Legislature(2023 - 2024)BARNES 124

03/27/2023 03:15 PM House LABOR & COMMERCE

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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ HB 17 CONTRACEPTIVES COVERAGE:INSURE;MED ASSIST TELECONFERENCED
Heard & Held
+ Bills Previously Heard/Scheduled TELECONFERENCED
+= HB 99 DISCRIMINATION: GENDER ID.;SEXUAL ORIENT. TELECONFERENCED
Moved HB 99 Out of Committee
        HB  17-CONTRACEPTIVES COVERAGE:INSURE;MED ASSIST                                                                    
                                                                                                                                
3:16:15 PM                                                                                                                    
                                                                                                                                
CHAIR SUMNER announced that the  first order of business would be                                                               
HOUSE BILL  NO. 17,  "An Act relating  to insurance  coverage for                                                               
contraceptives   and  related   services;  relating   to  medical                                                               
assistance coverage for contraceptives  and related services; and                                                               
providing for an effective date."                                                                                               
                                                                                                                                
3:16:35 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  CARRICK  introduced  HB  17.    She  stated  that                                                               
currently  there are  28 states  which  require health  insurance                                                               
plans regulated by the state  to cover contraceptive prescription                                                               
drugs and  devises, as  laid out in  the 2010  federal Affordable                                                               
Care Act.   Furthermore, 22  states and the District  of Columbia                                                               
ensure women can  receive at one time a  12-month extended supply                                                               
of contraception.  She stated that  HB 17 would put language into                                                               
statute  which aligns  with  the  federal contraceptive  coverage                                                               
guarantee.    It   also  allows  up  to  a   12-month  supply  of                                                               
prescription  contraceptives.    She explained  that  this  would                                                               
allow  women in  rural communities  and those  who work  extended                                                               
shifts in remote locations a continuous supply of contraception.                                                                
                                                                                                                                
REPRESENTATIVE CARRICK stated that  studies show that providing a                                                               
one-year supply  of prescription contraceptives compared  to a 3-                                                               
month  supply reduces  unintended pregnancies  by 30  percent and                                                               
drops the likelihood of abortion by  46 percent.  She argued that                                                               
the  proposed legislation  would also  save the  state money  and                                                               
pointed out a  prior fiscal note had estimated  an annual savings                                                               
of  $1.35   million  because  of   the  reduction   in  unplanned                                                               
pregnancies.    She pointed  out  the  three, zero  fiscal  notes                                                               
attached to the bill.                                                                                                           
                                                                                                                                
REPRESENTATIVE  CARRICK  pointed  out  that  currently  obtaining                                                               
contraception  can be  time  consuming;  however, she  maintained                                                               
that improved  access would  mean improved  health for  women and                                                               
families.   She stated that  the proposed legislation  would take                                                               
away insurance coverage  as a barrier to access.   She added that                                                               
the bill  could also  protect women in  the presence  of domestic                                                               
violence, in  terms of  contraceptive cohesion.   She  argued the                                                               
benefits  of contraception  for  family and  societal health  and                                                               
urged  support for  the bill.    She advised  that the  emergency                                                               
contraception language has been removed from the bill.                                                                          
                                                                                                                                
3:20:54 PM                                                                                                                    
                                                                                                                                
CHERIE  BOWMAN,  Staff,  Representative  Ashley  Carrick,  Alaska                                                               
State  Legislature, on  behalf of  Representative Carrick,  prime                                                               
sponsor,  paraphrased  the  sectional  analysis of  HB  17  [copy                                                               
included  in   the  committee  packet]  which   read  as  follows                                                               
[original punctuation provided]:                                                                                                
                                                                                                                                
     Section 1                                                                                                              
     AS 21.42.427. Coverage for contraceptives.                                                                                 
     Amends  AS 21.42  by  adding a  new  section which  (1)                                                                    
     requires  a health  care insurer  to provide   coverage                                                                    
     for  prescription contraceptives  and medical  services                                                                    
     necessary for those products or   devices; (2) requires                                                                    
     reimbursement to  a health care provider  or dispensing                                                                    
     entity  for    dispensing  prescription  contraceptives                                                                    
     intended to  last for a 12-month  period for subsequent                                                                    
     dispensing;  (3) prevents  an  insurer from  offsetting                                                                    
     the costs of compliance; (4)  prevents an  insurer from                                                                    
     restricting  or delaying  coverage for  contraceptives;                                                                    
     (5) if  the provider  recommends  a  particular service                                                                    
     or  FDA-approved  item  based  on  a  determination  of                                                                    
     medical necessity, the  plan  or issuer must cover that                                                                    
     service or  item without cost sharing;  and (6) exempts                                                                    
     religious  employers if certain criteria are met.                                                                          
                                                                                                                                
