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A01671 Summary:

BILL NOA01671A
 
SAME ASSAME AS S02520
 
SPONSORGottfried
 
COSPNSRReyes, Hevesi, Rosenthal L, Gunther, Dickens, Rodriguez, Taylor, Hunter, Barron, Braunstein, Perry, Joyner, Epstein, Dinowitz, Abinanti, O'Donnell, Peoples-Stokes, Thiele, Englebright, Nolan, Cruz, Galef, Simon, Paulin, Goodell, Bronson, Abbate, Cymbrowitz, Gallagher, Lupardo, Woerner, Gonzalez-Rojas, Quart, Simpson, Mitaynes, Jackson, Forrest, Seawright, Rivera JD
 
MLTSPNSRBrabenec
 
Add Part FFF §1-b, Chap 56 of 2020
 
Relates to temporarily exempting covered entities under the federal 340B program and comprehensive HIV special needs plans.
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A01671 Actions:

BILL NOA01671A
 
01/11/2021referred to health
01/26/2021reported referred to ways and means
02/03/2021amend and recommit to ways and means
02/03/2021print number 1671a
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A01671 Memo:

NEW YORK STATE ASSEMBLY
MEMORANDUM IN SUPPORT OF LEGISLATION
submitted in accordance with Assembly Rule III, Sec 1(f)
 
BILL NUMBER: A1671A
 
SPONSOR: Gottfried
  TITLE OF BILL: An act to amend part FFF of chapter 56 of the laws of 2020, amending the public health law relating to extending and enhancing the Medicaid drug cap and to reduce unnecessary pharmacy benefit manager costs to the Medicaid program, in relation to temporarily exempting covered entities under the federal 340B program and comprehensive HIV special needs plans   PURPOSE OR GENERAL IDEA OF BILL: To delay for 3 years the transition from managed care to fee-for-service for Medicaid pharmacy benefits under the federal 340B program and Comprehensive HIV special needs plans.   SUMMARY OF SPECIFIC PROVISIONS: Chap. 56, Part14+ of the 2020-21 enacted budget transfers the Medicaid prescription drug benefit from Medicaid managed care to fee-for-service Medicaid by April 1, 2021. This bill adds a new § 1-b to postpone this carve-out until April 2024 for prescriptions under the federal 340B progam and Medicaid HIV special needs plans.   JUSTIFICATION: The federal 340B prescription drug program was created to lower drug prices for government funded health clinics "to enable these entities to stretch scarce Federal resources as far as possible, reaching more eligible patients and providing more comprehensive services." The savings are used by 340B providers (especially community health centers) to provide health care services to needy patients. See: H.R. Rep. No. 102-384(11), at 12 (1992). Medicaid HIV special needs plans provide enhanced care coordination encompassing all aspect of HIV therapeutics, including prescription drug regimen and adjustment, which is the key factor in survival with HIV. They are concerned that carving out the prescription drug benefit will undermine their ability to do enhanced care coordination. Carving out the Medicaid drug benefit and putting it under the fee-for-service Preferred Drug Progana will have fiscal and patient care benefits. However, the abrupt transition will endanger 340B providers and HIV SNPs. Delaying implementation for these two programs will enable them, the Health Department and the Legislature to consider ways to avoid or minimize the negative impact.   PRIOR LEGISLATIVE *HISTORY: 2020: A.10960 - referred to Health Committee   FISCAL IMPLICATIONS: To be determined.   EFFECTIVE DATE: Immediately.
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A01671 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                         1671--A
 
                               2021-2022 Regular Sessions
 
                   IN ASSEMBLY
 
                                    January 11, 2021
                                       ___________
 
        Introduced  by M. of A. GOTTFRIED, REYES, HEVESI, L. ROSENTHAL, GUNTHER,
          DICKENS, RODRIGUEZ, TAYLOR, HUNTER, BARRON, BRAUNSTEIN, PERRY, JOYNER,
          EPSTEIN, DINOWITZ, ABINANTI, O'DONNELL, PEOPLES-STOKES, THIELE, ENGLE-
          BRIGHT, NOLAN, CRUZ, GALEF, SIMON, PAULIN, GOODELL,  BRONSON,  ABBATE,
          CYMBROWITZ,  GALLAGHER,  LUPARDO  --  read  once  and  referred to the
          Committee on Health -- committee  discharged,  bill  amended,  ordered
          reprinted as amended and recommitted to said committee
 
        AN ACT to amend part FFF of chapter 56 of the laws of 2020, amending the
          public  health  law  relating  to extending and enhancing the Medicaid
          drug cap and to reduce unnecessary pharmacy benefit manager  costs  to
          the  Medicaid  program,  in  relation to temporarily exempting covered
          entities under the federal 340B program and comprehensive HIV  special
          needs plans
 
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
 
     1    Section 1. Part FFF of chapter 56 of the laws of  2020,  amending  the
     2  public  health law relating to extending and enhancing the Medicaid drug
     3  cap and to reduce unnecessary pharmacy  benefit  manager  costs  to  the
     4  Medicaid  program,  is  amended  by  adding a new section 1-b to read as
     5  follows:
     6    § 1-b. Notwithstanding any provision of this part  or  other  law,  no
     7  action shall be taken by the commissioner of health or the department of
     8  health  to  remove  the  pharmacy  benefit from the managed care benefit
     9  package under medical assistance (Medicaid) before April 1, 2024 for the
    10  following entities: (a) an eligible provider under section 340B  of  the
    11  federal  Public  Health  Service Act and (b) a comprehensive HIV special
    12  needs plan under section 4403-c of the public health law.
    13    § 2. This act shall take effect immediately.
 
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD04057-04-1
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