Req. No. 581 Page 1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 STATE OF OKLAHOMA 1st Session of the 58th Legislature (2021) SENATE BILL 538 By: Standridge AS INTRODUCED An Act relating to prescription drugs; cr eating the Oklahoma Patient Right to Know Act; defining terms; authorizing persons to reques t certain information on certain prescribed form; providing timeline for submitting certain information; establish ing fine for failure to provide certain informatio n; requiring Insurance Department to plac e fine in certain fund; authorizing Insurance Depar tment to promulgate rules; providing for codification; and providing an effective date. BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: SECTION 1. NEW LAW A new se ction of law to be codified in the Oklahoma Statute s as Section 6970 of Title 36, unless there is created a duplication in numbering, reads as follows: This act shall be known and may be cited as the “Oklahoma Patient Right to Know Act”. SECTION 2. NEW LAW A new section of law to be codified in the Oklahoma Statutes as Section 6971 of Title 36, unless there is created a duplication in numbering, reads as follows: A. For the purpose of this sect ion: Req. No. 581 Page 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1. “Insurer” means any entity or insurer authorized to provide health insurance or h ealth benefits pursuant to the laws of this state and any entity or person engaged in the business of making contracts for accident or health insurance; 2. “Manufacturer” means any person, business or entity that holds the national drug code for a prescri ption drug and is either engaged in the production, preparation, propagation, compounding, conversion or processing of drug products in this state. It shall also include any person, business or entity that is engaged in the packaging, repackaging, labeling, relabeling or distribution of drug products in this state, or any person , business or entity that causes the drug products to be compounded, packaged or transporte d in this state, that is not a wholesal e drug distributor, as defined in this section, or a retail pharmacy licensed by the State Board of Pharmacy; 3. “Pharmacist” means any person licensed by the State Board of Pharmacy to practice pharmacy in this state; 4. “Pharmacy benefits manager ” means a person, business or entity, and any partially or wholly owned subsidiary of an entity, doing business in this state which contracts to administer or manage prescription drug benefits on be half of a managed-care company, nonprofit hospital, medical serv ice organization, insurance company, third-party payor or a health program adm inistered by a department of this state; and Req. No. 581 Page 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 5. “Wholesale drug distributor ” means a person, business or entity licensed by the State Board of Pharmacy and engaged in the sale of prescription drugs to another person, business or entity other than a consumer or patient . This includes but is not limited to manufacturers, repackagers, own-label distributors, private label distributors, jobbers, brokers, warehouses including manufacturers’ and distributors’ warehouses, chain drug warehouses, wholesale drug warehouses, independent wholesale drug traders and retail pharmacies that conduct wholesale distribution s. B. 1. Beginning Janu ary 1, 2021, a pharmacist, on behalf of a patient obtaining a prescription drug or drugs, as defined i n paragraph 2 of Section 5040.3 of Title 74 of the Oklahoma Statutes, shall be authorized to submit a request in writing from the patient, on a form prescribed by the State Board of Pharmacy, for informat ion on the specific allocation of the dollar amount of the retail price provided to the insurer, manufacturer, wholesale drug distributor and pharmacy benefit manager for the drug or drugs being dispensed pursuant to the prescription. 2. The insurer, manufacturer, wholesale drug distributor and pharmacy benefit manager shall have thirty (30) days from receipt of the request from the pharmacist to provide the information requested. 3. If the information is not provided to the pharmacist with in thirty (30) days, a fine of Fifty Dollars ($50.00) per day, per Req. No. 581 Page 4 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 request shall be paid to the pharmacy by any entity failing to provide the information required by this section. The pharmacy shall remit any amount received to the I nsurance Department; provided, however, that the pharmacy is authorized to charge a handling fee in an amount to be determined by the Insurance Department. The Insurance Department shall deposit the remaining amount of the fine to the credit of the State Insurance Commissioner Revolving Fund for the operations of the Office of the Insurance Commissioner, pursuant to Section 307.3 of Title 36 of the Oklahoma Statutes. C. The Insurance Department shall promulgate rules to implement the provisions of this section. SECTION 3. This act shall become effective November 1, 202 1. 58-1-581 CB 1/20/2021 3:14:30 PM