CODING: Words stricken are deletions; words underlined are additions.





                                                  SENATE AMENDMENT

    Bill No. HB 2151, 1st Eng.

    Amendment No. 1

                            CHAMBER ACTION
              Senate                               House
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11  The Committee on Health, Aging and Long-Term Care recommended

12  the following amendment:

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14         Senate Amendment (with title amendment) 

15         Delete everything after the enacting clause

16

17  and insert:

18         Section 1.  Subsection (37) is added to section

19  409.912, Florida Statutes, to read:

20         409.912  Cost-effective purchasing of health care.--The

21  agency shall purchase goods and services for Medicaid

22  recipients in the most cost-effective manner consistent with

23  the delivery of quality medical care. The agency shall

24  maximize the use of prepaid per capita and prepaid aggregate

25  fixed-sum basis services when appropriate and other

26  alternative service delivery and reimbursement methodologies,

27  including competitive bidding pursuant to s. 287.057, designed

28  to facilitate the cost-effective purchase of a case-managed

29  continuum of care. The agency shall also require providers to

30  minimize the exposure of recipients to the need for acute

31  inpatient, custodial, and other institutional care and the

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                                                  SENATE AMENDMENT

    Bill No. HB 2151, 1st Eng.

    Amendment No. 1





 1  inappropriate or unnecessary use of high-cost services.

 2         (37)(a)  The agency shall implement a Medicaid

 3  prescribed-drug spending-control program that includes the

 4  following components:

 5         1.  Medicaid prescribed-drug coverage for brand-name

 6  drugs for adult Medicaid recipients not residing in nursing

 7  homes or other institutions is limited to the dispensing of

 8  four brand-name drugs per month per recipient. Persons with

 9  Alzheimer's disease, children, and institutionalized adults

10  are exempt from this restriction. Antiretroviral agents are

11  excluded from this limitation. No requirements for prior

12  authorization or other restrictions on medications used to

13  treat mental illnesses such as schizophrenia, severe

14  depression, or bipolar disorder may be imposed on Medicaid

15  recipients. Medications that will be available without

16  restriction for persons with mental illnesses include atypical

17  antipsychotic medications, conventional antipsychotic

18  medications, selective serotonin re-uptake inhibitors, and

19  other medications used for the treatment of serious mental

20  illnesses. The agency shall also limit the amount of a

21  prescribed drug dispensed to no more than a 34-day supply. The

22  agency shall continue to provide unlimited generic drugs,

23  contraceptive drugs and items, and diabetic supplies. The

24  agency may authorize exceptions to the brand-name-drug

25  restriction only when such exceptions are based on prior

26  consultation provided by the agency or an agency contractor,

27  but the agency must establish procedures to ensure that:

28         a.  There will be a response to a request for prior

29  consultation by telephone or other telecommunication device

30  within 24 hours after receipt of a request for prior

31  consultation;

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                                                  SENATE AMENDMENT

    Bill No. HB 2151, 1st Eng.

    Amendment No. 1





 1         b.  A 72-hour supply of the drug prescribed will be

 2  provided in an emergency or when the agency does not provide a

 3  response within 24 hours as required by sub-subparagraph a.;

 4  and

 5         c.  A process is established for the provision of

 6  medically necessary drugs in excess of the limit.

 7         2.  Reimbursement to pharmacies for Medicaid prescribed

 8  drugs shall be set at the average wholesale price less 14

 9  percent.

10         3.  The agency shall develop and implement a process

11  for managing the drug therapies of Medicaid recipients who are

12  using significant numbers of prescribed drugs each month. The

13  management process may include, but is not limited to,

14  comprehensive, physician-directed medical-record reviews,

15  claims analyses, and case evaluations to determine the medical

16  necessity and appropriateness of a patient's treatment plan

17  and drug therapies. The agency may contract with a private

18  organization to provide drug-program-management services.

19         4.  The agency is authorized to establish pharmacy

20  network controls directed only at reducing fraud, such as

21  establishing minimum initial pharmacy drug inventories. The

22  agency may not limit the size of its pharmacy network based on

23  need, competitive bidding, price negotiations, credentialing,

24  or similar criteria.

25         5.  The agency shall develop and implement a program

26  that requires Medicaid practitioners who prescribe drugs to

27  use a counterfeit-proof prescription pad for Medicaid

28  prescriptions. The agency shall require the use of

29  standardized counterfeit-proof prescription pads by

30  Medicaid-participating prescribers. The agency may implement

31  the program in targeted geographic areas or statewide. If a

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                                                  SENATE AMENDMENT

    Bill No. HB 2151, 1st Eng.

    Amendment No. 1





 1  pharmacist receives a request to fill a prescription that is

 2  not written on a counterfeit-proof prescription form and the

 3  pharmacist is unable to verify authorization for the

 4  prescription with the prescriber, a pharmacist may dispense,

 5  on a one-time basis, up to a 72-hour supply of the prescribed

 6  medication if:

 7         a.  The prescription is not a medicinal drug listed in

 8  Schedule II in chapter 893;

 9         b.  The medication is essential to the maintenance of

10  life or the continuation of therapy for a chronic condition;

11         c.  In the pharmacist's professional judgment, the

12  interruption of therapy might reasonably produce undesirable

13  health consequences or may cause physical or mental

14  discomfort;

15         d.  The pharmacist creates a second written order that

16  contains all of the prescription information required by

17  chapters 465, 499, and 893 and signs that order; and

18         e.  The pharmacist notifies the prescriber within a

19  reasonable time after dispensing the medication and notifies

20  the agency that the prescription was not written on a

21  counterfeit-proof prescription form.