MS. BOWMAN  added that  subsection (d)  [in paragraph  (B)] would                                                               
set  out  cost  containment  incentives,  promoting  the  use  of                                                               
generic, low-cost medication and  health care providers who offer                                                               
services at  a lower rate.   As a cost containment  strategy, she                                                               
said  that this  gives insurers  the ability  to direct  patients                                                               
towards  generics.     She  stated  that  when   the  lower  cost                                                               
contraception  is not  available, subsection  (f) would  allow an                                                               
alternative or  equivalent version of the  contraceptive be given                                                               
to  the  insured, and  subsection  (h)  would allow  a  religious                                                               
exemption.                                                                                                                      
                                                                                                                                
MS. BOWMAN  continued paraphrasing the sectional  analysis, which                                                               
read as follows [original punctuation provided]:                                                                                
                                                                                                                                
     Section 2                                                                                                              
     AS 29.10.200. Limitation of home rule powers.                                                                              
     Amends AS  29.10.200 by adding a  provision applying to                                                                    
     home rule municipalities.                                                                                                  
                                                                                                                                
     Section 3                                                                                                              
     AS 29.20.420. Health insurance policies.                                                                                   
     Amends  AS 29.20  by adding  a  new section  clarifying                                                                    
     that  municipal health  care insurance  plans that  are                                                                    
     self-insured are  subject to  the requirements  of sec.                                                                    
     1.                                                                                                                         
                                                                                                                                
3:23:19 PM                                                                                                                    
                                                                                                                                
MS. BOWMAN continued paraphrasing the sectional analysis, which                                                                 
read as follows [original punctuation provided]:                                                                                
                                                                                                                                
     Section 4                                                                                                              
     AS 39.30.090. Procurement of group insurance.                                                                              
     Clarifies   that  a   group  health   insurance  policy                                                                    
     covering  employees  of  a  participating  governmental                                                                    
     unit is subject to the requirements of sec. 1.                                                                             
                                                                                                                                
     Section 5                                                                                                              
     AS  39.30.091.  Authorization  for  self-insurance  and                                                                    
     excess loss insurance.                                                                                                     
     Clarifies  that  a   self-insured  group  medical  plan                                                                    
     covering  active state  employees  provided under  this                                                                    
     section is subject to the requirements of sec. 1.                                                                          
                                                                                                                                
     Section 6                                                                                                              
     AS 47.07.065. Payment for prescribed drugs.                                                                                
     Requires   the  Department   of  Health   to  pay   for                                                                    
     prescription contraceptives  intended to last for  a 12                                                                    
     month  period for  subsequent  dispensing for  eligible                                                                    
     recipients of medical assistance,  if prescribed to and                                                                    
     requested  by   the  recipient,  as  well   as  medical                                                                    
     services necessary for those products or devices.                                                                          
                                                                                                                                
     Section 7                                                                                                              
     Uncodified law - applicability                                                                                             
     Requires the Department of  Health to immediately amend                                                                    
     and  submit  for  federal approval  a  state  plan  for                                                                    
     medical assistance  coverage consistent with sec.  6 of                                                                    
     this Act.                                                                                                                  
                                                                                                                                
     Section 8                                                                                                              
     Uncodified law - applicability                                                                                             
     Makes sec.  6 of  the Act  conditional on  the approval                                                                    
     required under sec. 7 of the Act.                                                                                          
                                                                                                                                
     Section 9                                                                                                              
     If, under sec. 8 of this  Act, sec. 6 of this Act takes                                                                    
     effect, it takes  effect on the day after  the date the                                                                    
     revisor   of   statutes   receives  notice   from   the                                                                    
     commissioner of health under sec. 8 of this Act.                                                                           
                                                                                                                                
3:25:08 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  PRAX questioned  whether this  would not  prevent                                                               
insurers from including  the cost of compliance  in their general                                                               
insurance rates.                                                                                                                
                                                                                                                                
REPRESENTATIVE CARRICK  expressed the understanding that  this is                                                               
correct.    She   deferred  the  question  to   the  Division  of                                                               
Insurance.                                                                                                                      
                                                                                                                                
3:26:12 PM                                                                                                                    
                                                                                                                                
SARAH  BAILEY,  Insurance   Specialist,  Division  of  Insurance,                                                               
Department  of  Commerce,  Community, and  Economic  Development,                                                               
expressed the  understanding that the proposed  legislation would                                                               
not allow  insurers to  adjust cost  shares, such  as deductibles                                                               
and  copayments;  therefore,  the  expectation  is  it  would  be                                                               
applied to  the premium,  with some cost  bidding.   She notified                                                               
the committee  that under federal  law currently  insurers cannot                                                               
apply deductibles or cost sharing on contraceptives.                                                                            
                                                                                                                                
