Minnesota Session Laws - 2004, Regular Session

                            CHAPTER 280-H.F.No. 2207 
                  An act relating to health; clarifying that individuals 
                  may participate in pharmaceutical manufacturer's 
                  rebate programs; amending Minnesota Statutes 2002, 
                  section 62J.23, subdivision 2. 
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
           Section 1.  Minnesota Statutes 2002, section 62J.23, 
        subdivision 2, is amended to read: 
           Subd. 2.  [INTERIM RESTRICTIONS.] (a) From July 1, 1992, 
        until rules are adopted by the commissioner under this section, 
        the restrictions in the federal Medicare antikickback statutes 
        in section 1128B(b) of the Social Security Act, United States 
        Code, title 42, section 1320a-7b(b), and rules adopted under the 
        federal statutes, apply to all persons in the state, regardless 
        of whether the person participates in any state health care 
        program.  The commissioner shall approve a transition plan 
        submitted to the commissioner by January 1, 1993, by a person 
        who is in violation of this section that provides a reasonable 
        time for the person to modify prohibited practices or divest 
        financial interests in other persons in order to come into 
        compliance with this section.  Transition plans that identify 
        individuals are private data.  Transition plans that do not 
        identify individuals are nonpublic data. 
           (b) Nothing in paragraph (a) shall be construed to prohibit 
        an individual from receiving a discount or other reduction in 
        price or a limited-time free supply or samples of a prescription 
        drug, medical supply, or medical equipment offered by a 
        pharmaceutical manufacturer, medical supply or device 
        manufacturer, health plan company, or pharmacy benefit manager, 
        so long as: 
           (1) the discount or reduction in price is provided to the 
        individual in connection with the purchase of a prescription 
        drug, medical supply, or medical equipment prescribed for that 
        individual; 
           (2) it otherwise complies with the requirements of state 
        and federal law applicable to enrollees of state and federal 
        public health care programs; 
           (3) the discount or reduction in price does not exceed the 
        amount paid directly by the individual for the prescription 
        drug, medical supply, or medical equipment; and 
           (4) the limited-time free supply or samples are provided by 
        a physician or pharmacist, as provided by the federal 
        Prescription Drug Marketing Act. 
           (c) No benefit, reward, remuneration, or incentive for 
        continued product use may be provided to an individual or an 
        individual's family by a pharmaceutical manufacturer, medical 
        supply or device manufacturer, or pharmacy benefit manager, 
        except that this prohibition does not apply to: 
           (1) activities permitted under paragraph (b); 
           (2) a pharmaceutical manufacturer, medical supply or device 
        manufacturer, health plan company, or pharmacy benefit manager 
        providing to a patient, at a discount or reduced price or free 
        of charge, ancillary products necessary for treatment of the 
        medical condition for which the prescription drug, medical 
        supply, or medical equipment was prescribed or provided; and 
           (3) a pharmaceutical manufacturer, medical supply or device 
        manufacturer, health plan company, or pharmacy benefit manager 
        providing to a patient a trinket or memento of insignificant 
        value. 
           (d) Nothing in this subdivision shall be construed to 
        prohibit a health plan company from offering a tiered formulary 
        with different co-payment or cost-sharing amounts for different 
        drugs. 
           Sec. 2.  [EFFECTIVE DATE.] 
           Section 1 is effective July 1, 2004. 
           Presented to the governor May 18, 2004 
           Signed by the governor May 29, 2004, 10:05 a.m.