22         6.  Manufacturers of generic drugs prescribed to

23  Medicaid recipients must guarantee the state a rebate of at

24  least 15.1 percent of the total Medicaid payment for their

25  generic products. Generic-drug manufacturers who pay federal

26  rebates for Medicaid-reimbursed drugs at a level below 15.1

27  percent must provide a supplemental rebate to the state in an

28  amount necessary to achieve a 15.1-percent rebate level. If a

29  generic-drug manufacturer raises its price in excess of the

30  Consumer Price Index (Urban), the excess amount shall be

31  included in the supplemental rebate to the state.

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                                                  SENATE AMENDMENT

    Bill No. HB 2151, 1st Eng.

    Amendment No. 1





 1         (b)  The agency shall implement this subsection to the

 2  extent that funds are appropriated to administer the Medicaid

 3  prescribed-drug spending-control program. The agency may

 4  contract all or any part of this program to private

 5  organizations.

 6         (c)  The agency shall submit a report to the Governor,

 7  the Speaker of the House of Representatives, and the President

 8  of the Senate by January 15 of each year. The report must

 9  include, but need not be limited to, the progress made in

10  implementing Medicaid cost-containment measures and their

11  effect on Medicaid prescribed-drug expenditures.

12         Section 2.  There is created a Medicaid Pharmaceutical

13  and Therapeutics Committee. The committee shall develop and

14  implement a voluntary Medicaid preferred prescribed drug

15  designation program. The program shall provide information to

16  Medicaid providers on medically appropriate and cost efficient

17  prescription drug therapies through the development and

18  publication of a voluntary Medicaid preferred prescribed drug

19  list.

20         (1)  The Medicaid Pharmaceutical and Therapeutics

21  Committee shall be comprised of seven members appointed as

22  follows:  one practicing physician licensed under chapter 458,

23  Florida Statutes, appointed by the Speaker of the House of

24  Representatives from a list of recommendations from the

25  Florida Medical Association; one practicing physician licensed

26  under chapter 459, Florida Statutes, appointed by the Speaker

27  of the House of Representatives from a list of recommendations

28  from the Florida Osteopathic Medical Association; one

29  practicing physician licensed under chapter 458, Florida

30  Statutes, appointed by the President of the Senate from a list

31  of recommendations from the Florida Academy of Family

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                                                  SENATE AMENDMENT

    Bill No. HB 2151, 1st Eng.

    Amendment No. 1





 1  Physicians; one practicing dentist licensed under chapter 466,

 2  Florida Statutes, appointed by the President of the Senate

 3  from a list of recommendations from the Florida Dental

 4  Association; one practicing pharmacist licensed under chapter

 5  465, Florida Statutes, appointed by the Governor from a list

 6  of recommendations from the Florida Pharmacy Association; one

 7  practicing pharmacist licensed under chapter 465, Florida

 8  Statutes, appointed by the Governor from a list of

 9  recommendations from the Florida Society of Health System

10  Pharmacists; and one representative of the Pharmaceutical

11  Research and Manufacturers Association with expertise in

12  clinical pharmacology appointed by the Governor from a list of

13  recommendations from that association. The members shall be

14  appointed to serve for terms of 2 years from the date of their

15  appointment. The Agency for Health Care Administration shall

16  serve as staff for the committee and assist them with all

17  ministerial duties.

18         (2)  Upon recommendation by the committee, the Agency

19  for Health Care Administration shall establish the voluntary

20  Medicaid preferred prescribed drug list by rule. Upon further

21  recommendation by the committee, the agency shall add to,

22  delete from, or modify the list by rule. Notwithstanding any

23  provision of chapter 120, Florida Statutes, to the contrary,

24  the list shall become effective 60 days after the date it is

25  filed with the Secretary of State. The committee shall also

26  review requests for additions to, deletions from, or

27  modifications of the list. The list shall be adopted by the

28  committee in consultation with medical specialists, when

29  appropriate, using the following criteria:  use of the list

30  shall be voluntary by providers, and the list must provide for

31  medically appropriate drug therapies for Medicaid patients

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                                                  SENATE AMENDMENT

    Bill No. HB 2151, 1st Eng.

    Amendment No. 1





 1  which achieve cost savings in the Medicaid program.

 2         (3)  The Agency for Health Care Administration shall

 3  publish and disseminate the voluntary Medicaid preferred

 4  prescribed drug list to all Medicaid providers in the state.

 5         Section 3.  This act shall take effect July 1, 2000.

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 8  ================ T I T L E   A M E N D M E N T ===============

 9  And the title is amended as follows:

10         On page 1, line 10, after the second semicolon

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12  insert:

13         creating the Medicaid Pharmaceutical

14         Therapeutics Committee; providing for

15         membership; providing for the adoption by rule

16         of a voluntary preferred prescribed drug list

17         by the committee;

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