Rep. Norm Thurston — Voting Record

Bill

Number

H.B. 6011 (2020S6)

Sponsor

Rep. Ray, P.

Final action

Governor Signed 8/31/2020

Outcome

Became law — signed by Gov. Gary R. Herbert

Summary

What it does

• This bill:
• amends certain reporting requirements in the Prescription Drug Price Transparency Act.

Every vote on this bill

Bill text

PHARMACEUTICAL REPORTING AMENDMENTS
SIXTH SPECIAL SESSION
STATE OF UTAH
Chief Sponsor: Paul Ray
Senate Sponsor: 
Evan J. Vickers
LONG TITLE
General Description:
This bill amends the Prescription Drug Price Transparency Act.
Highlighted Provisions:
This bill:
▸ amends certain reporting requirements in the Prescription Drug Price Transparency
Act.
Money Appropriated in this Bill:
None
Other Special Clauses:
This bill provides a special effective date.
Utah Code Sections Affected:
AMENDS:
31A-48-103
, as enacted by Laws of Utah 2020, Chapter 198
Be it enacted by the Legislature of the state of Utah:
Section 1. Section 
31A-48-103
 is amended to read:
31A-48-103.
Manufacturer reports -- Insurer report -- Publication by
department.
(1) (a) A manufacturer of a drug shall
, beginning January 1, 2022,
 report to the
department the information described in Subsection (1)(b) no more than 30 days after the day
on which an increase to the wholesale acquisition cost of the drug results in an increase to the
wholesale acquisition cost of the drug of:
(i) greater than 16% over the preceding two calendar years; or
(ii) greater than 10% over the preceding calendar year.
(b) The manufacturer shall report:
(i) (A) the name of the drug;
(B) the dosage form of the drug; and
(C) the strength of the drug;
(ii) whether the drug is a brand name drug or a generic drug;
(iii) the effective date of the increase in the wholesale acquisition cost of the drug;
(iv) a written description, suitable for public release, of the factors that led to the
increase in the wholesale acquisition cost of the drug and the significance of each factor;
(v) the manufacturer's aggregate company-wide research and development costs for the
most recent year for which final audit data is available;
(vi) the name of each of the manufacturer's drugs approved by the United States Food
and Drug Administration during the preceding three calendar years; and
(vii) the names of drugs manufactured by the manufacturer that lost patent exclusivity
in the United States during the preceding three calendar years.
(c) Subsection (1)(a) applies only to a drug with a wholesale acquisition cost of at least
$100 for a 30-day supply before the effective date of the increase in the wholesale acquisition
cost of the drug.
(d) A manufacturer's obligations under this Subsection (1) are fully satisfied by
submission of information and data that a manufacturer includes in the manufacturer's annual
consolidated report on Securities and Exchange Commission Form 10-K or any other public
disclosure.
(e) The department shall consult with representatives of manufacturers to establish a
single, standardized format for reporting information under this section that minimizes the
administrative burden of reporting for manufacturers and the state.
(f) Information provided to the department under Subsection (1)(b) may not be released
in a manner that:
(i) would allow for the identification of an individual drug, therapeutic class of drugs,
or manufacturer; or
(ii) is likely to compromise the financial, competitive, or proprietary nature of the
information.
(2) [
Before August 1 of each year,
] 
On or before August 1, 2021, and on or before
August 1 of each year thereafter,
 an insurer shall report to the department in aggregate the
following information for the preceding [
plan
] 
calendar
 year for health benefit plans offered by
the insurer:
(a) for the 25 drugs for which spending by the insurer was the greatest, after adjusting
for rebates:
(i) the name of the drug;
(ii) the dosage form of the drug; and
(iii) the strength of the drug;
(b) the percentage increase over the previous year in net spending for all drugs, after
adjusting for rebates; and
(c) the percentage of the increase in premiums over the previous year attributable to all
drugs; and
(d) the percentage of the increase in premiums over the previous year attributable to
specialty drugs.
(3) The department shall publish on the department's website:
(a) no later than 60 days after receiving the information, information reported to the
department under Subsection (1); and
(b) no later than [
November
] 
December
of each year, information reported to the
department under Subsection (2).
(4) The department may not publish information under Subsection (3)(b) in a manner
that allows the identity of an insurer to be determined.
(5) The department shall make rules, as necessary, in accordance with Title 63G,
Chapter 3, Utah Administrative Rulemaking Act, to promote comparability of information
reported to the department under this chapter.
Section 2. 
Effective date.
If approved by two-thirds of all the members elected to each house, this bill takes effect
upon approval by the governor, or the day following the constitutional time limit of Utah
Constitution, Article VII, Section 8, without the governor's signature, or in the case of a veto,
the date of veto override.