2) in the amount of 29 at least $600,000. 30 (2) The auditor shall earn 30% of the funds collected by 20030H0888B1889 - 26 -
1 the department as a result of the audit. 2 SUBCHAPTER B 3 PRUDENT PHARMACEUTICAL PURCHASING 4 Section 341. Definitions. 5 The following words and phrases when used in this subchapter 6 shall have the meanings given to them in this section unless the 7 context clearly indicates otherwise: 8 "Covered prescription drug." A legend drug, insulin, an 9 insulin syringe or an insulin needle eligible for payment by the 10 Commonwealth under PACE, PACENET or designated pharmaceutical 11 programs. 12 "Designated pharmaceutical programs." The general assistance 13 program and the Special Pharmaceutical Benefit Program in the 14 Department of Public Welfare and the End Stage Renal Dialysis 15 Program in the Department of Health. 16 "PACE." The program under Subchapter A. 17 "PACENET." The program established under section 318 319. <-- 18 Section 342. Rebate agreement. 19 PACE, PACENET and designated pharmaceutical programs shall 20 reimburse for any covered prescription drug with a rebate 21 agreement drafted on the same basis as provided in section 1927 22 of Title XIX of the Social Security Act (49 Stat. 620, 42 U.S.C. 23 § 1396 r-8). 24 Section 343. Disposition of funds. 25 (a) PACE and PACENET.--Money received under this subchapter 26 in connection with PACE and PACENET shall be deposited in the 27 Pharmaceutical Assistance Contract for the Elderly Fund. 28 (b) Pharmaceutical programs.--Money received under this 29 subchapter in connection with designated pharmaceutical programs 30 shall be treated as a refund of expenditures to the 20030H0888B1889 - 27 -
1 appropriation which originally provided the funding for the 2 pharmaceutical purchase. 3 SUBCHAPTER C <-- 4 PHARMACY BEST PRACTICES AND COST CONTROL PROGRAM 5 Section 361. Definitions. 6 The following words and phrases when used in this subchapter 7 shall have the meanings given to them in this section unless the 8 context clearly indicates otherwise: 9 "Committee." The Pharmacy Best Practices and Cost Control 10 Advisory Committee established in section 362. 11 "Department." The Department of Aging of the Commonwealth. 12 "Program." The Pharmacy Best Practices and Cost Control 13 Program established in section 363. 14 "Secretary." The Secretary of Aging of the Commonwealth. 15 § 362. Advisory committee. 16 (a) Establishment.--The Pharmacy Best Practices and Cost 17 Control Advisory Committee is established in the department. 18 (b) Members.--The committee is comprised of the following: 19 (1) The secretary or a designee, who shall serve as 20 chairperson. 21 (2) Four members appointed by the Governor. Members 22 under this paragraph must possess expertise in medicine or 23 pharmacy. 24 (3) One member appointed by the President pro tempore of 25 the Senate and one member appointed by the Minority Leader of 26 the Senate. 27 (4) One member appointed by the Speaker of the House of 28 Representatives and one member appointed by the Minority 29 Leader of the House of Representatives. 30 (c) Terms.--Terms are as follows: 20030H0888B1889 - 28 -
1 (1) The secretary shall serve ex officio. 2 (2) A member under subsection (b)(2) shall serve a term 3 of six years. 4 (3) A member under subsection (b)(3) shall serve a term 5 of four years but may be removed at the pleasure of the 6 appointing authority. 7 (4) A member under subsection (b)(4) shall serve a term 8 of two years but may be removed at the pleasure of the 9 appointing authority. 10 (5) An appointment to fill a vacancy shall be for the 11 period of the unexpired term or until a successor is 12 appointed and qualified. 13 (d) Quorum.--A majority of the members of the committee 14 constitutes a quorum. 15 (e) Compensation.--Members shall receive no payment for 16 their services. Members who are not employees of State 17 government shall be reimbursed for necessary and reasonable 18 expenses incurred in the course of their official duties. 19 Section 363. Program. 20 (a) Establishment.--The secretary shall establish a Pharmacy 21 Best Practices and Cost Control Program for PACE and PACENET 22 enrollees designed to reduce the cost of providing prescription 23 drugs, while maintaining high quality in prescription drug 24 therapies. The program shall be implemented consistent with 25 section 1927 of the Social Security Act (49 Stat. 620, 42 U.S.C. 26 § 1396r-8). The program shall include all of the following: 27 (1) A preferred list of covered prescription drugs which 28 identifies preferred choices within selected therapeutic 29 classes for particular diseases and conditions, including 30 generic alternatives. Therapeutic classes and drugs to be 20030H0888B1889 - 29 -
