Minnesota 2023-2024 Regular Session

Minnesota Senate Bill SF831 Compare Versions

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11 1.1 A bill for an act​
22 1.2 relating to health insurance; establishing supply requirements for prescription​
33 1.3 contraceptives; requiring health plans to cover contraceptive methods, sterilization,​
44 1.4 and related medical services, patient education, and counseling; establishing​
55 1.5 accommodations for eligible organizations; amending Minnesota Statutes 2022,​
66 1.6 section 256B.0625, subdivision 13; proposing coding for new law in Minnesota​
77 1.7 Statutes, chapter 62Q.​
88 1.8BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:​
99 1.9 Section 1. [62Q.522] COVERAGE OF CONTRACEPTIVE METHODS AND​
1010 1.10SERVICES.​
1111 1.11 Subdivision 1.Definitions.(a) The definitions in this subdivision apply to this section.​
1212 1.12 (b) "Closely held for-profit entity" means an entity that:​
1313 1.13 (1) is not a nonprofit entity;​
1414 1.14 (2) has more than 50 percent of the value of its ownership interest owned directly or​
1515 1.15indirectly by five or fewer individuals, or has an ownership structure that is substantially​
1616 1.16similar; and​
1717 1.17 (3) has no publicly traded ownership interest, having any class of common equity​
1818 1.18securities required to be registered under United States Code, title 15, section 781.​
1919 1.19For purposes of this paragraph:​
2020 1.20 (i) ownership interests owned by a corporation, partnership, estate, or trust are considered​
2121 1.21owned proportionately by that entity's shareholders, partners, or beneficiaries;​
2222 1​Section 1.​
2323 23-01099 as introduced​01/17/23 REVISOR SGS/LN​
2424 SENATE​
2525 STATE OF MINNESOTA​
2626 S.F. No. 831​NINETY-THIRD SESSION​
2727 (SENATE AUTHORS: PAPPAS)​
2828 OFFICIAL STATUS​D-PG​DATE​
2929 Introduction and first reading​01/26/2023​
3030 Referred to Health and Human Services​ 2.1 (ii) ownership interests owned by a nonprofit entity are considered owned by a single​
3131 2.2owner;​
3232 2.3 (iii) ownership interests owned by an individual are considered owned, directly or​
3333 2.4indirectly, by or for the individual's family. For purposes of this item, "family" means​
3434 2.5brothers and sisters, including half-brothers and half-sisters, a spouse, ancestors, and lineal​
3535 2.6descendants; and​
3636 2.7 (iv) if an individual or entity holds an option to purchase an ownership interest, the​
3737 2.8individual or entity is considered to be the owner of those ownership interests.​
3838 2.9 (c) "Contraceptive method" means a drug, device, or other product approved by the Food​
3939 2.10and Drug Administration to prevent unintended pregnancy.​
4040 2.11 (d) "Contraceptive service" means consultation, examination, procedures, and medical​
4141 2.12services related to the prevention of unintended pregnancy. This includes but is not limited​
4242 2.13to voluntary sterilization procedures, patient education, counseling on contraceptives, and​
4343 2.14follow-up services related to contraceptive methods or services, management of side effects,​
4444 2.15counseling for continued adherence, and device insertion or removal.​
4545 2.16 (e) "Eligible organization" means an organization that opposes providing coverage for​
4646 2.17some or all contraceptive methods or services on account of religious objections and that​
4747 2.18is:​
4848 2.19 (1) organized as a nonprofit entity and holds itself as a religious organization; or​
4949 2.20 (2) organized and operates as a closely held for-profit entity, and the organization's​
5050 2.21highest governing body has adopted, under the organization's applicable rules of governance​
5151 2.22and consistent with state law, a resolution or similar action establishing that it objects to​
5252 2.23covering some or all contraceptive methods or services on account of the owners' sincerely​
5353 2.24held religious beliefs.​
5454 2.25 (f) "Medical necessity" includes but is not limited to considerations such as severity of​
