This bill amends Minnesota Statutes 2024, section 256.969, subdivision 32, to modify the provisions governing hospital reimbursement for biological products used in cell and gene therapy for rare diseases. The bill removes the previous requirement for federal approval and the condition that drug manufacturers must enter into a value-based arrangement with the commissioner for hospitals to receive separate reimbursement for these products. Instead, it establishes that hospitals shall receive separate reimbursement for biological products provided in the inpatient setting as part of cell or gene therapy.

Additionally, the bill changes the reimbursement structure by mandating that hospitals be paid the actual acquisition cost for these biological products, rather than having the reimbursement rate established based on outpatient drug methodologies. This shift aims to ensure that hospitals are adequately compensated for the costs associated with administering these specialized therapies, thereby enhancing access to treatment for patients with rare diseases.

Statutes affected:
Introduction: 256.969