1 preferred in the classes shall be selected by the department 2 upon recommendations by the committee. 3 (2) Utilization review procedures, including a prior 4 authorization review process which meets the requirements of 5 section 1927(d)(5) of the Social Security Act (42 U.S.C. § 6 1396r-8(d)(5)). 7 (3) A supplemental rebate program or any other strategy 8 designed to negotiate with pharmaceutical manufacturers to 9 lower the cost of prescription drugs for the department's 10 Medicaid program. 11 (4) Education programs, including a counterdetailing 12 program, designed to provide information and education on the 13 therapeutic and cost-effective utilization of prescription 14 drugs to physicians, pharmacists and other health care 15 professionals authorized to prescribe and dispense 16 prescription drugs. 17 (5) Any other cost containment activity adopted by the 18 department which is designed to reduce the cost of providing 19 prescription drugs while maintaining high quality in 20 prescription drug therapies. 21 (b) Pooling.--The secretary shall evaluate the benefits of 22 participating, but is not required to participate, in joint 23 prescription drug purchasing agreements or pooling arrangements 24 with other states. Such actions shall include: 25 (1) The execution of any lawful joint purchasing or 26 pooling agreements with other participating states which the 27 secretary determines will lower the Medicaid cost of 28 prescription drugs while maintaining high quality in 29 prescription drug therapies. 30 (2) Renegotiation and amendment of existing contracts to 20030H0888B1889 - 30 -
1 which the department is a party if renegotiation and 2 amendment will be of economic benefit to the department. 3 (c) Reports.--The secretary shall report quarterly to the 4 committee on the department's progress in securing participation 5 in joint purchasing or pooling agreements. 6 (d) Authorized coverage.--The program shall authorize 7 pharmacy benefit coverage when a patient's health care provider 8 prescribes a prescription drug not on the preferred drug list or 9 a prescription drug which is not the list's preferred choice 10 under the same terms as coverage for preferred choice drugs if 11 any of the following apply: 12 (1) The preferred choice has not been effective or, with 13 reasonable certainty, is not expected to be effective in 14 treating the patient's condition. 15 (2) The preferred choice causes or is reasonably 16 expected to cause adverse or harmful reactions in the 17 patient. 18 (3) Other clinical criteria recommended by the committee 19 and approved by the department is complied with. 20 (4) If the prescriber does not wish substitution to take 21 place, the prescriber shall write "brand necessary" or "no 22 substitution" in the prescriber's own handwriting on the 23 prescription blank, together with a written statement that 24 the generic or therapeutic equivalent has not been effective, 25 or with reasonable certainty is not expected to be effective, 26 in treating the patient's medical condition or causes or is 27 reasonably expected to cause adverse or harmful reactions in 28 the patient. In the case of an unwritten prescription, there 29 shall be no substitution if the prescriber expressly 30 indicates to the pharmacist that the brand name drug is 20030H0888B1889 - 31 -
1 necessary and substitution is not allowed because the generic 2 or therapeutic equivalent has not been effective, or with 3 reasonable certainty is not expected to be effective, in 4 treating the patient's medical condition or causes or is 5 reasonably expected to cause adverse or harmful reactions in 6 the patient. 7 (e) Exclusions.--The department, with recommendations from 8 the committee, shall determine diseases and therapeutic classes 9 relating to treatment for diseases excluded from the program as 10 to Medicaid enrollees already taking specified drugs at the time 11 the program is implemented. 12 (f) Response.--The program's prescriber-indicated prior 13 authorization process shall ensure that there will be a response 14 to a request for prior authorization by telephone or other 15 telecommunication device within 24 hours after receipt of the 16 request for prior authorization and that a 72-hour supply of the 17 drug prescribed will be provided in an emergency or when the 18 program does not provide a response within 24 hours. The prior 19 authorization process shall be designed to minimize 20 administrative burdens on prescribers, pharmacists and 21 consumers. 22 (g) Procedure.--The program shall establish procedures for 23 the timely review of prescription drugs newly approved by the 24 Food and Drug Administration, including procedures for the 25 review of newly approved prescription drugs in emergency 26 circumstances. 27 (h) Reports.--The department shall submit annual reports on 28 the programs under subsection (a) and (b) to the Aging and Youth 29 Committee, the Appropriations Committee and the Public Health 30 and Welfare Committee of the Senate and the Aging and Older 20030H0888B1889 - 32 -