5555 2.26side effects, difference in permanence and reversability of a contraceptive method or service,​
5656 2.27and ability to adhere to the appropriate use of the contraceptive method or service, as​
5757 2.28determined by the attending provider.​
5858 2.29 (g) "Religious organization" means an organization that is organized and operates as a​
5959 2.30nonprofit entity and meets the requirements of section 6033(a)(3)(A)(i) or (iii) of the Internal​
6060 2.31Revenue Code of 1986, as amended.​
6161 2​Section 1.​
6262 23-01099 as introduced​01/17/23 REVISOR SGS/LN​ 3.1 (h) "Therapeutic equivalent version" means a drug, device, or product that can be expected​
6363 3.2to have the same clinical effect and safety profile when administered to a patient under the​
6464 3.3conditions specified in the labeling, and that:​
6565 3.4 (1) is approved as safe and effective;​
6666 3.5 (2) is a pharmaceutical equivalent, (i) containing identical amounts of the same active​
6767 3.6drug ingredient in the same dosage form and route of administration, and (ii) meeting​
6868 3.7compendial or other applicable standards of strength, quality, purity, and identity;​
6969 3.8 (3) is bioequivalent in that:​
7070 3.9 (i) the drug, device, or product does not present a known or potential bioequivalence​
7171 3.10problem and meets an acceptable in vitro standard; or​
7272 3.11 (ii) if the drug, device, or product does present a known or potential bioequivalence​
7373 3.12problem, it is shown to meet an appropriate bioequivalence standard;​
7474 3.13 (4) is adequately labeled; and​
7575 3.14 (5) is manufactured in compliance with current manufacturing practice regulations.​
7676 3.15 Subd. 2.Required coverage; cost sharing prohibited.(a) A health plan must provide​
7777 3.16coverage for contraceptive methods and services.​
7878 3.17 (b) A health plan company must not impose cost-sharing requirements, including co-pays,​
7979 3.18deductibles, or co-insurance, for contraceptive methods or services.​
8080 3.19 (c) Notwithstanding paragraph (b), a health plan that is a high-deductible health plan in​
8181 3.20conjunction with a health savings account must include cost-sharing for contraceptive​
8282 3.21methods and services at the minimum level necessary to preserve the enrollee's ability to​
8383 3.22make tax exempt contributions and withdrawals from the health savings account, as provided​
8484 3.23by section 223 of the Internal Revenue Code of 1986, as amended.​
8585 3.24 (d) A health plan company must not impose any referral requirements, restrictions, or​
8686 3.25delays for contraceptive methods or services.​
8787 3.26 (e) A health plan must include at least one of each type of Food and Drug Administration​
8888 3.27approved contraceptive method in its formulary. If more than one therapeutic equivalent​
8989 3.28version of a contraceptive method is approved, a health plan must include at least one​
9090 3.29therapeutic equivalent version in its formulary, but is not required to include all therapeutic​
9191 3.30equivalent versions.​
9292 3.31 (f) For each health plan, a health plan company must list the contraceptive methods and​
9393 3.32services that are covered without cost-sharing in a manner that is easily accessible to​
9494 3​Section 1.​
9595 23-01099 as introduced​01/17/23 REVISOR SGS/LN​ 4.1enrollees, health care providers, and representatives of health care providers. The list for​
9696 4.2each health plan must be promptly updated to reflect changes to the coverage.​
9797 4.3 (g) If an enrollee's attending provider recommends a particular contraceptive method or​
9898 4.4service based on a determination of medical necessity for that enrollee, the health plan must​
9999 4.5cover that contraceptive method or service without cost-sharing. The health plan company​
100100 4.6issuing the health plan must defer to the attending provider's determination that the particular​
101101 4.7contraceptive method or service is medically necessary for the enrollee.​
102102 4.8 Subd. 3.Religious employers; exempt(a) A religious employer is not required to cover​
