1 of 1 SENATE DOCKET, NO. 2128 FILED ON: 1/20/2023 SENATE . . . . . . . . . . . . . . No. 681 The Commonwealth of Massachusetts _________________ PRESENTED BY: Mark C. Montigny _________________ To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General Court assembled: The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill: An Act to combat COVID-19 vaccine price gouging. _______________ PETITION OF: NAME:DISTRICT/ADDRESS :Mark C. MontignySecond Bristol and Plymouth 1 of 6 SENATE DOCKET, NO. 2128 FILED ON: 1/20/2023 SENATE . . . . . . . . . . . . . . No. 681 By Mr. Montigny, a petition (accompanied by bill, Senate, No. 681) of Mark C. Montigny for legislation to combat COVID-19 vaccine price gouging. Financial Services. The Commonwealth of Massachusetts _______________ In the One Hundred and Ninety-Third General Court (2023-2024) _______________ An Act to combat COVID-19 vaccine price gouging. Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows: 1 SECTION 1. Chapter 6A of the General Laws, as appearing in the 2020 Official Edition, 2is hereby amended by inserting after section 16CC the following section:- 3 Section 16DD. (a) Notwithstanding any general or special law to the contrary, the 4secretary of the executive office of health and human services, in consultation with the secretary 5of administration and finance, shall develop a coordinated, aggregate COVID-19 vaccine 6procurement plan to manage and administer the purchase, disbursement, and reimbursement of 7COVID-19 vaccines for all health care programs administered by the commonwealth and for 8members of all health coverage plans funded or subsidized, in whole or in part, by the 9commonwealth. The aggregate procurement plan shall maximize cost savings and efficiencies, 10enhance affordable access to COVID-19 vaccination, and be designed to improve health 11outcomes while providing access to uninsured residents. 2 of 6 12 (b) Notwithstanding any general or special law to the contrary, as part of the aggregate 13procurement plan, the secretary shall seek competitive bids for the supply of COVID-19 vaccines 14necessary to meet the needs of health care programs administered by the commonwealth and for 15individuals insured under health coverage plans funded or subsidized, in whole or in part, by the 16commonwealth as well as uninsured residents. The secretary may coordinate with other states 17and jurisdictions for the implementation of the aggregate procurement plan in order to maximize 18cost savings. The secretary shall establish an annual maximum purchase price for each dose of 19COVID-19 vaccine under the aggregate procurement plan, which shall not exceed the lesser of 20the following: 21 (1) cost per dose paid for by the Centers for Disease Control and Prevention; or 22 (2) reimbursement rate paid by the Centers for Medicare and Medicaid Services. 23 (c) The secretary shall implement the aggregate procurement plan not later than 180 days 24after the effective date of this act and shall submit by April 15 of each year a report detailing the 25coordinated aggregate or bulk purchasing arrangement results for the previous fiscal year to the 26clerks of the house of representatives and senate, the joint committee on public health, the joint 27committee on health care financing and the house and senate committees on ways and means. 28The report shall include, but not be limited to, a review of the aggregate procurement plan’s 29achievement relative to: 30 (1) cost savings achieved during the previous fiscal year; 31 (2) administrative costs relating to the management of the program for the previous fiscal 32year; 3 of 6 33 (3) any recommendations for enhancing cost savings, reducing inefficiencies, and 34improving access; and 35 (4) a cost-benefit analysis of the inclusion of other entities, including but not limited to 36not-for-profit healthcare providers, county, municipal, and quasi-governmental entities within the 37aggregate procurement plan. 38 SECTION 2. Chapter 32A of the General Laws, as so appearing, is hereby amended by 39adding the following section:- 40 Section 31. The commission shall provide to any active or retired employee of the 41commonwealth who is insured under the group insurance commission coverage for annual 42vaccination against COVID-19; provided that said coverage shall not be subject to any 43deductible, co-insurance, or co-payment. 44 SECTION 3. Chapter 118E of the General Laws, as so appearing, is hereby amended by 45inserting after section 10N the following section:- 46 Section 10O. The division and its contracted health insurers, health plans, health 47maintenance organizations, behavioral health management firms and third-party administrators 48under contract to a Medicaid managed care organization or primary care clinician plan shall 49provide coverage for annual vaccination against COVID-19; provided, that said coverage shall 50not be subject to any cost sharing. 