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Senate approves preferred-drug-list changes and a preauthorization procedure for Medicaid

Utah State Senate · February 11, 2009
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Summary

Senate Bill 87, updating the Medicaid preferred drug list and preauthorization procedures, drew robust floor debate over drug classes and oversight but passed after sponsors adopted an amendment codifying the preauthorization process.

Senate Bill 87, which revises the Medicaid preferred drug list (PDL) and related procedures, was the subject of extended floor debate on Feb. 11. Senator Christiansen, sponsor of the bill, framed SB 87 as a tool to generate savings and align the state’s PDL with other jurisdictions by codifying a process for prior authorization and oversight.

Opponents urged caution about particular drug classes and the possible effects of automatic physician overrides. Senator Davis pressed for tighter review of proton-pump inhibitors (PPIs), which were singled out during earlier floor discussion as a compliance weak spot. In response, sponsors proposed a targeted demonstration and an amendment to codify a preauthorization procedure (amendment 5) requiring telephone or fax notification within 24 hours during normal business hours; sponsors described it as a friendly amendment and it was adopted.

Supporters argued the change would improve Medicaid management and generate savings already budgeted in the base. "This bill helps find some of those savings without hurting our citizens," Senator Christiansen said on the floor. After debate and amendments, the Senate passed SB 87 by recorded vote and forwarded it to the House.

The bill includes mechanisms for adding drugs to the PDL, a process for prior authorization and a pilot/demonstration approach for certain classes; the Senate adopted technical amendments to clarify the preauthorization workflow and timing.