103103 4.9contraceptive methods or services if the employer has religious objections to the coverage.​
104104 4.10A religious employer that chooses to not provide coverage for contraceptive methods and​
105105 4.11services must notify employees as part of the hiring process and to all employees at least​
106106 4.1230 days before:​
107107 4.13 (1) an employee enrolls in the health plan; or​
108108 4.14 (2) the effective date of the health plan, whichever occurs first.​
109109 4.15 (b) If the religious employer provides coverage for some contraceptive methods or​
110110 4.16services, the notice must provide a list of the contraceptive methods or services the employer​
111111 4.17refuses to cover.​
112112 4.18 Subd. 4.Accommodation for eligible organizations.(a) A health plan established or​
113113 4.19maintained by an eligible organization complies with the requirements of subdivision 2 to​
114114 4.20provide coverage of contraceptive methods and services if the eligible organization provides​
115115 4.21notice to any health plan company the eligible organization contracts with that it is an eligible​
116116 4.22organization and that the eligible organization has a religious objection to coverage for all​
117117 4.23or a subset of contraceptive methods or services.​
118118 4.24 (b) The notice from an eligible organization to a health plan company under paragraph​
119119 4.25(a) must include (1) the name of the eligible organization, (2) a statement that it objects to​
120120 4.26coverage for some or all of contraceptive methods or services, including a list of the​
121121 4.27contraceptive methods or services the eligible organization objects to, if applicable, and (3)​
122122 4.28the health plan name. The notice must be executed by a person authorized to provide notice​
123123 4.29on behalf of the eligible organization.​
124124 4.30 (c) An eligible organization must provide a copy of the notice under paragraph (b) to​
125125 4.31prospective employees as part of the hiring process and to all employees at least 30 days​
126126 4.32before:​
127127 4.33 (1) an employee enrolls in the health plan; or​
128128 4​Section 1.​
129129 23-01099 as introduced​01/17/23 REVISOR SGS/LN​ 5.1 (2) the effective date of the health plan, whichever occurs first.​
130130 5.2 (d) A health plan company that receives a copy of the notice under paragraph (a) with​
131131 5.3respect to a health plan established or maintained by an eligible organization must:​
132132 5.4 (1) expressly exclude coverage for some or all contraceptive methods or services from​
133133 5.5the health plan; and​
134134 5.6 (2) provide separate payments for any contraceptive methods or services required to be​
135135 5.7covered under subdivision 2 for enrollees as long as the enrollee remains enrolled in the​
136136 5.8health plan.​
137137 5.9 (e) The health plan company must not impose any cost-sharing requirements, including​
138138 5.10co-pays, deductibles, or co-insurance, or directly or indirectly impose any premium, fee, or​
139139 5.11other charge for contraceptive services or methods on the eligible organization, health plan,​
140140 5.12or enrollee.​
141141 5.13 (f) On January 1, 2025, and every year thereafter a health plan company must notify the​
142142 5.14commissioner, in a manner to be determined by the commissioner, regarding the number​
143143 5.15of eligible organizations granted an accommodation under this subdivision.​
144144 5.16 EFFECTIVE DATE.This section is effective January 1, 2024, and applies to coverage​
145145 5.17offered, sold, issued, or renewed on or after that date.​
146146 5.18 Sec. 2. [62Q.523] COVERAGE FOR PRESCRIPTION CONTRACEPTIVES;​
147147 5.19SUPPLY REQUIREMENTS.​
148148 5.20 Subdivision 1.Scope of coverage.Except as otherwise provided in section 62Q.522,​
149149 5.21subdivision 3, all health plans that provide prescription coverage must comply with the​
150150 5.22requirements of this section.​
151151 5.23 Subd. 2.Definition.For purposes of this section, "prescription contraceptive" means​