REPRESENTATIVE  PRAX,   with  a  follow  up   for  clarification,                                                               
expressed the opinion that Section  5 of the proposed legislation                                                               
would not affect any additional insurance coverage.                                                                             
                                                                                                                                
MS.  BAILEY  expressed  agreement   that  this  would  be  highly                                                               
unlikely.                                                                                                                       
                                                                                                                                
REPRESENTATIVE CARRICK concurred.                                                                                               
                                                                                                                                
3:29:23 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SADDLER,   concerning  remote   work,  questioned                                                               
whether individuals  seeking contraception would be  away [from a                                                               
doctor or pharmacist] for this extensive amount of time.                                                                        
                                                                                                                                
REPRESENTATIVE   CARRICK  responded   that  one   of  the   major                                                               
challenges the legislation seeks to  address for Alaskan women is                                                               
that prescription  pick-up time  is limited.   There is  also the                                                               
challenge of having  a doctor's appointment or making  a visit to                                                               
a pharmacist within short timeframes.   She pointed out that this                                                               
would be considering the time for  travel back and forth to work,                                                               
especially  when women  do not  have access  to a  pharmacy on  a                                                               
regular  basis.   She  expressed  the  opinion that  this  access                                                               
should be as smooth as possible.                                                                                                
                                                                                                                                
REPRESENTATIVE SADDLER  questioned whether women in  rural Alaska                                                               
would have to travel to pick up any prescription drugs.                                                                         
                                                                                                                                
REPRESENTATIVE  CARRICK  responded   that  before  receiving  any                                                               
prescription drugs, women  would need access to a  provider.  She                                                               
stated  that some  prescriptions can  be delivered  in the  mail;                                                               
however, in rural Alaska mail  service is known to be unreliable.                                                               
In response to a follow-up  question concerning the justification                                                               
for a prescription for a  full year's worth of contraception, she                                                               
expressed the opinion that a year  is a reasonable amount of time                                                               
and deferred to  a pharmacist to confirm  that the contraceptives                                                               
would be safe in this dosage.   She added that Alaskan women have                                                               
requested  this.    In  response to  a  follow-up  question,  she                                                               
answered that a prescription of  three months or six months would                                                               
be better than the current  situation; however, unless there is a                                                               
strong medical reason,  she suggested that there should  not be a                                                               
limitation.                                                                                                                     
                                                                                                                                
3:33:52 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   CARRICK,  in   response  to   a  question   from                                                               
Representative  Wright,  stated  that  the  proposed  legislation                                                               
would  address women  who come  and go  from rural  areas of  the                                                               
state.   She added that  women in urban  parts of the  state also                                                               
need  these prescriptions  to  help  control medical  conditions,                                                               
such as endometriosis.                                                                                                          
                                                                                                                                
3:35:46 PM                                                                                                                    
                                                                                                                                
CHAIR SUMNER announced that HB 17 was held over.                                                                                

Document Name Date/Time Subjects
HB 17 v. B Sectional Analysis.3.17.2023.pdf HL&C 3/27/2023 3:15:00 PM
HB 17
HB0017-2-2-030823-CED-N Fiscal Note.PDF HL&C 3/27/2023 3:15:00 PM
HB 17
UCSF Study Newspaper Article 2.22.2011.pdf HL&C 3/27/2023 3:15:00 PM
HRSA Women's Preventive Services Guidelines.pdf HL&C 3/27/2023 3:15:00 PM
ALPHA Policy Comm Letter of Support HB17 2-10-23.pdf HL&C 3/27/2023 3:15:00 PM
HB 17
HB17.SB27 LOS 2.23 ANDVSA.pdf HL&C 3/27/2023 3:15:00 PM
HB 17
SB 27
ACOGFactsAreImportantEC.pdf HL&C 3/27/2023 3:15:00 PM
Unintended Pregnancies Study March 2011.pdf HL&C 3/27/2023 3:15:00 PM
Guttmacher Alaska Statistics 2016.pdf HL&C 3/27/2023 3:15:00 PM
HB 17 DOH Fiscal Note Version B 3.9.23.pdf HL&C 3/27/2023 3:15:00 PM
HB 17
HB 17 v. A Sponsor Statement.pdf HL&C 3/27/2023 3:15:00 PM
HB 17
HB 17 DOA Fiscal Note Version B 3.9.23.pdf HL&C 3/27/2023 3:15:00 PM
HB 17
HB0017B.PDF HL&C 3/27/2023 3:15:00 PM
HB 17
Public Costs From Unintended Pregnancies February 2015.pdf HL&C 3/27/2023 3:15:00 PM
Insurance Coverage of Contraceptives 4.01.2021.pdf HL&C 3/27/2023 3:15:00 PM
FDA Decisional Memorandum 12.23.2022.pdf HL&C 3/27/2023 3:15:00 PM