2009S0595-1 03/06/09
 
  By: Uresti S.B. No. 1536
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to preferred drug lists, including confidentiality,
  supplemental rebate, prior authorization, and publication
  requirements.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subsections (a) and (c), Section 531.071,
  Government Code, are amended to read as follows:
         (a)  Notwithstanding any other state law, financial
  information obtained or maintained by the commission regarding
  prescription drug rebate negotiations or a supplemental medical
  assistance or other rebate agreement, including trade secrets,
  rebate amount, rebate percentage, and manufacturer or labeler
  pricing, is confidential and not subject to disclosure under
  Chapter 552.
         (c)  Notwithstanding Subsection (a), the following
  information is not confidential:
               (1)  general [General]information about the aggregate
  costs of different classes of drugs;
               (2)  the fact that a supplemental rebate agreement was
  or was not reached between the commission and a manufacturer or
  labeler for a particular drug; and
               (3)  the fact that a supplemental rebate agreement for
  a particular drug was or was not of a sufficient amount to make the
  drug cost-effective for preferred drug list placement, provided
  that the amount of the rebate or other confidential financial
  information described in this section is not disclosed [is not
  confidential under Subsection (a)].
         SECTION 2.  Section 531.072, Government Code, is amended by
  amending Subsection (b) and adding Subsections (b-1), (b-2), and
  (g) to read as follows:
         (b)  The preferred drug lists may contain only drugs provided
  by a manufacturer or labeler that reaches an agreement with the
  commission on supplemental rebates under Section 531.070 unless one
  of the following exceptions is met:
               (1)  the commission determines that the drug provided
  by a generic manufacturer or labeler without a supplemental rebate
  is as cost-effective as or more cost-effective than a drug provided
  by a brand name manufacturer or labeler who has reached a
  supplemental rebate agreement with the commission in the same drug
  class; or
               (2)  a program benefit agreement as described in
  Section 531.070 has been reached by the commission and a labeler or
  manufacturer.
         (b-1)  A placement of a drug on the preferred drug list must
  include all strengths and dosages.
         (b-2)  Each drug class must include multiple methods of
  delivery of the drug, including liquid, tablet, capsule, and orally
  disintegrating tablet.
         (g)  Beginning one year after the last review of the drug or
  its drug class, a generic manufacturer or labeler may make an
  application or request to have its drug reconsidered for preferred
  drug placement based upon satisfaction of the cost-effectiveness
  exception described by Subsection (b)(1).
         SECTION 3.  Section 531.073, Government Code, is amended by
  adding Subsection (g) to read as follows:
         (g)  The commission shall ensure that prior authorization
  claims submission may occur through multiple telecommunication
  modes, including electronic point-of-sale submission, telephonic
  submission, fax submission, and electronic communications via the
  Internet.
         SECTION 4.  Subsections (i) and (m), Section 531.074,
  Government Code, are amended to read as follows:
         (i)  The commission shall adopt rules governing the
  operation of the committee, including rules:
               (1)  governing the procedures used by the committee for
  providing notice of a meeting; [and]
               (2)  [rules] prohibiting the committee from discussing
  confidential financial information described by Section 531.071 in
  a public meeting; and
               (3)  requiring the committee or its delegate to present
  in oral and written form, at the public meeting, a summary of any
  clinical efficacy and safety information or analyses provided to
  the committee by a private entity that has contracted with the
  commission to provide such information.  Confidential financial
  information described in Section 531.071 shall be omitted from the
  summary. The written summary shall be posted to the Internet.  [The
  committee shall comply with the rules adopted under this
  subsection.]
         (m)  The commission or the commission's agent shall publicly
  disclose, for each specific drug, a recommendation [recommended]
  for or against preferred drug list status, for each drug class
  included in the preferred drug list for the Medicaid vendor drug
  program.  The disclosure must be made in writing and posted to the
  Internet after the conclusion of committee deliberations that
  result in recommendations made to the executive commissioner
  regarding the placement of drugs on the preferred drug list. Such
  public disclosure shall include:
               (1)  the general basis for each recommendation for or
  against placement on the preferred drug list, including a statement
  of satisfaction of or failure to meet the criteria listed in
  Subsection (h);
               (2)  for all recommendations of the committee
  supporting placement of a drug on the preferred drug list, a
  statement that a supplemental rebate agreement was reached or, in
  the absence of a supplemental rebate agreement, a statement noting
  which exception described in Section 531.072(b) has been satisfied;
  and
               (3)  for all recommendations of the committee against
  placement of a drug on the preferred drug list, a statement of which
  of the criteria listed in Subsection (h) were not satisfied and, if
  the clinical efficacy or safety criterion was not satisfied, a
  summary of the information relied upon by the committee supporting
  such conclusion.
         SECTION 5.  Subchapter B, Chapter 531, Government Code, is
  amended by adding Section 531.0741 to read as follows:
         Sec. 531.0741.  PUBLICATION OF INFORMATION RELATING TO
  COMMISSION DECISION-MAKING.  The commission shall publish on the
  Internet its decisions on preferred drug list placement including:
               (1)  a list of drugs reviewed and the commission's
  decision for or against placement on the preferred drug list for
  each drug;
               (2)  a statement that a supplemental rebate agreement
  was or was not reached between the commission and a manufacturer or
  labeler for a particular drug and, if a supplemental rebate
  agreement was reached, a statement that such agreement was or was
  not of a sufficient amount to make the drug cost-effective for
  preferred drug list placement, without disclosing the amount of the
  rebate or other confidential information described in Section
  531.071; and
               (3)  the rationale for any departure from the
  recommendations of the Pharmaceutical and Therapeutics Committee
  and, if a recommendation was rejected for safety or clinical
  efficacy reasons, information supporting such a decision.
         SECTION 6.  This Act takes effect September 1, 2009.