152152 5.24any drug or device that requires a prescription and is approved by the Food and Drug​
153153 5.25Administration to prevent pregnancy. Prescription contraceptive does not include an​
154154 5.26emergency contraceptive drug that prevents pregnancy when administered after sexual​
155155 5.27contact.​
156156 5.28 Subd. 3.Required coverage.(a) Health plan coverage for a prescription contraceptive​
157157 5.29must provide a 12-month supply for any prescription contraceptive, regardless of whether​
158158 5.30the enrollee was covered by the health plan at the time of the first dispensing.​
159159 5.31 (b) The prescribing health care provider must determine the appropriate number of​
160160 5.32months to prescribe the prescription contraceptives for, up to 12 months.​
161161 5​Sec. 2.​
162162 23-01099 as introduced​01/17/23 REVISOR SGS/LN​ 6.1 EFFECTIVE DATE.This section is effective January 1, 2024, and applies to coverage​
163163 6.2offered, sold, issued, or renewed on or after that date.​
164164 6.3 Sec. 3. Minnesota Statutes 2022, section 256B.0625, subdivision 13, is amended to read:​
165165 6.4 Subd. 13.Drugs.(a) Medical assistance covers drugs, except for fertility drugs when​
166166 6.5specifically used to enhance fertility, if prescribed by a licensed practitioner and dispensed​
167167 6.6by a licensed pharmacist, by a physician enrolled in the medical assistance program as a​
168168 6.7dispensing physician, or by a physician, a physician assistant, or an advanced practice​
169169 6.8registered nurse employed by or under contract with a community health board as defined​
170170 6.9in section 145A.02, subdivision 5, for the purposes of communicable disease control.​
171171 6.10 (b) The dispensed quantity of a prescription drug must not exceed a 34-day supply,​
172172 6.11unless authorized by the commissioner or the drug appears on the 90-day supply list published​
173173 6.12by the commissioner. The 90-day supply list shall be published by the commissioner on the​
174174 6.13department's website. The commissioner may add to, delete from, and otherwise modify​
175175 6.14the 90-day supply list after providing public notice and the opportunity for a 15-day public​
176176 6.15comment period. The 90-day supply list may include cost-effective generic drugs and shall​
177177 6.16not include controlled substances as provided in paragraph (h).​
178178 6.17 (c) For the purpose of this subdivision and subdivision 13d, an "active pharmaceutical​
179179 6.18ingredient" is defined as a substance that is represented for use in a drug and when used in​
180180 6.19the manufacturing, processing, or packaging of a drug becomes an active ingredient of the​
181181 6.20drug product. An "excipient" is defined as an inert substance used as a diluent or vehicle​
182182 6.21for a drug. The commissioner shall establish a list of active pharmaceutical ingredients and​
183183 6.22excipients which are included in the medical assistance formulary. Medical assistance covers​
184184 6.23selected active pharmaceutical ingredients and excipients used in compounded prescriptions​
185185 6.24when the compounded combination is specifically approved by the commissioner or when​
186186 6.25a commercially available product:​
187187 6.26 (1) is not a therapeutic option for the patient;​
188188 6.27 (2) does not exist in the same combination of active ingredients in the same strengths​
189189 6.28as the compounded prescription; and​
190190 6.29 (3) cannot be used in place of the active pharmaceutical ingredient in the compounded​
191191 6.30prescription.​
192192 6.31 (d) Medical assistance covers the following over-the-counter drugs when prescribed by​
193193 6.32a licensed practitioner or by a licensed pharmacist who meets standards established by the​
194194 6.33commissioner, in consultation with the board of pharmacy: antacids, acetaminophen, family​
195195 6​Sec. 3.​
196196 23-01099 as introduced​01/17/23 REVISOR SGS/LN​ 7.1planning products, aspirin, insulin, products for the treatment of lice, vitamins for adults​
