LSMS Presentations | 2023 | LAMMICO CLE

Presented by LSMS Staff to the LAMMICO Defense Counsel Seminar Participants

Legislative Update 2023

LAMMICO| Defense Counsel Seminar 6 October 2023

In a Fiscal Session…

SENATE BILLS

418

Odd year regular sessions are “fiscal” in nature • Appropriations and Capital Outlay • Taxes, fees and fines • Dedications and Issuance of Bonds • Exemptions, exclusions, credits, etc. BUT… • Local issues, constitutional amendments, resolutions PLUS • 5 bills/legislator on any subject Adjourned June 8 @ 6 PM

HOUSE BILLS

1,008

TRACKED BILLS

124

Legislation www.legis.la.gov

Med Mal Matters

HCR 57 by Rep. Edmond Jordan • Requested a study to solicit input, recommendations, and advice from interested stakeholders on the current effectiveness of the medical malpractice limitations to compensation and medical review panels. • Never received hearing

SB 139 Sen. Jimmy Harris • Removed premises liability (general liability). • Prohibited attorney chair from raising the gross negligence standard of care in review panel. • Shifted burden of proving nexus to the physician. • Died in Committee

Scope of Practice HB 471 by Rep. Barbara Frieberg • Allowed RX licensees to give any vaccine to kids 7 and older • Got amended on the Senate Floor by Sen. Jay Morris: • Added PALS requirement • Added Vaccines for Children requirement • Was sent to conference committee where it died as session ended. (3 Votes on 6/8) HB 599 by Rep. Dustin Miller • Started as a mini–Global Signature Authority Bill • Heavily amended with agreement of Rep. Miller • Extends APRN ability to write work excuse for school board employees’ illness to 10 days • Parties agreed to work in the interim on end-of-life documents SR 160 by Sen. Jay Luneau • Urges Boards of Medical Examiners, Nursing and Dentistry to make CPA information publicly available

Abortion Legislation 7 Bills Filed in 2023 RS

LSMS has longstanding policy to remain neutral on abortion legislation unless it impacts patient safety and/or the practice of medicine. Three bills would have clarified issues raised since last year. - HB 461 by Mary DuBuisson would have added a new definition of “non- viable pregnancy” to last year’s abortion exceptions - HB 522 by Aimee Freeman would have redefined abortion, eliminated physician imprisonment in favor of fines when an abortion has been performed, and reduced medical futility certification requirements. - HB 598 by Candace Newell would have amended varying definitions relative to the crime of abortion. None of the bills were passed out of committee.

6

Other Legislation

SB 29 by Sen. Gerald Boudreaux

Relates to removing surgical smoke from operating rooms (ACT 35)

SB 66 by Sen. Fred Mills

Eliminates term “telemedicine” in favor of “telehealth” (ACT 322)

SB 172 by Sen. Brett Allain

Addressed noncompete clauses in physician contracts

HB 548 by Rep. Chris Turner

Focuses on 340B drug pricing program (ACT 358)

HB 648 by Rep. Gabe Firment

Prohibits certain procedures related to altering the sex of a minor child (ACT 466)

Resolutions HCR 83 by Rep. Michael Echols • Creates a task force to conduct research and make recommendations to address the current and future needs of this state to maintain the necessary number and specialty type of physicians to provide health care for our citizens.

HCR 114 by Rep. Kenny Cox • Requests the Louisiana State Board of Medical Examiners to study the potential outcomes of allowing sanctioned physicians to practice under supervision and its impact on the physician shortage.

Prior Authorization

91% of physicians report prior

Process Hurts Patients

authorization has had a somewhat or significant

impact on their patients’ clinical outcomes.

Source: 2021 AMA Prior Authorization Physician Survey Available at: https://www.ama- assn.org/system/files/prior- authorization-survey.pdf

82% of physicians report that prior authorization can lead to treatment abandonment.

Consensus Statement on Improving the Prior Authorization Process

• Released in January 2018 by the AMA, American Hospital Association, America’s Health Insurance Plans, American Pharmacists Association, Blue Cross Blue Shield Association, and Medical Group Management Association • Five reform categories addressed: • Selective application of PA • PA program review and volume adjustment • Transparency and communication regarding PA • Continuity of patient care • Automation to improve transparency and efficiency

Following the Consensus Statement, Progress Has Been Sluggish

84% of physicians report that the number of medical service PAs required has increased over the last five years. Only 9% of physicians report contracting with health plans that offer programs that exempt providers from PA. 65% of physicians report that it is difficult to determine whether a prescription medication requires PA. 88% of physicians report that PA interferes with continuity of patient care. Only 26% of physicians report that their EHR system offers electronic PA for prescription medications; phone is still the most common method.