51 SECTION 4. Chapter 175 of the General Laws, as so appearing, is hereby amended by 52inserting after section 47PP the following section:- 4 of 6 53 Section 47QQ. A policy, contract, agreement, plan or certificate of insurance issued, 54delivered or renewed within the commonwealth that provides medical expense coverage shall 55provide coverage for annual vaccination against COVID-19; provided, that said coverage shall 56not be subject to any deductible, co-insurance, or co-payment. 57 SECTION 5. Chapter 176A of the General Laws, as so appearing, is hereby amended by 58inserting after section 8QQ the following section:- 59 Section 8RR. Any contract between a subscriber and a corporation under an individual 60or group hospital service plan delivered, issued or renewed within the commonwealth shall 61provide coverage for annual vaccination against COVID-19; provided that said coverage shall 62not be subject to any deductible, co-insurance, or co-payment. 63 SECTION 6. Chapter 176B of the General Laws, as so appearing, is hereby amended by 64inserting after section 4QQ the following section:- 65 Section 4RR. Any subscription certificate under an individual or group medical service 66agreement delivered, issued or renewed within the commonwealth shall provide coverage for 67annual vaccination against COVID-19; provided, that said coverage shall not be subject to any 68deductible, co-insurance, or co-payment. 69 SECTION 7. Chapter 176G of the General Laws, as so appearing, is hereby amended by 70inserting after section 4II the following section:- 71 Section 4JJ. Any individual or group health maintenance contract shall provide coverage 72for annual vaccination against COVID-19; provided, that said coverage shall not be subject to 73any deductible, co-insurance, or co-payment. 5 of 6 74 SECTION 8. Notwithstanding any general or special law to the contrary, the health 75policy commission, in consultation with the center for health information and analysis, the 76executive office of health and human services, and the division of insurance, shall produce 77interim and final reports on the accessibility and affordability of COVID-19 vaccines in the 78commonwealth and the effects of capping copayments and eliminating deductible and co- 79insurance requirements on health care access and system cost. 80 The interim and final report shall include, but not be limited to: (i) rates of COVID-19 81vaccine utilization; (ii) an analysis of the use of COVID-19 vaccination, broken down by patient 82demographics, geographic region and insurance coverage; (iii) annual plan costs and member 83premiums; (iv) the average list price of COVID-19 vaccines, broken down by manufacturer; (v) 84the average increase in annual plan costs and member premiums due to vaccine list price 85increases; (vi) the impact upon the health care cost growth benchmark; (vii) an analysis of the 86impact of eliminating co-payments, deductibles, and co-insurance requirements for COVID-19 87vaccination on patient access to and cost of care by patient demographics and geographic region; 88(viii) out-of-pocket costs incurred by uninsured individuals; (ix) additional barriers to accessing 89COVID-19 vaccination for uninsured individuals and policy recommendations for resolving such 90barriers; (x) federal and state subsidies provided to develop COVID-19 vaccines, broken down 91by manufacturer; (xi) current cost to produce each vaccine dose as of January 1, 2023; and (xii) 92total profits realized from the COVID-19 vaccine between July 1, 2020 and January 1, 2023, 93broken down by manufacturer. The interim report, including any recommendations for 94expanding access to COVID-19 vaccination for uninsured individuals, shall be filed with the 95clerks of the house of representatives and senate, the joint committee on public health, the joint 96committee on health care financing, and the house and senate committees on ways and means not 6 of 6 97later than 9 months after the effective date of this act. The final report, including any 98recommendations for expanding access to COVID-19 vaccination for uninsured individuals, 99shall be filed with the clerks of the house of representatives and senate, the joint committee on 100public health, the joint committee on health care financing, and the house and senate committees 101on ways and means not later than 18 months after the effective date of this act.