Oklahoma Senate Bill SB120

Oklahoma 2022 Regular Session

• Introduced: 2/1/21
• Refer: 2/2/21

Caption

Prescription drugs; creating the Prescription Drug Safety and Cost Reduction Pilot Program Act; allowing certain prescription drugs to be imported under certain circumstances. Effective date. Emergency.

Impact

The implementation of SB120 is expected to significantly affect state laws surrounding the importation of pharmaceuticals, particularly those related to the Medicaid program. By allowing the state to import drugs from approved foreign suppliers, it adds a layer of competition that may lead to lower drug prices for Oklahoma’s Medicaid patients. Additionally, the bill sets stringent criteria for eligible drugs and mandates that reimbursement practices are adhered to, thereby aiming to protect consumers from inflated prices while also ensuring that participating pharmacies are adequately compensated.

Summary

Senate Bill 120, titled the 'Prescription Drug Safety and Cost Reduction Pilot Program Act', establishes a framework for the State of Oklahoma to import prescription drugs from countries approved by the US FDA for its Medicaid program. The bill mandates the Oklahoma Health Care Authority to apply for federal approval to initiate this importation pilot program. It aims to identify the most frequently prescribed drugs with significant price disparities between Canada and the United States, facilitating the purchase of these medications through authorized pharmacies to enhance cost-effectiveness in healthcare delivery.

Contention

While proponents of SB120 tout the potential for cost savings and enhanced access to necessary medications, there are concerns regarding the safety and reliability of imported drugs. Critics may worry that the bill could lead to variations in drug quality and availability. Moreover, the bill's provisions to limit the types of drugs that can be imported, such as excluding controlled substances and biological products, might provoke debates over patients' access to comprehensive pharmaceutical care. Additionally, establishing the guidelines for reimbursement and the formation of an advisory council to oversee implementation adds layers of bureaucracy that could complicate the process.