BILL NUMBER:  S461

 TITLE OF BILL :  An act to amend the civil service law, in relation
to the New York state prescription medication cost containment program

 PURPOSE :

To enhance cost savings to New York State in the procurement of
prescription medications for its civil service employees, retirees and
dependents.

 SUMMARY OF PROVISIONS :

Section 1. Amends the Civil Service Law by adding a new section 159-d.
Authorizes the president of the Civil Service Commission to create the
New York State Prescription Medication Cost Containment Program.
Provides that New York State residents who are New York State civil
service employees or New York State residents who are retired from New
York state civil service and who participate in the New York state
health insurance plan (NYSHIP), and their dependents, shall be offered
several options to fill medical prescriptions through a Canadian mail
order company.

Section 2. Collective Bargaining.

Section 3. Effective date.
              

 EXISTING LAW :

None.

 JUSTIFICATION :

There is every indication that New York State will continue to face
unprecedented budget deficits. As such, the State must be more
creative in its approach to raising revenue and controlling expenses,
without relying on the usual methods of raising taxes and cutting, or
in some cases, eliminating programs. Since prescription drug costs are
among New York State's highest expenditures, one way the State can
accomplish this goal is by creating the New York State Prescription
Medication Cost Containment Program, which would be voluntary, for New
York State Civil Service employees and retirees.

This legislation is based on a program that has operated in
Schenectady County since 2005. Since then, the County has realized
savings of over $17 million. Additionally, County prescription drug
costs have increased less than 8.9% since the program's inception.
This figure compares favorably with the average of U.S. prescription
drug programs which has seen prices escalate by more than 12% each
year, or 76.2% over five years. Over 90% of Schenectady County's
employees represented by two unions, CSEA and 1199, now participate in
the program.

If the smallest county in New York State has saved this much money,
controlled its prescription drug costs and expanded program
participation to over 90% of its employees, just imagine what New York
State could accomplish through the implementation of this legislation.

 LEGISLATIVE HISTORY :

2014: S.1386 - Referred to Civil Service and Pensions/A.4003 -
Referred to Governmental Employees

2013: S.1386 - Referred to Civil Service and Pensions/A.4003 -
Referred to Governmental Employees.

2012: S.480- Referred to Civil Service and Pensions/A.1098 - Referred
to Governmental Employees

2011: S.480 - Defeated in Civil Service and Pensions/A.1098 - Referred
to Governmental Employees

2010: S.6210B - Reported and Committed to Finance/A.9207B - Amended
and Recommitted to Governmental Employees

 FISCAL IMPACT :

Anticipated savings to the state.

 EFFECTIVE DATE :
This law shall take effect on the one hundred eightieth day after it
shall have become law.