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

                                  6461

                       2015-2016 Regular Sessions

                          I N  A S S E M B L Y

                             March 25, 2015
                               ___________

Introduced by M. of A. ENGLEBRIGHT, CAHILL, JAFFEE, ROSENTHAL, DINOWITZ,
  BENEDETTO,  PERRY, GUNTHER, ROBINSON, COLTON, GALEF -- Multi-Sponsored
  by -- M. of A. ABBATE, BRENNAN, COOK, PEOPLES-STOKES -- read once  and
  referred to the Committee on Health

AN  ACT  to amend the elder law and the social services law, in relation
  to payments for multiple source prescription drugs

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

  Section  1.    Subparagraph  2  of  paragraph  (a) of subdivision 1 of
section 250 of the elder law, as amended by section  18  of  part  T  of
chapter 56 of the laws of 2012, is amended to read as follows:
  (2) The upper limit, if any, set by the centers for medicare and medi-
caid services for such multiple source drug AND THE DEPARTMENT OF HEALTH
TOGETHER WITH THE PHARMACY ADVISORY COMMITTEE SHALL DETERMINE THE IMPACT
OF  SUCH  UPPER  LIMIT  PAYMENTS FOR DRUGS IMPLEMENTED UNDER THE DEFICIT
REDUCTION ACT OF 2005 AND SHALL REPORT TO THE DIRECTOR OF  THE  DIVISION
OF  THE  BUDGET, SECRETARY OF THE SENATE FINANCE COMMITTEE AND SECRETARY
OF THE ASSEMBLY WAYS AND MEANS COMMITTEE ON SUCH IMPACT AND SHALL ADJUST
PHARMACY DISPENSING FEES  FOR  MULTIPLE  SOURCE  PRESCRIPTION  DRUGS  TO
COMPENSATE FOR ANY REDUCTION AS A RESULT OF THE UPPER LIMITS IMPLEMENTED
UNDER  THE DEFICIT REDUCTION ACT OF 2005 AT SUCH TIME THAT THE NEW UPPER
LIMITS ARE IMPLEMENTED, or
  S 2. Subparagraph (i) of paragraph (b) of  subdivision  9  of  section
367-a  of  the social services law, as amended by section 2 of part C of
chapter 60 of the laws of 2014, is amended to read as follows:
  (i) if the drug dispensed is a multiple source prescription  drug  for
which  an  upper  limit has been set by the federal centers for medicare
and medicaid services, the lower of: (A) an amount equal to the specific
upper  limit  set  by  such  federal  agency  for  the  multiple  source
prescription  drug;  (B)  the estimated acquisition cost of such drug to
pharmacies which, for purposes of  this  subparagraph,  shall  mean  the

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD10024-01-5
              

A. 6461                             2

average wholesale price of a prescription drug based on the package size
dispensed  from,  as  reported  by the prescription drug pricing service
used by the department, less twenty-five percent thereof; (C) the  maxi-
mum  acquisition  cost, if any, established pursuant to paragraph (e) of
this subdivision, provided that the methodology used by  the  department
to establish a maximum acquisition cost shall not include average acqui-
sition cost as determined by department surveys; [or] (D) the dispensing
pharmacy's  usual  and customary price charged to the general public; OR
(E) THE AVERAGE ACQUISITION COST IF AVAILABLE,  AND  THE  DEPARTMENT  OF
HEALTH TOGETHER WITH THE PHARMACY ADVISORY COMMITTEE SHALL DETERMINE THE
IMPACT  OF  SUCH  UPPER  LIMIT  PAYMENTS FOR DRUGS IMPLEMENTED UNDER THE
DEFICIT REDUCTION ACT OF 2005 AND SHALL REPORT TO THE  DIRECTOR  OF  THE
DIVISION  OF  THE  BUDGET, SECRETARY OF THE SENATE FINANCE COMMITTEE AND
SECRETARY OF THE ASSEMBLY WAYS AND MEANS COMMITTEE ON  SUCH  IMPACT  AND
SHALL  ADJUST  PHARMACY DISPENSING FEES FOR MULTIPLE SOURCE PRESCRIPTION
DRUGS TO COMPENSATE FOR ANY REDUCTION AS A RESULT OF  THE  UPPER  LIMITS
IMPLEMENTED  UNDER  THE  DEFICIT REDUCTION ACT OF 2005 AT SUCH TIME THAT
THE NEW UPPER LIMITS ARE IMPLEMENTED; and
  S 3. This act shall take effect immediately  provided,  however,  that
the  amendments to subdivision 9 of section 367-a of the social services
law, made by section two of this act, shall not  affect  the  expiration
and reversion of such subdivision pursuant to section 4 of chapter 19 of
the laws of 1998, as amended, and shall be deemed to expire therewith.