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HB23-1225

Extend And Modify Prescription Drug Affordability Board

Type Bill
Session 2023 Regular Session
Subjects
Health Care & Health Insurance Insurance

Concerning the prescription drug affordability board, and, in connection therewith, modifying the affordability review process, allowing the board to establish upper payment limits for an additional number of prescription drugs, clarifying which board functions are subject to judicial review, authorizing an individual to request an independent external review of a denial of a request for benefits for a prescription drug that has been withdrawn from sale or distribution in the state, and extending the repeal date of the board.

Bill Summary:

In 2021, the general assembly enacted Senate Bill 21-175, concerning the Colorado prescription drug affordability review board, which created the prescription drug affordability review board (board) in the division of insurance (division) and an affordability review process whereby the board may review costs associated with, and establish upper payment limits for, certain prescription drugs. The 2023 act makes certain changes concerning the board.

Section 1 clarifies which actions taken by the board are "board activities", as this term is used elsewhere. Section 2 states that staff members and contractors of the division must disclose any conflict of interest related to a prescription drug for which the board is conducting an affordability review or establishing an upper payment limit. Such a disclosure remains confidential if it relates to a personal association. The board, upon review of a disclosure, may direct the staff member or contractor of the division to recuse themselves.

Section 3 allows the chair of the board to cancel or postpone a board meeting for good cause. Section 4 makes certain changes to the procedure by which the board identifies prescription drugs that may be subjected to an affordability review, which changes take effect January 1, 2025, and requires the board to report on its public web page certain information regarding its considerations.

Under current law, the board may not establish an upper payment limit for more than 12 prescription drugs per calendar year for 3 years, beginning April 1, 2022. Section 5 lets the board establish an upper payment limit for up to 18 prescription drugs per calendar year if the board determines that there is a need and has sufficient staff support.

Section 6 establishes that an upper payment limit for a prescription drug is not a final agency action that is subject to judicial review until the board promulgates a rule establishing the upper payment limit. Sections 6 and 7 remove certain language concerning a process for appealing decisions of the board.

Sections 8 and 9 extend the repeal and associated sunset review of the board from September 1, 2026, to September 1, 2031.

Section 10 establishes that a denial of a request for benefits for a prescription drug that is unavailable in the state because a manufacturer has withdrawn the prescription drug from sale or distribution within the state is an "adverse determination" for which an individual may request an independent external review.

APPROVED by Governor May 10, 2023

PORTIONS EFFECTIVE August 7, 2023

PORTIONS EFFECTIVE January 1, 2025

NOTE: This act was passed without a safety clause and takes effect 90 days after sine die; except that, section 4 of the act takes effect January 1, 2025.
(Note: This summary applies to this bill as enacted.)

Status

Became Law

Introduced

Passed

Became Law

Related Documents & Information

Date Version Documents
05/10/2023 Signed Act PDF
05/05/2023 Final Act PDF
04/24/2023 Rerevised PDF
04/21/2023 Revised PDF
03/21/2023 Reengrossed PDF
03/20/2023 Engrossed PDF
03/02/2023 Introduced PDF
Date Version Documents
04/19/2023 PA1 PDF
Date Version Documents
07/07/2023 FN2 PDF
03/08/2023 FN1 PDF
Activity Vote Documents
Adopt amendment L.019 (Attachment C). The motion passed without objection. Vote summary
Adopt amendment L.015 (Attachment D). The motion failed on a vote of 4-5. Vote summary
Refer House Bill 23-1225, as amended, to the Committee of the Whole. The motion passed on a vote of 6-3. Vote summary
Activity Vote Documents
Adopt amendment L.004 (Attachment F). The motion failed on a vote of 2-9. Vote summary
Adopt amendment L.001 (Attachment G). The motion failed on a vote of 2-9. Vote summary
Adopt amendment L.002 (Attachment H). The motion failed on a vote of 2-9. Vote summary
Refer House Bill 23-1225 to the Committee of the Whole. The motion passed on a vote of 8-3. Vote summary
Date Calendar Motion Vote Vote Document
04/26/2023 Senate Amendments REPASS
46
AYE
18
NO
1
OTHER
Vote record
04/26/2023 Senate Amendments CONCUR
46
AYE
18
NO
1
OTHER
Vote record
03/21/2023 Third Reading BILL
45
AYE
20
NO
0
OTHER
Vote record
Date Calendar Motion Vote Vote Document
04/24/2023 Third Reading BILL
22
AYE
12
NO
1
OTHER
Vote record
04/21/2023 Committee of the Whole COW * (.001)
13
AYE
18
NO
4
OTHER
Vote record
Date Amendment Number Committee/ Floor Hearing Status Documents
04/21/2023 L.022 Second Reading Lost [**] PDF
04/21/2023 L.021 Second Reading Passed [**] PDF
04/19/2023 L.015 SEN Health & Human Services Lost PDF
04/19/2023 L.019 SEN Health & Human Services Passed [*] PDF
03/20/2023 L.012 Second Reading Lost [**] PDF
03/20/2023 L.011 Second Reading Passed [**] PDF
03/10/2023 L.002 HOU Health & Insurance Lost PDF
03/10/2023 L.001 HOU Health & Insurance Lost PDF
03/10/2023 L.004 HOU Health & Insurance Lost PDF
Date Location Action
05/10/2023 Governor Governor Signed
05/05/2023 Governor Sent to the Governor
05/05/2023 Senate Signed by the President of the Senate
05/04/2023 House Signed by the Speaker of the House
04/26/2023 Senate House Considered Senate Amendments - Result was to Concur - Repass
04/25/2023 Senate House Considered Senate Amendments - Result was to Laid Over Daily
04/24/2023 Senate Senate Third Reading Passed - No Amendments
04/21/2023 Senate Senate Second Reading Passed with Amendments - Committee, Floor
04/19/2023 Senate Senate Committee on Health & Human Services Refer Amended to Senate Committee of the Whole
03/22/2023 Senate Introduced In Senate - Assigned to Health & Human Services
03/21/2023 House House Third Reading Passed - No Amendments
03/20/2023 House House Second Reading Special Order - Passed with Amendments - Floor
03/14/2023 House House Second Reading Laid Over Daily - No Amendments
03/10/2023 House House Committee on Health & Insurance Refer Unamended to House Committee of the Whole
03/02/2023 House Introduced In House - Assigned to Health & Insurance
Effective Date Chapter # Title Documents
08/07/2023 162 Extend & Modify Rx Drug Affordability Board PDF