Second Regular Session Sixty-eighth General Assembly STATE OF COLORADO INTRODUCED LLS NO. 12-0318.01 Christy Chase x2008 SENATE BILL 12-065 SENATE SPONSORSHIP Morse, HOUSE SPONSORSHIP (None), Senate Committees House Committees Health and Human Services A BILL FOR AN ACT Concerning the development of a prior authorization form to be used by health benefit plans that cover prescription drug benefits. Bill Summary (Note: This summary applies to this bill as introduced and does not reflect any amendments that may be subsequently adopted. If this bill passes third reading in the house of introduction, a bill summary that applies to the reengrossed version of this bill will be available at http://www.leg.state.co.us/billsummaries.) The bill requires the commissioner of insurance to develop by July 1, 2013, and requires prescribing providers and health benefit plans to use by January 1, 2014, a uniform prior authorization form for purposes of submitting and receiving requests for prior coverage approval of a prescription drug. If the health benefit plan fails to use or accept the prior authorization form or fails to respond to a request within 2 business days, the request is deemed granted. An approved prior authorization form is valid for 12 months after the date of approval. Be it enacted by the General Assembly of the State of Colorado: SECTION 1. In Colorado Revised Statutes, add 10-16-124.5 as follows: 10-16-124.5. Prior authorization form - prescription drugs - commissioner rules. (1) Notwithstanding any other provision of law, on and after January 1, 2014, a health benefit plan that provides coverage for prescription drugs shall utilize and accept only the prior authorization form developed pursuant to subsection (3) of this section when requiring prior authorization for prescription drug benefits. (2) If a health benefit plan fails to utilize or accept the prior authorization form, or fails to respond within two business days upon receipt of a prior authorization request from a prescribing provider, the prior authorization request is deemed granted. (3) On or before July 1, 2013, the commissioner shall develop by rule a uniform prior authorization form that: (a) Does not exceed two pages in length; (b) Is made available electronically by the division and the carrier; (c) Can be completed and submitted electronically by the prescribing provider to the carrier; and (d) Is developed with input from interested parties at not less than one public meeting. (4) Notwithstanding any other provision of law, on and after January 1, 2014, every prescribing provider shall use the prior authorization form developed pursuant to subsection (3) of this section to request prior authorization for coverage of prescription drugs, and every health benefit plan shall accept that form as sufficient to request prior authorization for prescription drug benefits. (5) Upon approval by the health benefit plan, a prior authorization is valid for twelve months after that date of approval. (6) As used in this section, a "prescribing provider" means a provider who is authorized by law to prescribe any drug or device to treat a medical condition of an insured and who is acting within the scope of that authority. SECTION 2. Act subject to petition - effective date. This act takes effect at 12:01 a.m. on the day following the expiration of the ninety-day period after final adjournment of the general assembly (August 7, 2012, if adjournment sine die is on May 9, 2012); except that, if a referendum petition is filed pursuant to section 1 (3) of article V of the state constitution against this act or an item, section, or part of this act within such period, then the act, item, section, or part will not take effect unless approved by the people at the general election to be held in November 2012 and, in such case, will take effect on the date of the official declaration of the vote thereon by the governor.