6246-S AMS CARL STIT 39

SSB 6246 - S AMD 675

By Senator Carlyle

NOT CONSIDERED 02/26/2016

    On page 118, after line 27, insert the following:

    "(tt) (i) Within amounts appropriated within this section, the authority shall coordinate with the agency medical directors group, which shall consist of the medical directors of state agencies that purchase or reimburse for prescription drugs, to examine prescription drug purchasing methods and develop strategies to:

(A) Promote and improve drug price transparency for taxpayers; and

(B) Implement innovative, value-based drug purchasing approaches for state-purchased health care programs that maximize purchasing power to the extent possible under current federal law, with the goal of reducing the impacts of high prescription drug prices on taxpayers.

(ii) The agency medical directors group shall:

(A) Evaluate state and federal regulations regarding the purchase of prescription drugs and examine the current tools and statutory authority for state agencies to leverage the purchase of drugs;

(B) Conduct an environmental scan of best purchasing strategies in other states and seek evidence-based consultation, as determined necessary;

(C) Identify current limitations on agency programs to manage drug spending and explore strategies to assure quality and to mitigate annual cost increases;

(D) Develop recommendations to improve and expand the current tools and statutory authority which focus on innovative, value-based approaches to the purchase of prescription drugs and improving drug price transparency; and

(E) Communicate with other purchasers, including health insurance carriers, self-insured entities, local governments, and states to share and coordinate prescription drug purchasing strategies, to the extent possible.

(iii) The authority shall, in coordination with the agency medical directors group, develop a work plan to implement this subsection. The authority shall coordinate with joint select committee on health care oversight and shall submit a report to this committee outlining its progress by December 1, 2016."

EFFECT:  Requires Health Care Authority, in collaboration with other state agency prescription drug purchasers, to improve drug price transparency and improve drug purchasing approaches.

FISCAL IMPACT: None

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