S. 2908Senate115th Congress (2017-2019)In Committee

A bill to amend title XVIII of the Social Security Act to provide for electronic prior authorization under Medicare part D for covered part D drugs, and for other purposes.

Introduced May 22, 2018

AI-Generated Summary

Updated April 15, 2026 at 9:58 PM UTC

The bill changes the Social Security Act so that Medicare Part D plans must use secure electronic systems to send and receive prior‑authorization requests for covered drugs. By January 1 2021, doctors would submit electronic requests and plans would reply electronically, instead of using fax or other non‑standard methods. The rule applies to all Medicare‑eligible individuals who are enrolled in a Part D plan.

Key Provisions

  • Requires the Medicare Part D program to provide a secure electronic way for prescribers to request prior authorization for covered drugs and for plan sponsors to respond.
  • Sets a deadline of January 1 2021 for the electronic system to be in place.
  • Specifies that fax, proprietary payer portals, or other non‑standard methods do not count as electronic transmission unless they meet the defined technical standards.
  • Mandates that the Secretary of Health and Human Services, in consultation with the National Council for Prescription Drug Programs and other stakeholders, adopt the technical standards for these electronic transmissions.

Legislative Activity

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1 earlier action
SenateIntro Referral Latest Action

Read twice and referred to the Committee on Finance.

May 22, 2018

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SenateIntro Referral

Introduced in Senate

May 22, 2018

SenateIntro Referral

Read twice and referred to the Committee on Finance.

May 22, 2018

Bill Text

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Introduced in SenateIssued May 22, 2018

II

115th CONGRESS

2d Session

S. 2908

IN THE SENATE OF THE UNITED STATES

May 22, 2018

Mr. Roberts (for himself, Mr. Carper, and Mr. Grassley) introduced the following bill; which was read twice and referred to the Committee on Finance

A BILL

To amend title XVIII of the Social Security Act to provide for electronic prior authorization under Medicare part D for covered part D drugs, and for other purposes.

1.

Electronic prior authorization for covered part D drugs

Section 1860D–4(e)(2) of the Social Security Act (42 U.S.C. 1395w–104(e)(2)) is amended by adding at the end the following new subparagraph:

(E)

Electronic prior authorization

(i)

In general

Not later than January 1, 2021, the program shall provide for the secure electronic transmittal of—

(I)

a prior authorization request from the prescribing health care professional for coverage of a covered part D drug for a part D eligible individual enrolled in a part D plan (as defined in section 1860D–23(a)(5)) to the PDP sponsor or Medicare Advantage organization offering such plan; and

(II)

a response, in accordance with this subparagraph, from such PDP sponsor or Medicare Advantage organization, respectively, to such professional.

(ii)

Electronic transmission

(I)

Exclusions

For purposes of this subparagraph, a facsimile, proprietary payer portal that meets such standards as specified by the Secretary, or electronic form shall not be treated as an electronic transmission described in clause (i).

(II)

Standards

In order to be treated, for purposes of this subparagraph, as an electronic transmission described in clause (i), such transmission shall comply with technical standards adopted by the Secretary in consultation with the National Council for Prescription Drug Programs, other standard setting organizations determined appropriate by the Secretary, and stakeholders including PDP sponsors, Medicare Advantage organizations, health care professionals, and health information technology software vendors.

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