PRINTER'S NO. 4106

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 2938 Session of 1996


        INTRODUCED BY SAYLOR, GRUPPO, SHEEHAN, HARHART, FAIRCHILD,
           PLATTS, HERSHEY, GEORGE, CORRIGAN, HABAY, RUBLEY, HASTE,
           PETTIT, FARGO, MERRY, BATTISTO, JADLOWIEC, HERMAN,
           DiGIROLAMO, FARMER, TRELLO, LYNCH, MILLER, E. Z. TAYLOR,
           SAINATO, HENNESSEY, LaGROTTA, TULLI, FLICK, DONATUCCI,
           ADOLPH, J. TAYLOR AND D. W. SNYDER, OCTOBER 2, 1996

        REFERRED TO COMMITTEE ON AGING AND YOUTH, OCTOBER 2, 1996

                                     AN ACT

     1  Amending the act of August 14, 1991 (P.L.342, No.36), entitled
     2     "An act providing for the preservation of the State Lottery
     3     Fund; further providing for pharmaceutical assistance for the
     4     elderly; further providing for transportation assistance to
     5     the elderly; providing for pharmaceutical purchasing;
     6     conferring powers and duties upon the Department of Aging,
     7     the Department of Revenue and the Department of
     8     Transportation; imposing penalties; and making repeals,"
     9     further defining "maximum annual income"; and establishing
    10     the PACENET program.

    11     The General Assembly of the Commonwealth of Pennsylvania
    12  hereby enacts as follows:
    13     Section 1.  The definition of "maximum annual income" in
    14  section 302 of the act of August 14, 1991 (P.L.342, No.36),
    15  known as the Lottery Fund Preservation Act, is amended to read:
    16  Section 302.  Definitions.
    17     The following words and phrases when used in this chapter
    18  shall have the meanings given to them in this section unless the
    19  context clearly indicates otherwise:
    20     * * *

     1     "Maximum annual income."  Annual income as determined by the
     2  department[.
     3         (1)  Except as provided in paragraph (2), such amount
     4     shall not exceed $13,000 in the case of single persons nor
     5     $16,200 in the case of the combined annual income of married
     6     persons.
     7         (2)  If this chapter takes effect before September 1,
     8     1991, the following shall apply:
     9             (i)  Before September 1, 1991, such amount shall not
    10         exceed $12,000 in the case of single persons nor $15,000
    11         in the case of the combined annual income of married
    12         persons.
    13             (ii)  After August 31, 1991, such amount shall not
    14         exceed $13,000 in the case of single persons nor $16,200
    15         in the case of the combined annual income of married
    16         persons.] , such amount not to exceed $14,000 in the case
    17         of single persons nor $17,200 in the case of the combined
    18         annual income of married persons.
    19     * * *
    20     Section 2.  Section 303(h)(5) of the act, amended December 9,
    21  1992 (P.L.792, No.128), is amended and the section is amended by
    22  adding a subsection to read:
    23  Section 303.  Responsibilities of department.
    24     * * *
    25     (h)  Program criteria.--The program shall include the
    26  following criteria:
    27         * * *
    28         (5)  The system established shall include a participant
    29     copayment schedule of [$4] $6 for each prescription. The
    30     copayment shall increase or decrease on the annual basis by
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     1     the average percent change of ingredient costs for all
     2     prescription drugs plus a differential to raise the copayment
     3     to the next highest 25¢ increment. In addition, the
     4     department may approve a request for increase or decrease in
     5     the level of copayment based upon the financial experience
     6     and projections of the program and after consultation with
     7     the board. The department is prohibited from approving
     8     adjustments to the copayment on more than a semiannual basis.
     9         * * *
    10     (k)  PACENET.--The department shall establish a program to be
    11  known as PACENET to aid those persons who do not qualify for
    12  benefits under the traditional PACE program. The program shall
    13  include the following criteria:
    14         (1)  Eligible claimants shall have an annual income of
    15     not less than $14,000 and not more than $16,000 in the case
    16     of single persons and not less than $17,000 and not more than
    17     $19,200 in the case of the combined income of persons married
    18     to each other.
    19         (2)  Upon enrollment, claimants shall meet an annual
    20     deductible in unreimbursed prescription drug expenses of $500
    21     per individual. To qualify for the deductible set forth in
    22     this subsection, the prescription drug must be purchased for
    23     the use of the eligible claimant from a provider.
    24         (3)  The copayment schedule shall be:
    25             (i)  $8 for noninnovator multiple-source drugs as
    26         defined in section 602; or
    27             (ii)  $15 for single-source drugs and innovator
    28         multiple-source drugs as defined in section 602.
    29     Section 3.  This act shall take effect immediately.

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