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H*3586
Session 115 (2003-2004)


H*3586(Rat #0125, Act #0059 of 2003)  General Bill, By Clemmons, Harrison, Cato, 
W.D. Smith, Viers, Herbkersman, M.A. Pitts, Altman, Barfield, Battle, Bingham, 
Branham, Ceips, Clark, Duncan, M. Hines, Keegan, Lourie, Owens, Skelton, Toole, 
Trotter, Umphlett, Whitmire, Witherspoon, Young, Hagood, Mahaffey, D.C. Smith, 
Haskins, Allen, Cobb-Hunter, Limehouse, Richardson, Tripp, Jennings, Hayes, 
Merrill, Hinson, Delleney, G.M. Smith, Koon, Taylor, Martin, Bailey, McGee, 
Hamilton, J.R. Smith, Rhoad, Anthony, Freeman, Scarborough, J.E. Smith, Loftis, 
Coates, Rivers, Ott, J.H. Neal, Dantzler, Moody-Lawrence, Huggins, Edge, Quinn, 
Wilkins, Clyburn, Kirsh, Neilson, Davenport, Gilham, Thompson, McLeod and Leach
 AN ACT TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING ARTICLENext 5
 TO CHAPTER 6, TITLE 44 SO AS TO ENACT THE SOUTH CAROLINA RETIREES AND
 INDIVIDUALS POOLING TOGETHER FOR SAVINGS ACT WHICH CREATES A PROGRAM TO BE
 ADMINISTERED BY THE DEPARTMENT OF HEALTH AND HUMAN SERVICES TO PROVIDE
 PRESCRIPTION DRUGS AT A REDUCED COST TO NONMEDICAID SENIOR RESIDENTS; TO
 REQUIRE THE DEPARTMENT TO ESTABLISH ANNUAL ENROLLMENT FEES WHICH MUST FULLY
 FUND THE ADMINISTRATION OF THE PROGRAM; TO AUTHORIZE THE DEPARTMENT TO SEEK
 NECESSARY WAIVERS, TO COMBINE NEGOTIATING POWERS TO ATTAIN REDUCED
 PRESCRIPTION COSTS FOR PROGRAM ENROLLEES, AND TO CONTRACT WITH OTHER STATES
 AND ENTITIES TO ASSIST IN ADMINISTERING THIS PROGRAM; AND TO REQUIRE THE
 DEPARTMENT TO REPORT TO THE GENERAL ASSEMBLY ANNUALLY ON THE PROGRAM. -
 ratified title

   02/12/03  House  Introduced and read first time HJ-5
   02/12/03  House  Referred to Committee on Ways and Means HJ-5
   02/20/03  House  Member(s) request name added as sponsor: Hagood,
                     Mahaffey, D.C.Smith, Haskins, Allen,
                     Cobb-Hunter, Limehouse, Richardson, Tripp,
                     Jennings, Hayes, Merrill, Hinson, Delleney,
                     G.M.Smith, Koon, Taylor, Martin, Bailey, McGee,
                     Hamilton, J.R.Smith, Rhoad, Anthony, Freeman,
                     Scarborough, J.E.Smith, Loftis, Coates, Rivers,
                     Ott, J.H.Neal, Dantzler, Moody-Lawrence, Huggins
   02/25/03  House  Member(s) request name added as sponsor: Edge, Quinn
   03/05/03  House  Member(s) request name added as sponsor: Wilkins,
                     Clyburn, Kirsh, Neilson
   03/06/03  House  Member(s) request name added as sponsor: Davenport
   03/11/03  House  Member(s) request name added as sponsor: Gilham
   04/09/03  House  Committee report: Favorable with amendment Ways
                     and Means HJ-15
   04/10/03  House  Member(s) request name added as sponsor: Thompson
   04/11/03         Scrivener's error corrected
   04/23/03  House  Member(s) request name added as sponsor: Scott, McLeod
   04/23/03  House  Member(s) request name removed as sponsor: Scott
   04/23/03  House  Requests for debate-Rep(s). Scott, G. Brown,
                     Bales, Lloyd, McGee, Clyburn, Cooper, Clemmons
                     and Rice HJ-20
   04/24/03  House  Requests for debate removed-Rep(s). G. Brown,
                     McGee, Cooper, Bales, Clemmons, Clyburn and
                     Scott HJ-50
   04/24/03  House  Requests for debate removed-Rep(s). Lloyd HJ-51
   04/24/03  House  Member(s) request name added as sponsor: Leach
   04/24/03  House  Debate adjourned until Tuesday, April 29, 2003 HJ-75
   04/30/03  House  Requests for debate-Rep(s). Perry, Loftis, and
                     Hamilton HJ-27
   04/30/03  House  Amended HJ-28
   04/30/03  House  Read second time HJ-34
   05/01/03  House  Read third time and sent to Senate HJ-10
   05/01/03  Senate Introduced and read first time SJ-4
   05/01/03  Senate Referred to Committee on Medical Affairs SJ-4
   05/19/03  Senate Committee report: Favorable Medical Affairs SJ-9
   05/20/03  Senate Read second time SJ-25
   05/20/03  Senate Ordered to third reading with notice of
                     amendments SJ-25
   05/20/03         Scrivener's error corrected
   05/28/03  Senate Read third time and enrolled SJ-38
   06/03/03         Ratified R 125
   06/18/03         Signed By Governor
   06/20/03         Copies available
   06/20/03         Effective date 06/18/03
   06/26/03         Act No. 59





