JBC-Employee Benefits Division- Oversight Subcommittee

Your order if you don't mind taking your seat welcome me to our first meeting of the U. B. sub joint budget committee subdivision representing million you have any comments all right of first thing we'll do we'll have the EBT to come to the table. And if you don't mind if you all have the seats if you just introduce yourself. And then you'll be recognized to proceed alarm Ballard I was the and the former chief counsel for the Department transformation and shared services and former staff attorney for the employee benefits division I brought with me today so that you guys can meet her this letter you're just yourself. Hello I'm Shannon Holly on I am the new chief counsel for TSS and today is day three Lauren is here by thank K. graduations of you can proceed with the presentation of the contract. Yes Sir thank you so you have a for you today this is the pharmacy benefit manager contract extension so I'd like to give a little history to let you know why we're here and we're doing this contract as you all know as Siegel was engaged by the legislature to do some studies of the employee benefit division plans and one of the suggestions that they brought forth was for us to pursue a new pharmacy benefit manager contract and include certain things in that contract so that is an ongoing procurement and that should be awarded and hopefully would have well hopefully we'll have implementation date of seven one twenty twenty three so what we need in the meantime the at met impact or former of pharmacy benefit manager well our current permitted in committee Dr apologized that contract expires to eighteen twenty twenty three so we just need a band aid extension from that to eighteen date until six thirty of twenty twenty three all right to allow for implementation if if there is an implementation would allow for that to happen in that time. Okay. We have a very specific question. During the members have any questions on this. CNN but just just going to get this on record for everybody at the cost of the contract is five hundred thousand dollars is going to extend that through June thirtieth. Yes Sir that's My interest in there was a little per payment. On something else but that's really just for a day or two or something like that is not going to be a significant amount at all is my understanding yes Sir I think when and it's a single take a look at the existing contract and suggestions really helpful language to help us at that date the court right now claims but yes we don't anticipate those to be the luminous since pharmacy is a point of sale solution for the most part okay anything else members. Senator Chesterfield you're recognized ma'am. Granted. Yes. Well. And then you have you should have a the contract itself I'm sorry. Now. Okay. One. Last. Yes ma'am that is correct that that very top one. No ma'am. Why. Use your microphone no Hey you Mr. While at work good I was. No my apologies for that Senator yes Sir thank you so much for your apology which I'm worried about now so we're just dealing with the five hundred thousand the rest is to give us information about what what what are the others. That I'm seeing on this piece of paper it's saying the five hundred thousand to extend until Jan thirty twenty twenty three and then I'm looking at the two million five hundred thousand terms of contract the all payer claims database reporting is any of this significant for us today or is this just for information that's what I'm trying to. How is it it is Senator it's it is just the one they were talking about the five hundred thousand actual and the other ones are actually already already done they if you look out there they'll have those other the new expiration dates it's for informational purposes so that we'll we'll know what what is all tied together out there okay we'll if we have a including date on A. M. D. four of June thirty twenty twenty two that's upon us is the contract going to have to be renewed at some point. And then also if AMD's three words the pharmacy benefits management means to extend the pharmacy benefits management it expires I assume these are the expiration yeah these are the expiration date is six thirty twenty twenty one and then the AMD one is six thirty twenty twenty could you help me with those. Are they already expired those. Well there would there would be there would be some there there were already expired but what we're in the process of doing right now. Are those your member this whenever we win a special session of course we totally reworked our entire you be the Subdivision you know division put in a bunch of other contracts in one of the things that we had was that consultant where we spent a year with who we've been actually putting out for procurement you know all the stuff in the latest one is for a new PPM manager and again that is a a procurement that is in process it's our understanding that it's getting close I I hate to say within a week or two or three but I believe it's probably it is it is actually that close so whenever all that transpires we're going to have them in place but they're not going to take over until July first of this year so the thing is is our current contract with our current animal calling the PBM with meta impact. That current contract it expired nail the so we have to have someone this going to take it from now until the start of the fiscal year and that's what they've agreed to do and the other ones are not or nothing that we need to need to deal with today okay. And I was just connect briefly add an these are that we don't have any gaps in the extensions that we just could only extended out to two eighteen because that was the end of the contract under law said that's what it looks like that thank you thank you Mr yes ma'am thank you. Senator Hammer. You should be thank you Sir first of all who is it that you're getting the five hundred thousand dollars tension with which company which who is it that's getting that would be met impact our current mentor okay and are the subject to The bid for. They are eligible to read that and his current procurement yes Sir okay if they choose to do so our and then if you're able to answer this how many or how many are betting on it now are you able to answer the question I'm not only because I don't know the exact answer I wouldn't want to give you the wrong one but that's probably information we can get for you. But there are there are companies that are bidding for this PBM contract correct yes Sir okay because I'd heard the rumor that nobody wanted to do business with us because of our PBM loss of what you're tell me today is that there are PM PBMs that are out there competitively bidding for this in spite of the laws that we have on the books now that's my understanding Sir that's good information because rumor mill is telling something different out there so I appreciate you clearing that that rumor up misinformation is being put out there I appreciate that very much Mr chairman I'm not sure this would be directed to you or be directed to them but down there on Amendment number two that amendment was allowed. Was was given in order to allow the B. D. to recruit to approximately twelve million per year from the specially are ex program do either of you at the table or maybe the chair could enlighten do we know if we actually recovered that and was it as much as was stated or originally anticipated to recover. That's something would have to research or have staff to do which will be happy to happy to do for you I cannot answer that question you think we could find out because that amendment was given with the expectation that we would recruit recruit that I tried like to know if historically if we got it or not yes we will and will have staff if it will have staff to send that all members if that's okay soldier to work on that one will have the same information okay thank you thank you Sir thank you Senator Hammer anyone else. Do I have a motion review. Well hold on representative Wardlaw one. You're recognized. Thank you Mr chair. Senator Hammer when you look down through those amendments. The Amendment five I think was one your reference in my correct you wanna give me a head nod to he said amendment to amendment two minute two was approved A long time ago each one of these amendments were approved by council as they were done in five was approved in seven one twenty two that was extension for us to go through the process to get a new IBM manager for the process for the system. So my point is the minutes up today's amendment six. It is what it and and that is correct represent Wardlaw is correct on that I think his thing was is that we actually whenever we did it that way the statement I think was made and it's in here too that we would recoup approximately twelve million he's wanting to make make see if we can research to see exactly how much we did recoup if it did if it did meet that number okay so that I can relate to that okay thank thank thanks for that question. All right do we have a motion to review. I have a motion and a second all in favor say aye any oppose. it is passed thank you thank you. Okay members are there any other business to come before the committee. Seeing none were adjourned.