Source: 2021 Update: Measuring progress in improving prior authorization. Available at: https://www.ama- assn.org/system/files/p

rior-authorization- reform-progress- update.pdf

Impact on Physicians & their practice

October 2022 Physicians Foundation survey: • 85% report administrative burdens, such as EHRs and prior approval as top 4 challenge • 93% identify simplifying prior authorization as an action that would help ensure high-quality, cost-efficient care

2022 Louisiana Legislation Act 432 (SB 112) by Sen. Robert Mills • Original bill • Paralleled Texas “gold card” bill

• Exception = 80% approval rate by provider (annual review to rescind exemption by peer with IDR available) • Guarantee of payment (with limited exceptions) once approved & a timely pay provision • Pharmaceuticals included • Medicaid and OGB not included • Amended to require insurance companies to develop their own prior authorization relief program which must were filed with LDI in July. • Pharmaceuticals excluded

Act 312 – LSMS Requested Legislation

Rep. Thomas Pressly Began as HB 468 House Insurance 4/26 House Floor Vote (99-0) 5/10 Senate Insurance 5/17 Senate Floor (37-0) 6/4 House Concurrence (100-0) 6/4 Governor’s Signature 6/13 Effective Date 1/1/2024

• Creates an infrastructure with timelines for PA and Utilization Management • Includes a guarantee of payment clause • Establishes a truer peer-to-peer review system • Includes prescription medication

ACT 312 Timelines

AND any prior authorization will be valid for 3 months

ACT 333 – LSMS Requested Legislation

Sen. Jeremy Stine Began as SB 188

Transparency requirement for health insurers: • Annual report on certain prior authorization metrics to the Dept. of Insurance (by quarter) • Annually publish a list of all items, services and medications that require prior authorization • Requires timely updates to these lists Tracks CMS Proposals (1/1/2026)

Senate Insurance

4/26

Senate Floor Vote (36-0)

5/1

House Insurance

5/10

House Floor Vote (102-0)

6/5 6/7 6/8

Sent to Conference

Conference Report Adopted

Governor’s Signature

6/13

Effective Date

1/1/2024

Prior Authorization – Other

ACT 254 by Sen. Kirk Talbot • Began as SB 110 • Establishes the "Cancer Patient's Right to Prompt Coverage Act". • Includes timelines similar to Rep. Pressly’s ACT 312. • For diagnosis and treatment of cancer, requires coverage of services for nationally recognized clinical practice guidelines. • Prohibits denial of coverage of recommended imagining for diagnosis, treatment, appropriate management, restaging… • Effective date of 8/1/2023 – But doesn’t apply to policies until 1/1/2024

SB 164 by Sen. Heather Cloud

• Focuses on the Office of Group Benefits which is the health insurance plan for employees and retirees of the State. • Mandates posting of all services and pharmaceuticals requiring prior authorization. • Failure deems them to no longer require a prior authorization. • Establishes reporting requirements very similar to what is in SB 188 by Sen. Stine. • Fiscal Note had it dually referred. • Ran out of time.

Elections

2023 isn’t over yet politically!

2023 Elections • Entire legislature up for election • All Statewide Offices • Dates • October 14 • November 18 • Term Limited • Governor • Senate President & House Speaker • 15 Representatives & 7 Senators

Qualifying for 2023 Elections was held August 8 to 10. (October 13 and November 18)

7 Statewide Races • 14 Candidates in the Gov’s race • LDH Secretary • New: Governor, Sec. State, Treasurer, Atty. Gen. and Insurance Cmmsnr (Temple) 39 Senate Races • 20 elected w/o opposition (51%) • 12 open seats (31%) • 8 one party races 105 House Races • 48 elected w/o opposition (46%)

• 31 open seats (30%) • 21 one party races

Thank you!

Maria Bowen VP, Gov’t Affairs > mbowen@lsms.org v 225.939.7576

Join The Conversation @LaMedSoc

Louisiana State Medical Society www.lsms.org

Get a health insurance quote from the new LSMS MEWA

Lauren Bailey VP, Legal Affairs > lbailey@lsms.org v 225.235.2865

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