1 Adult Services Committee, the Appropriations Committee and the 2 Health and Human Services Committee of the House of 3 Representatives. The reports shall include classes of drugs, 4 exceptions, cost effectiveness, movement of market share and 5 increased utilization of generic drugs. 6 SUBCHAPTER D C <-- 7 PHARMACEUTICAL ASSISTANCE CLEARINGHOUSE 8 Section 371 361. Definitions. <-- 9 The following words and phrases when used in this subchapter 10 shall have the meanings given to them in this section unless the 11 context clearly indicates otherwise: 12 "Clearinghouse." The Pharmaceutical Assistance Clearinghouse 13 established in section 372 362. <-- 14 "Department." The Department of Aging of the Commonwealth. 15 "Patient assistance program." A program offered by a 16 pharmaceutical manufacturer under which the manufacturer 17 provides prescription medications at no charge or at a 18 substantially reduced cost. The term does not include the 19 provision of a drug as part of a clinical trial. 20 Section 372 362. Pharmaceutical Assistance Clearinghouse. <-- 21 (a) Establishment.--Within 120 days of the effective date of 22 this subchapter, the department shall establish the 23 Pharmaceutical Assistance Clearinghouse. Each pharmaceutical 24 manufacturer that does business in this Commonwealth and offers 25 a patient assistance program shall inform the department of all 26 of the following: 27 (1) The existence of the patient assistance program. 28 (2) The eligibility requirements for the patient 29 assistance program. 30 (3) The drugs covered by the patient assistance program. 20030H0888B1889 - 33 -
1 (4) Information, such as a telephone number, which may 2 be used to apply for the patient assistance program. 3 (b) Information.--The clearinghouse shall maintain the 4 information submitted by pharmaceutical manufacturers and make 5 it available to the public. 6 (c) Staff.--The department shall ensure that the 7 clearinghouse is staffed at least during normal business hours. 8 The department shall contract for the services of a school of 9 pharmacy to staff the clearinghouse. 10 Section 373 363. Toll-free telephone number. <-- 11 The department shall establish a toll-free telephone number 12 through which the members of the public may obtain information 13 from the clearinghouse about available patient assistance 14 programs. 15 Section 374 364. Assistance available. <-- 16 (a) Direct.-- 17 (1) The clearinghouse shall assist any individual in 18 determining whether a patient assistance program is offered 19 for a particular drug and whether the individual may be 20 eligible to obtain the drug through a patient assistance 21 program. 22 (2) The clearinghouse may assist an individual who 23 wishes to apply for a patient assistance program by assisting 24 with the preparation of an application and coordinating 25 communications between the individual's physician and a 26 pharmaceutical manufacturer on behalf of the individual for 27 the purpose of obtaining approval to participate in the 28 patient assistance program. 29 (b) Referrals.--The clearinghouse shall make referrals to 30 any publicly funded program for which it deems a patient 20030H0888B1889 - 34 -
1 eligible. 2 Section 375 365. Reporting. <-- 3 The department shall report annually to the Governor and the 4 General Assembly on the activities of the clearinghouse. The 5 report shall include: 6 (1) The number of individuals who have been assisted by 7 the clearinghouse. 8 (2) The number and benefits of patient assistance 9 programs listed with the clearinghouse. 10 (3) The number of patients referred to publicly funded 11 programs under section 374(b) 364(B). Programs under this <-- 12 paragraph include the Pharmaceutical Assistance Contract for 13 the Elderly Program, medical assistance and programs of the 14 Department of Veterans Affairs. 15 (4) Other information deemed relevant by the department. 16 CHAPTER 51 17 MISCELLANEOUS PROVISIONS 18 Section 5101. Federal programs. 19 If the Federal Government enacts programs similar to PACE or 20 PACENET, the State programs shall be construed to only 21 supplement the Federal programs and all persons qualified for 22 coverage under the Federal program shall utilize that Federal 23 program before utilizing any State program. 24 Section 5102. Repeals. 25 (a) Specific.--Chapters 5 and 7 of the act of August 26, 26 1971 (P.L.351, No.91), known as the State Lottery Law, are 27 repealed. 28 (b) General.--All other acts and parts of acts are repealed 29 insofar as they are inconsistent with this act. 30 Section 5103. Effective date. 20030H0888B1889 - 35 -
1 This act shall take effect immediately. E14L67VDL/20030H0888B1889 - 36 -