Louisiana 2023 2023 Regular Session

Louisiana House Bill HR167 Engrossed / Bill

                    HLS 23RS-2950	ENGROSSED
2023 Regular Session
HOUSE RESOLUTION NO. 167
BY REPRESENTATIVE EDMONDS
LEGISLATIVE AUDITOR:  Requests the legislative auditor to evaluate the oversight and
management of the Office of Group Benefits' contracts with pharmacy benefit
managers to provide pharmacy benefits for state employees and retirees
1	A RESOLUTION
2To request the legislative auditor to conduct a review and evaluation of the pharmacy benefit
3 manager contracts for provision of pharmacy benefits provided through the Office
4 of Group Benefits, to compare the overall annual cost to provide pharmacy benefits,
5 the price of common medications, and administrative fees and to evaluate the Office
6 of Group Benefits' management of the contract including its oversight of practices
7 that are prohibited by the pharmacy benefit manager contract such as spread pricing.
8 WHEREAS, in 2023, a new two billion dollar pharmacy contract began between the
9Office of Group Benefits and CVS Caremark affecting more than two hundred thousand
10state employees and retirees; and
11 WHEREAS, there have been multiple complaints and concerns expressed by state
12employees and retirees regarding how the pharmacy benefit management contract has
13affected their ability to get medications and by pharmacies that are reimbursed for
14medications at rates that are less than the cost of the medications being dispensed to patients;
15and
16 WHEREAS, due to the effect on the state's budget, the effect on state employees and
17retirees, and Louisiana pharmacies, it is important for the House of Representatives to have
18an independent review and evaluation of the pharmacy benefit manager contracts for
19provision of pharmacy benefits provided through the Office of Group Benefits in order to
20develop the policies needed to improve the situation and to evaluate the related budget
21requests for inclusion in the General Appropriation Bill.
Page 1 of 2 HLS 23RS-2950	ENGROSSED
HR NO. 167
1 THEREFORE, BE IT RESOLVED that the House of Representatives of the
2Legislature of Louisiana does hereby request the legislative auditor to conduct a review and
3evaluation of the pharmacy benefit manager contracts for provision of pharmacy benefits
4provided through the Office of Group Benefits, to compare the overall annual cost to provide
5pharmacy benefits, the price of common medications, and administrative fees, to evaluate
6the Office of Group Benefits' management of the contract, including its oversight of
7practices that are prohibited by the contract such as spread pricing, and to submit a report
8of the review and evaluation to the House of Representatives, along with any additional
9information the legislative auditor deems relevant and any recommendations for
10improvement, no later than February 15, 2024.
DIGEST
The digest printed below was prepared by House Legislative Services.  It constitutes no part
of the legislative instrument.  The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent.  [R.S. 1:13(B) and 24:177(E)]
HR 167 Engrossed 2023 Regular Session	Edmonds
Requests the legislative auditor to conduct a review and evaluation of the pharmacy benefit
manager contracts for provision of pharmacy benefits provided through the Office of Group
Benefits, to compare the overall annual cost to provide pharmacy benefits, the price of
common medications, and administrative fees, to evaluate the Office of Group Benefits'
management of the contract, including its oversight of practices that are prohibited by the
contract such as spread pricing, and to submit a report of the review and evaluation to the
House, along with any additional information the legislative auditor deems relevant and any
recommendations for improvement, no later than Feb. 15, 2024.
Page 2 of 2