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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
Regular Session, 2012
SENATE BILL NO. 373
BY SENATOR MILLS
PHARMACISTS. Transfers to the Louisiana Board of Pharmacy the licensure authority of
pharmacy benefit managers. (8/1/12)
AN ACT1
To amend and reenact R.S. 22:1657 and to enact R.S. 37:1164(57) and 1182(A)(25), relative2
to pharmacy benefit managers; to provide for definitions; to provide for certain3
powers and duties of the Louisiana Board of Pharmacy; to authorize promulgation4
of rules; to provide for effectiveness of certain licenses; and to provide for related5
matters.6
Be it enacted by the Legislature of Louisiana:7
Section 1. R.S. 22:1657 is hereby amended and reenacted to read as follows: 8
§1657. Pharmacy benefit managers9
A pharmacy benefit manager shall be deemed to be a third-party10
administrator for purposes of this Part. As such, all provisions of this Part shall apply11
to pharmacy benefit managers; however, notwithstanding the provisions of R.S.12
22:1651(F), every pharmacy benefit manager shall be required to be licensed by the13
commissioner of insurance Louisiana Board of Pharmacy.14
Section 2. R.S. 37:1164(57) and 1182(A)(25) are hereby enacted to read as follows:15
§1164. Definitions16
As used in this Chapter, the following terms have the meaning ascribed to17 SB NO. 373
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words in boldface type and underscored are additions.
them by this Section:1
* * *2
(57) "Pharmacy benefit manager" means a person, business, or other3
entity and any wholly or partially owned or controlled subsidiary of such entity4
that administers the prescription drug or device portion of one or more health5
benefit plans on behalf of a third party, including plan sponsors, insurance6
companies, unions, and health maintenance organizations, in accordance with7
a pharmacy benefit management plan.8
* * *9
§1182. Powers and duties of the board10
A. The board shall be responsible for the control and regulation of the11
practice of pharmacy and shall:12
* * *13
(25) License qualified persons, businesses, or other entities as pharmacy14
benefit managers, as defined in R.S. 37:1164(57).15
* * *16
Section 3. Upon the transfer accomplished by this Act, any pending or unfinished17
business of the Department of Insurance related to the licensure of pharmacy benefits18
managers shall become the business of and be completed by the Louisiana Board of19
Pharmacy; provided that any legal proceeding to which the Department of Insurance is or20
may be made a party as a result of the administration of this Part that is pending before any21
court on the effective date of transfer shall be continued in the name of the Department of22
Insurance.23
Section 4. All documents, records, or rights of action heretofore possessed,24
controlled, or used by the Department of Insurance in the exercise of the functions hereby25
transferred shall be transferred to the Louisiana Board of Pharmacy.26
Section 5. Any reference in this Part or in any related rules or documents to the27
Department of Insurance shall be deemed to refer to the Louisiana Board of Pharmacy, and28
any administrative rules and regulations promulgated by the Department of Insurance29 SB NO. 373
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words in boldface type and underscored are additions.
pursuant to this Part, which are in effect on the day preceding the effective date of this Act,1
shall be considered valid and shall continue in force and effect and be enforceable by the2
Louisiana Board of Pharmacy until and unless modified, superseded, or repealed by the3
Louisiana Board of Pharmacy in accordance with the Administrative Procedure Act.4
The original instrument and the following digest, which constitutes no part
of the legislative instrument, were prepared by Christopher D. Adams.
DIGEST
Present law provides to the Department of Insurance the licensure authority of pharmacy
benefit managers.
Proposed law transfers the licensure authority of pharmacy benefit managers from the
Department of Insurance to the Louisiana Board of Pharmacy.
Effective August 1, 2012.
(Amends R.S. 22:1657; adds R.S. 37:1164(57) and 1182(A)(25))