H. 3586

(A59, R125, H3586)

AN ACT TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING PreviousARTICLENext 5 TO CHAPTER 6, TITLE 44 SO AS TO ENACT THE "SOUTH CAROLINA RETIREES AND INDIVIDUALS POOLING TOGETHER FOR SAVINGS ACT" WHICH CREATES A PROGRAM TO BE ADMINISTERED BY THE DEPARTMENT OF HEALTH AND HUMAN SERVICES TO PROVIDE PRESCRIPTION DRUGS AT A REDUCED COST TO NONMEDICAID SENIOR RESIDENTS; TO REQUIRE THE DEPARTMENT TO ESTABLISH ANNUAL ENROLLMENT FEES WHICH MUST FULLY FUND THE ADMINISTRATION OF THE PROGRAM; TO AUTHORIZE THE DEPARTMENT TO SEEK NECESSARY WAIVERS, TO COMBINE NEGOTIATING POWERS TO ATTAIN REDUCED PRESCRIPTION COSTS FOR PROGRAM ENROLLEES, AND TO CONTRACT WITH OTHER STATES AND ENTITIES TO ASSIST IN ADMINISTERING THIS PROGRAM; AND TO REQUIRE THE DEPARTMENT TO REPORT TO THE GENERAL ASSEMBLY ANNUALLY ON THE PROGRAM.

Whereas, tens of thousands of senior and disabled South Carolinians have no prescription drug insurance coverage and are unable to keep pace with the skyrocketing cost of prescription drugs which are rising at the rate of twenty percent, or more, annually; and

Whereas, many thousands of other senior and disabled South Carolinians are losing their employer-provided health insurance coverage as soon as they reach sixty-five years of age and become eligible for Medicare coverage; and

Whereas, still many hundreds of South Carolinians are seeing their deductibles double, and their health insurance premiums triple, mainly because of the rapidly increasing cost of prescription drugs; and

Whereas, joining with neighboring states to form a bulk buying program for prescription drugs would provide South Carolina's seniors and disabled residents without prescription coverage a resource for obtaining prescription drugs at a reduced cost. Now, therefore,

Be it enacted by the General Assembly of the State of South Carolina:

South Carolina Retirees and Individuals Pooling Together for Savings Act (SCRIPTS)

SECTION    1.    Chapter 6, Title 44 of the 1976 Code is amended by adding:

"PreviousArticleNext 5

South Carolina Retirees and Individuals

Pooling Together for Savings Act

Section 44-6-610.    This PreviousarticleNext may be cited as the 'South Carolina Retirees and Individuals Pooling for Savings Act'.

Section 44-6-620.    For purposes of this PreviousarticleNext:

(1)    'Department' means the Department of Health and Human Services.

(2)    'Prescription drugs' means outpatient prescription drugs, that have been approved as safe and effective by the United States Food and Drug Administration including insulin syringes, insulin needles, and insulin. 'Prescription drugs' do not include experimental drugs and over-the-counter pharmaceutical products.

(3)    'Program' means the South Carolina Retirees and Individuals Pooling Together for Savings (SCRIPTS) program created pursuant to this Previousarticle.

Section 44-6-630.    There is created within the Department of Health and Human Services the South Carolina Retirees and Individuals Pooling Together for Savings (SCRIPTS) program. The program must combine the purchasing power of all South Carolina citizens sixty-five years of age and older who enroll in the program to reduce their prescription drug costs. Where possible, without violation of federal law, the department shall combine negotiating power for the program with negotiating power for pharmaceutical pricing and rebates which may exist now or in the future.

Section 44-6-640.    (A)    This program must be administered by the Department of Health and Human Services. The department may designate, or enter into contracts with, other entities including, but not limited to, other states, other governmental purchasing pools, and nonprofit organizations to assist in the administration of this program.

(B)    By December 30, 2003, the department must submit a program implementation and administration plan for review by the State Budget and Control Board. The plan must include:

(1)    procedures for program enrollment;

(2)    requirements for program participation; and

(3)    annual program enrollment fees that must be calculated to pay all additional costs incurred by the department in the administration of the program.

(C)    Upon review of the State Budget and Control Board, the program may be implemented as soon as practicable.

(D)    When requested by the department, other state agencies shall provide assistance or information necessary for the administration of this program.

Section 44-6-650.    A person eligible to participate in this program must:

(1)    have attained the age of sixty-five years;

(2)    have resided in South Carolina at least six consecutive months before enrolling in the program; and

(3)    not be eligible for Medicaid prescription benefits.

Section 44-6-660.    (A)    The department shall maintain data to allow evaluation of the cost effectiveness of the program.

(B)    Beginning with the 2005 regular session of the General Assembly, no later than thirty days before the convening of each regular session, the department shall submit an annual report to the Governor, the Chairman of the House Ways and Means Committee, and the Chairman of the Senate Finance Committee summarizing enrollment, financial information, and any other information needed to evaluate the costs and benefits of the program.

Section 44-6-670.    (A)    The department may seek waivers of any federal laws, regulations, or rules necessary to implement this program.

(B)    The department may promulgate regulations necessary for the administration of this program.

Section 44-6-680.    The program must be funded entirely from annual enrollment fees collected from program participants."

Time effective

SECTION    2.    This act takes effect upon approval by the Governor.

Ratified the 3rd day of June, 2003.

Approved the 18th day of June, 2003.

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