SENATE BILL No. 986

 

 

May 8, 2018, Introduced by Senator HILDENBRAND and referred to the Committee on Health Policy.

 

 

     A bill to amend 1939 PA 280, entitled

 

"The social welfare act,"

 

by amending section 109h (MCL 400.109h), as added by 2004 PA 248.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 109h. (1) If the department of community health develops

 

a prior authorization process for prescription drugs as part of the

 

pharmaceutical services offered under the medical assistance

 

program administered under this act, it shall not require prior

 

authorization for the following single source brand name, generic

 

equivalent of a multiple source brand name, or other prescription

 

drugs:

 

     (a) A central nervous system prescription drug that is

 

classified as an anticonvulsant, antidepressant, antipsychotic, or

 

a noncontrolled substance antianxiety drug in a generally accepted

 

standard medical reference.


     (b) A prescription drug that is cross-indicated for a central

 

nervous system drug exempted under subdivision (a) as documented in

 

a generally accepted standard medical reference.

 

     (c) Unless the prescription drug is a controlled substance or

 

the prescription drug is being prescribed to treat a condition that

 

is excluded from coverage under this act, a prescription drug that

 

is recognized in a generally accepted standard medical reference as

 

effective in the treatment of conditions specified in the most

 

recent diagnostic and statistical manual of mental disorders

 

published by the American psychiatric association. Psychiatric

 

Association. The department or the department's agent shall not

 

deny a request for prior authorization of a controlled substance

 

under this subdivision unless the department or the department's

 

agent determines that the controlled substance or the dosage of the

 

controlled substance being prescribed is not consistent with its

 

licensed indications or with generally accepted medical practice as

 

documented in a standard medical reference.

 

     (d) A prescription drug that is recognized in a generally

 

accepted standard medical reference for the treatment of and is

 

being prescribed to a patient for the treatment of any of the

 

following:

 

     (i) Human immunodeficiency virus infections or the

 

complications of the human immunodeficiency virus or acquired

 

immunodeficiency syndrome.

 

     (ii) Cancer.

 

     (iii) Organ replacement therapy.

 

     (iv) Epilepsy or seizure disorder.


     (2) The department may exclude from the department's preferred

 

drug list a drug described in subsection (1) that is not subject to

 

prior authorization.

 

     (3) (2) This section does not apply to drugs being provided

 

under a contract between the department and a health maintenance

 

organization.

 

     (4) (3) As used in this section:

 

     (a) "Controlled substance" means that term as defined in

 

section 7104 of the public health code, 1978 PA 368, MCL 333.7104.

 

     (b) "Cross-indicated" means a drug which is used for a purpose

 

generally held to be reasonable, appropriate, and within community

 

standards of practice even though the use is not included in the

 

federal food and drug administration's approved labeled indications

 

for that drug.

 

     (c) "Department" means the department of community health.

 

     (c) (d) "Prescriber" means that term as defined in section

 

17708 of the public health code, 1978 PA 368, MCL 333.17708.

 

     (d) (e) "Prescription" or "prescription drug" means that term

 

as defined in section 17708 of the public health code, 1978 PA 368,

 

MCL 333.17708.

 

     (e) (f) "Prior authorization" means a process implemented by

 

the department of community health that conditions, delays, or

 

denies the delivery of particular pharmaceutical services to

 

medicaid beneficiaries Medicaid recipients upon application of

 

predetermined criteria by the department or the department's agent

 

for those pharmaceutical services covered by the department on a

 

fee-for-service basis or pursuant according to a contract for those


services. The process may require a prescriber to verify with the

 

department or the department's agent that the proposed medical use

 

of a prescription drug being prescribed for a patient meets the

 

predetermined criteria for a prescription drug that is otherwise

 

covered under this act or require a prescriber to obtain

 

authorization from the department or the department's agent before

 

prescribing or dispensing a prescription drug that is not included

 

on a preferred drug list or that is subject to special access or

 

reimbursement restrictions.