197197 7.2with documented vitamin deficiencies, vitamins for children under the age of seven and​
198198 7.3pregnant or nursing women, and any other over-the-counter drug identified by the​
199199 7.4commissioner, in consultation with the Formulary Committee, as necessary, appropriate,​
200200 7.5and cost-effective for the treatment of certain specified chronic diseases, conditions, or​
201201 7.6disorders, and this determination shall not be subject to the requirements of chapter 14. A​
202202 7.7pharmacist may prescribe over-the-counter medications as provided under this paragraph​
203203 7.8for purposes of receiving reimbursement under Medicaid. When prescribing over-the-counter​
204204 7.9drugs under this paragraph, licensed pharmacists must consult with the recipient to determine​
205205 7.10necessity, provide drug counseling, review drug therapy for potential adverse interactions,​
206206 7.11and make referrals as needed to other health care professionals.​
207207 7.12 (e) Effective January 1, 2006, medical assistance shall not cover drugs that are coverable​
208208 7.13under Medicare Part D as defined in the Medicare Prescription Drug, Improvement, and​
209209 7.14Modernization Act of 2003, Public Law 108-173, section 1860D-2(e), for individuals eligible​
210210 7.15for drug coverage as defined in the Medicare Prescription Drug, Improvement, and​
211211 7.16Modernization Act of 2003, Public Law 108-173, section 1860D-1(a)(3)(A). For these​
212212 7.17individuals, medical assistance may cover drugs from the drug classes listed in United States​
213213 7.18Code, title 42, section 1396r-8(d)(2), subject to this subdivision and subdivisions 13a to​
214214 7.1913g, except that drugs listed in United States Code, title 42, section 1396r-8(d)(2)(E), shall​
215215 7.20not be covered.​
216216 7.21 (f) Medical assistance covers drugs acquired through the federal 340B Drug Pricing​
217217 7.22Program and dispensed by 340B covered entities and ambulatory pharmacies under common​
218218 7.23ownership of the 340B covered entity. Medical assistance does not cover drugs acquired​
219219 7.24through the federal 340B Drug Pricing Program and dispensed by 340B contract pharmacies.​
220220 7.25 (g) Notwithstanding paragraph (a), medical assistance covers self-administered hormonal​
221221 7.26contraceptives prescribed and dispensed by a licensed pharmacist in accordance with section​
222222 7.27151.37, subdivision 14; nicotine replacement medications prescribed and dispensed by a​
223223 7.28licensed pharmacist in accordance with section 151.37, subdivision 15; and opiate antagonists​
224224 7.29used for the treatment of an acute opiate overdose prescribed and dispensed by a licensed​
225225 7.30pharmacist in accordance with section 151.37, subdivision 16.​
226226 7.31 (h) Medical assistance coverage for a prescription contraceptive must provide a 12-month​
227227 7.32supply for any prescription contraceptive, regardless of whether the enrollee was covered​
228228 7.33by medical assistance or the health plan at the time of the first dispensing. The prescribing​
229229 7.34health care provider must determine the appropriate number of months to prescribe the​
230230 7.35prescription contraceptives for, up to 12 months.​
231231 7​Sec. 3.​
232232 23-01099 as introduced​01/17/23 REVISOR SGS/LN​ 8.1For purposes of this paragraph, "prescription contraceptive" means any drug or device that​
233233 8.2requires a prescription and is approved by the Food and Drug Administration to prevent​
234234 8.3pregnancy. Prescription contraceptive does not include an emergency contraceptive drug​
235235 8.4approved to prevent pregnancy when administered after sexual contact. For purposes of this​
236236 8.5paragraph, "health plan" has the meaning provided in section 62Q.01, subdivision 3.​
237237 8.6 EFFECTIVE DATE.This section applies to medical assistance and MinnesotaCare​
238238 8.7coverage effective January 1, 2024.​
239239 8​Sec. 3.​
240240 23-01099 as introduced​01/17/23 REVISOR SGS/LN​