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Second Substitute S.B. 85

This document includes Senate 3rd Reading Floor Amendments incorporated into the bill on Wed, Feb 29, 2012 at 4:53 PM by cmillar. --> This document includes House Floor Amendments incorporated into the bill on Thu, Mar 8, 2012 at 11:05 PM by lerror. --> This document includes House Floor Amendments (CORRECTED) incorporated into the bill on Thu, Mar 8, 2012 at 11:18 PM by lerror. -->

Senator Allen M. Christensen proposes the following substitute bill:




Chief Sponsor: Allen M. Christensen

House Sponsor: James A. Dunnigan


             7      LONG TITLE
             8      General Description:
             9          This bill amends the Medicaid drug program to allow a pilot program preferred drug list
             10      for one type of mental health drug.
             11      Highlighted Provisions:
             12          This bill:
             13          .    amends the Medicaid drug program to implement a limited pilot program to test a
             14      preferred drug list program for one type of psychotropic drug; and
             15          .    requires the department to authorize a nonpreferred drug under certain
             16      circumstances.
             17      Money Appropriated in this Bill:
             18          None
             19      Other Special Clauses:
             20          None
             21      Utah Code Sections Affected:
             22      AMENDS:
             23          26-18-2.4, as last amended by Laws of Utah 2009, Chapter 324

             25      Be it enacted by the Legislature of the state of Utah:

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         Section 1. Section 26-18-2.4 is amended to read:
             27           26-18-2.4. Medicaid drug program -- Preferred drug list.
             28          (1) A Medicaid drug program developed by the department under Subsection 26-18-2.3
             29      (2)(f):
             30          (a) shall, notwithstanding Subsection 26-18-2.3 (1)(b), be based on clinical and
             31      cost-related factors which include medical necessity as determined by a provider in accordance
             32      with administrative rules established by the Drug Utilization Review Board;
             33          (b) may include therapeutic categories of drugs that may be exempted from the drug
             34      program;
             35          (c) may include placing some drugs, except the drugs described in Subsection (2), on a
             36      preferred drug list to the extent determined appropriate by the department;
             37          (d) notwithstanding the requirements of Part 2, Drug Utilization Review Board, shall
             38      immediately implement the prior authorization requirements for a nonpreferred drug that is in
             39      the same therapeutic class as a drug that is:
             40          (i) on the preferred drug list on the date that this act takes effect; or
             41          (ii) added to the preferred drug list after this act takes effect; and
             42          (e) except as prohibited by Subsections 58-17b-606 (4) and (5), shall establish the prior
             43      authorization requirements established under Subsections (1)(c) and (d) which shall permit a
             44      health care provider or the health care provider's agent to obtain a prior authorization override
             45      of the preferred drug list through the department's pharmacy prior authorization review process,
             46      and which shall:
             47          (i) provide either telephone or fax approval or denial of the request within 24 hours of
             48      the receipt of a request that is submitted during normal business hours of Monday through
             49      Friday from 8 a.m. to 5 p.m.;
             50          (ii) provide for the dispensing of a limited supply of a requested drug as determined
             51      appropriate by the department in an emergency situation, if the request for an override is
             52      received outside of the department's normal business hours; and
             53          (iii) require the health care provider to provide the department with documentation of
             54      the medical need for the preferred drug list override in accordance with criteria established by
             55      the department in consultation with the Pharmacy and Therapeutics Committee.
             56          (2) (a) For purposes of this Subsection (2)[,]:

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Senate 3rd Reading Amendments 2-29-2012 cm/cjd
         (i) "Immunosuppressive drug":
             58          [(i)] (A) means a drug that is used in immunosuppressive therapy to inhibit or prevent
             59      activity of the immune system to aid the body in preventing the rejection of transplanted organs
             60      and tissue; and
             61          [(ii)] (B) does not include drugs used for the treatment of autoimmune disease or
             62      diseases that are most likely of autoimmune origin.
             63          (ii) "Psychotropic drug" means the following classes of drugs: atypical anti-psychotic,
             64      anti-depressants, anti-convulsant/mood stabilizer, anti-anxiety, Attention Deficit Hyperactivity
             65      Disorder stimulants, or sedative/hypnotics.
             66          (iii) "Stabilized" means a health care provider has documented in the patient's medical
             67      chart that a patient has achieved a stable or steadfast medical state within the past 90 days using
             68      a particular psychotropic drug.
             69          (b) A preferred drug list developed under the provisions of this section may not
             70      include:
             71          (i) except as provided in Subsection (2)(e), a psychotropic or anti-psychotic drug; or
             72          (ii) an immunosuppressive drug.
             73          (c) The state Medicaid program shall reimburse for a prescription for an
             74      immunosuppressive drug as written by the health care provider for a patient who has undergone
             75      an organ transplant. For purposes of Subsection 58-17b-606 (4), and with respect to patients
             76      who have undergone an organ transplant, the prescription for a particular immunosuppressive
             77      drug as written by a health care provider meets the criteria of demonstrating to the Department
             78      of Health a medical necessity for dispensing the prescribed immunosuppressive drug.
             79          (d) Notwithstanding the requirements of Part 2, Drug Utilization Review Board, the
             80      state Medicaid drug program may not require the use of step therapy for immunosuppressive
             81      drugs without the written or oral consent of the health care provider and the patient.
             82          (e) S. [ (i) ] .S The department may include a sedative hypnotic on a preferred drug list in
             83      accordance with Subsection (2)(f).
             84           S. [ (ii) The department may study and develop, but not implement, a preferred drug list for
             85      other psychotropic or anti-psychotic drugs. If the department studies a preferred drug list under
             86      this Subsection (2)(e)(ii), the department shall report to the Legislature in accordance with
             87      Subsection (3).
] .S

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- 4 - Corrected
House Floor Amendments 3-8-2012 le/cjd
         (f) The department shall grant a prior authorization for a H. [psychotropic drug] sedative
             88a      hypnotic .H that is not
             89      on the preferred drug list under Subsection (2)(e), if the health care provider has documentation
             90      related to one of the following conditions for the Medicaid client:
             91          (i) a trial and failure of at least one preferred agent in the drug class, including the
             92      name of the preferred drug that was tried, the length of therapy, and the reason for the
             93      discontinuation;
             94          (ii) detailed evidence of a potential drug interaction between current medication and
             95      the preferred drug;
             96          (iii) detailed evidence of a condition or contraindication that prevents the use of the
             97      preferred drug;
             98          (iv) objective clinical evidence that a patient is at high risk of adverse events due to a
             99      therapeutic interchange with a preferred drug;
             100          (v) the patient is a new or previous Medicaid client with an existing diagnosis
             101      previously stabilized with a nonpreferred drug; or
             102          (vi) other valid reasons as determined by the department.
             103          (g) A prior authorization granted under Subsection (2)(f) is valid for one year from the
             104      date the department grants the prior authorization and shall be renewed in accordance with
             105      Subsection (2)(f).
             106          (3) The department shall report to the Health and Human Services Interim Committee
             107      and to the Health and Human Services Appropriations Subcommittee prior to November 1,
             108      [2010] 2013, regarding the savings to the Medicaid program resulting from the use of the
             109      preferred drug list permitted by Subsection (1).

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