Senate Bill S2763A

2017-2018 Legislative Session

Relates to audits of pharmacies by pharmacy benefit managers

download bill text pdf

Sponsored By

Archive: Last Bill Status - In Senate Committee Health Committee


  • Introduced
    • In Committee Assembly
    • In Committee Senate
    • On Floor Calendar Assembly
    • On Floor Calendar Senate
    • Passed Assembly
    • Passed Senate
  • Delivered to Governor
  • Signed By Governor

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Bill Amendments

2017-S2763 - Details

See Assembly Version of this Bill:
A6733
Current Committee:
Senate Health
Law Section:
Public Health Law
Laws Affected:
Add §280-c, Pub Health L
Versions Introduced in 2015-2016 Legislative Session:
S7150

2017-S2763 - Summary

Enacts provisions governing the conduct of audits of pharmacies by pharmacy benefit managers; provides timeframes for reports, specifies documentation to be used; exempts certain investigations.

2017-S2763 - Sponsor Memo

2017-S2763 - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   2763
 
                        2017-2018 Regular Sessions
 
                             I N  S E N A T E
 
                             January 17, 2017
                                ___________
 
 Introduced  by  Sen.  GOLDEN -- read twice and ordered printed, and when
   printed to be committed to the Committee on Health
 
 AN ACT to amend the public health law, in relation to audits of  pharma-
   cies
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:

   Section 1. The public health law is amended by adding  a  new  section
 280-c to read as follows:
   §  280-C.  PHARMACY  AUDITS  BY  PHARMACY BENEFIT MANAGERS. 1.   DEFI-
 NITIONS. AS USED IN THIS SECTION, THE FOLLOWING  TERMS  SHALL  HAVE  THE
 FOLLOWING MEANINGS:
   (A)  "PHARMACY  BENEFIT  MANAGER"  SHALL  HAVE  THE SAME MEANING AS IN
 SECTION TWO HUNDRED EIGHTY-A OF THIS ARTICLE.
   (B) "PHARMACY" SHALL MEAN A PHARMACY THAT HAS CONTRACTED WITH A  PHAR-
 MACY BENEFIT MANAGER FOR THE PROVISION OF PHARMACY SERVICES.
   2.  WHEN CONDUCTING AN AUDIT OF A PHARMACY'S RECORDS, A PHARMACY BENE-
 FIT MANAGER SHALL:
   (A) NOT CONDUCT AN ON-SITE AUDIT OF A PHARMACY AT ANY TIME DURING  THE
 FIRST THREE CALENDAR DAYS OF A MONTH;
   (B)  NOTIFY  THE PHARMACY OR ITS CONTRACTING AGENT NO LATER THAN SEVEN
 DAYS BEFORE THE DATE OF INITIAL ON-SITE AUDIT;
   (C) LIMIT THE AUDIT PERIOD TO TWENTY-FOUR  MONTHS  AFTER  THE  DATE  A
 CLAIM IS SUBMITTED TO OR ADJUDICATED BY THE PHARMACY BENEFIT MANAGER;
   (D) USE THE WRITTEN AND VERIFIABLE RECORDS OF A HOSPITAL, PHYSICIAN OR
 OTHER  AUTHORIZED  PRACTITIONER,  WHICH  ARE TRANSMITTED BY ANY MEANS OF
 COMMUNICATION, TO VALIDATE THE PHARMACY RECORDS IN ACCORDANCE WITH STATE
 AND FEDERAL LAW;
   (E) PROVIDE THE PHARMACY OR ITS CONTRACTING AGENT WITH A COPY  OF  THE
 PRELIMINARY  AUDIT  REPORT  WITHIN  ONE  HUNDRED  TWENTY  DAYS AFTER THE
 CONCLUSION OF THE AUDIT;

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD06021-01-7
              

co-Sponsors

2017-S2763A (ACTIVE) - Details

See Assembly Version of this Bill:
A6733
Current Committee:
Senate Health
Law Section:
Public Health Law
Laws Affected:
Add §280-c, Pub Health L
Versions Introduced in 2015-2016 Legislative Session:
S7150

2017-S2763A (ACTIVE) - Summary

Enacts provisions governing the conduct of audits of pharmacies by pharmacy benefit managers; provides timeframes for reports, specifies documentation to be used; exempts certain investigations.

2017-S2763A (ACTIVE) - Sponsor Memo

2017-S2763A (ACTIVE) - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  2763--A
 
                        2017-2018 Regular Sessions
 
                             I N  S E N A T E
 
                             January 17, 2017
                                ___________
 
 Introduced  by  Sen.  GOLDEN -- read twice and ordered printed, and when
   printed to be committed  to  the  Committee  on  Health  --  committee
   discharged, bill amended, ordered reprinted as amended and recommitted
   to said committee
 
 AN  ACT to amend the public health law, in relation to audits of pharma-
   cies

   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  The  public health law is amended by adding a new section
 280-c to read as follows:
   § 280-C. PHARMACY AUDITS BY  PHARMACY  BENEFIT  MANAGERS.  1.    DEFI-
 NITIONS.  AS  USED  IN  THIS SECTION, THE FOLLOWING TERMS SHALL HAVE THE
 FOLLOWING MEANINGS:
   (A) "PHARMACY BENEFIT MANAGER" SHALL  HAVE  THE  SAME  MEANING  AS  IN
 SECTION TWO HUNDRED EIGHTY-A OF THIS ARTICLE.
   (B)  "PHARMACY" SHALL MEAN A PHARMACY THAT HAS CONTRACTED WITH A PHAR-
 MACY BENEFIT MANAGER FOR THE PROVISION OF PHARMACY SERVICES.
   2. WHEN CONDUCTING AN AUDIT OF A PHARMACY'S RECORDS, A PHARMACY  BENE-
 FIT MANAGER SHALL:
   (A)  NOT CONDUCT AN ON-SITE AUDIT OF A PHARMACY AT ANY TIME DURING THE
 FIRST THREE CALENDAR DAYS OF A MONTH;
   (B) NOTIFY THE PHARMACY OR ITS CONTRACTING AGENT NO LATER THAN FIFTEEN
 DAYS BEFORE THE DATE OF INITIAL ON-SITE AUDIT. SUCH NOTIFICATION TO  THE
 PHARMACY  OR  ITS CONTRACTING AGENT SHALL BE IN WRITING DELIVERED EITHER
 (I) BY MAIL OR COMMON CARRIER, RETURN RECEIPT REQUESTED, OR  (II)  ELEC-
 TRONICALLY WITH ELECTRONIC RECEIPT CONFIRMATION, ADDRESSED TO THE SUPER-
 VISING PHARMACIST OF RECORD AND PHARMACY CORPORATE OFFICE WHERE APPLICA-
 BLE, AT LEAST FIFTEEN DAYS BEFORE THE DATE OF AN INITIAL ON-SITE AUDIT;
   (C)  LIMIT  THE  AUDIT  PERIOD  TO TWENTY-FOUR MONTHS AFTER THE DATE A
 CLAIM IS SUBMITTED TO OR ADJUDICATED BY THE PHARMACY BENEFIT MANAGER;
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD06021-03-7
              

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