senate Bill S480

Relates to establishing NYS prescription medication cost containment program

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Bill Status


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor
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actions

  • 05 / Jan / 2011
    • REFERRED TO CIVIL SERVICE AND PENSIONS
  • 22 / Feb / 2011
    • NOTICE OF COMMITTEE CONSIDERATION - REQUESTED
  • 23 / Mar / 2011
    • DEFEATED IN CIVIL SERVICE AND PENSIONS
  • 04 / Jan / 2012
    • REFERRED TO CIVIL SERVICE AND PENSIONS

Summary

Relates to establishing the New York state prescription medication cost containment program.

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Bill Details

See Assembly Version of this Bill:
A1098
Versions:
S480
Legislative Cycle:
2011-2012
Current Committee:
Senate Civil Service And Pensions
Law Section:
Civil Service Law
Laws Affected:
Add ยง159-d, Civ Serv L
Versions Introduced in 2009-2010 Legislative Cycle:
S6210B, A9207B

Votes

4
6
4
Aye
6
Nay
2
aye with reservations
0
absent
0
excused
0
abstained
show Civil Service and Pensions committee vote details

Sponsor Memo

BILL NUMBER:S480

TITLE OF BILL: REVISED 12/30/11
An act
to amend the civil service law,
in relation to the New York state prescription
medication cost containment program

PURPOSE:
To enhance cost savings to New York State in the procurement of
prescription medications for its civil service employees, retirees
and dependents.

SUMMARY OF PROVISIONS:
Section 1. Amends the Civil Service Law by adding a new section 159-d.
Authorizes the president of the Civil Service Commission to create the
New York State Prescription Medication Cost Containment Program.
Provides that New York State residents who are New York State civil
service employees or New York State residents who are retired from
New York state civil service and who participate in the New York
state health insurance plan (NYSHIP), and their dependents, shall be
offered several options to fill medical prescriptions through a
Canadian mail order company.

Section 2. Collective Bargaining.

Section 3. Effective date.

EXISTING LAW:
None.

JUSTIFICATION:
There is every indication that New York State will continue to face
unprecedented multi-billion dollar budget deficits. As such, the
State must be more creative in its approach to raising revenue and
controlling expenses, without relying on the usual methods of raising
taxes and cutting, or in some cases eliminating programs. Since
prescription drug costs are among New York State's highest
expenditures, one way the State can accomplish this goal is by
creating the New York State Prescription Medication Cost Containment
Program, which would be voluntary, for New York State Civil Service
employees and retirees.

This legislation is based on a program that has operated in
Schenectady County since 2005.
Since then, the County has realized savings of over $13.7 million, and
in 2010 is expected to save $4.2 million. Additionally, County
prescription drug costs have increased less than 8.9% since the
program's inception. This figure compares favorably with the average
of U.S.
prescription drug programs which has seen prices escalate by more than
12% each year, or 76.2% over five years. Over 90% of Schenectady
County's employees represented by two unions, CSEA and 1199, now
participate in the program.


If the smallest county in New York State has saved this much money,
controlled its prescription drug costs and expanded program
participation to over 90% of its employees, just imagine what New
York State could accomplish through the implementation of this
legislation.

LEGISLATIVE HISTORY:
2011: S.480 - Defeated in Civil Service and Pensions/A.1098 -
Referred to Governmental Employees
2010: S.6210B - Reported and Committed to Finance/A.9207B - Amended
and Recommitted to Governmental Employees

FISCAL IMPACT:
Anticipated savings to the state

EFFECTIVE DATE
:
This law shall take effect on the one hundred eightieth day after it
shall have become law.

view bill text
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                   480

                       2011-2012 Regular Sessions

                            I N  S E N A T E

                               (PREFILED)

                             January 5, 2011
                               ___________

Introduced  by  Sen.  DIAZ  --  read twice and ordered printed, and when
  printed to be committed to the Committee on Civil Service and Pensions

AN ACT to amend the civil service law, in relation to the New York state
  prescription medication cost containment program

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1.  The  civil service law is amended by adding a new section
159-d to read as follows:
  S 159-D. NEW  YORK  STATE  PRESCRIPTION  MEDICATION  COST  CONTAINMENT
PROGRAM.  1. THE PRESIDENT, AS DEFINED IN SUBDIVISION TWO OF SECTION TWO
OF THIS CHAPTER IS AUTHORIZED AND DIRECTED TO CREATE THE NEW YORK  STATE
PRESCRIPTION MEDICATION COST CONTAINMENT PROGRAM.
  2.  SUCH PROGRAM SHALL OFFER NEW YORK STATE RESIDENTS WHO ARE EMPLOYED
IN THE CIVIL SERVICE OF THE STATE OR NEW YORK STATE  RESIDENTS  WHO  ARE
RETIRED  FROM  STATE SERVICE AND ARE PARTICIPATING IN THE NEW YORK STATE
HEALTH INSURANCE PLAN (NYSHIP) AND THEIR DEPENDENTS, SEVERAL OPTIONS  TO
FILL  MEDICAL  PRESCRIPTIONS THROUGH A CANADIAN MAIL ORDER COMPANY. SUCH
COMPANIES SHALL BE SELECTED THROUGH COMPETITIVE BIDDING PROCESS,  TO  BE
DESIGNED AND IMPLEMENTED BY THE PRESIDENT, AS DEFINED IN SUBDIVISION TWO
OF  SECTION TWO OF THIS CHAPTER.  CANADIAN DRUG SUPPLIERS SHALL INCLUDE,
BUT SHALL NOT BE  LIMITED  TO  ALL  MANUFACTURERS  AND  DISTRIBUTORS  BY
CANADA'S RESEARCHED BASED PHARMACEUTICAL COMPANIES.
  S  2.  Nothing  contained  in this act shall supersede or diminish the
terms of a collective bargaining agreement.
  S 3. This act shall take effect on the one hundred eightieth day after
it shall have become a law.


 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD03249-01-1

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