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Nebraska legislative committee considers closed drug formulary

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A bill that would create a closed formulary in Nebraska for medications prescribed in the state's workers compensation system has been heard by a legislative committee.

Introduced on Jan. 15 by Nebraska Sen. Burke Harr, D-Omaha, L.B. 1005 was discussed during the state Legislature's Business and Labor Committee meeting on Monday.

The bill would require the state to adopt an evidence-based drug formulary for Schedule II, III, IV and V controlled substances, such as oxycodone and codeine, listed under state statute 28-405.

The discussions at the committee hearing brought up “a lot of unanswered questions and curiosity about how injured workers would be impacted and how the court would manage the formulary on an ongoing basis,” pharmacy benefit manager Helios said in a statement on Thursday.

“During this abbreviated session, only bills receiving a priority designation will advance for consideration,” so it's unclear whether the committee will vote on L.B. 1005, Helios said.

According to the bill, prescription drugs included in and recommended by the formulary won't require prior authorization by workers comp payers. However, drugs that are not included in the formulary, or included but not recommended, will require prior authorization.

Should a workers comp payer deny payment, findings may be requested by an independent medical examiner, the bill states.

The formulary would apply to workers comp claims with a date of injury on or after Jan. 1, 2017.

States like Louisiana and Tennessee are also looking to create workers comp drug formularies. And California Gov. Jerry Brown in October signed a bill requiring the administrative director of California's Division of Workers' Compensation to create a formulary on or before July 1, 2017 for medications prescribed to injured workers.

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