FISCAL NOTE
Date Requested: February 02, 2024
Time Requested: 01:45 PM |
| Agency: |
Public Employees Insurance Agency (PEIA) |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 2058 |
Comm. Sub. |
SB453 |
|
|---|
| CBD Subject: |
Insurance |
|---|
|
FUND(S):
PEIA Basic Insurance Fund
Sources of Revenue:
Special Fund
Legislation creates:
Creates New Expense, Increases Existing Expenses
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
The purpose of this bill is to require PEIA to reimburse West Virginia domestic pharmacies at National Average Drug Acquisition Cost (NADAC) plus a $10.49 dispensing fee on each prescription, revise reporting requirements and perform a study to determine any changes to facilitate savings of pharmacy benefit manager services.
The PEIA FY 2025 Financial Plan does not include the approximately $5.9 million cost increase related to reimbursing West Virginia domestic pharmacies at the NADAC plus a $10.49 dispensing fee on each prescription nor the estimated $300,000 cost for a study. PEIA recognizes, however, it is to implement the provisions of SB453 in a manner that is cost neutral. Therefore, PEIA will expedite execution of its comparative effectiveness strategy along with other initiatives in order to achieve a budget neutral implementation.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2024
Increase/Decrease
(use"-") |
2025
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 1. Estmated Total Cost |
0 |
0 |
0 |
| Personal Services |
0 |
0 |
0 |
| Current Expenses |
0 |
0 |
0 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
0 |
0 |
| Other |
0 |
0 |
0 |
| 2. Estimated Total Revenues |
0 |
0 |
0 |
Explanation of above estimates (including long-range effect):
Please explain increases and decreases in personal services, current expenses, repairs and alterations, assets, other costs and revenues, including assumptions and data sources and delineation between start-up and ongoing costs. Please also include a long-range schedule of costs and revenues if fiscal impact is expected to vary in future years.
Memorandum
Please identify any areas of vagueness, technical defects, reasons a bill would not have a fiscal impact, and/or any special issues not captured elsewhere on this form.
Person submitting Fiscal Note: Jason Haught
Email Address: jason.a.haught@wv.gov