BioUtah Legislative Update

March 3, 2022

• HB262 Incentive Amendments – Rep Christofferson

This bill proposed to significantly limit R&D tax credits for Utah companies. BioUtah testified against the bill which failed in committee.

• HB308 – Prescription Drug Amendments – Rep. Eliason

HB308 would have compelled pharmaceutical companies to comply with rules of the Health Resources and Services Administration (HRSA) to provide discounted product to contract pharmacies in the state of Utah under the federal 340B program. However, the HRSA rule is being challenged in court and so far courts have upheld the challenges to the HRSA rules stating HRSA did not follow federal rule making procedures.  HB308 would have compelled pharmaceutical companies to comply with the rule regardless. The bill did not receive a committee hearing. BioUtah supports the 340B program but did not feel this legislation was the proper vehicle for addressing unresolved federal issues.

• SB139 Prescription Cost Amendments – Sen. Vickers

BioUtah supported this bill in its original form which would have compelled insurers to recognize payment of deductibles and co-pays by third parties on behalf of patients. Some insurers do not support third-party assistance to patients as they feel patients should have “skin in the game” to help keep costs down. The sponsor abandoned the bill when patient groups and insurers were unable to compromise.

• SB212 – Manufacturing Modernization Grants – Sen. Millner

Senator Millner is chair of the Utah Life Sciences Innovation Caucus. She ran SB212 which essentially provides $10M in grants to be administered by Governor’s Office of Economic Opportunity for existing Utah businesses planning to modernize their manufacturing operations. If the bill passes, BioUtah will provide the membership with details about how to access these funds.

• HB201 Kidney Health Task Force – Rep Wheatley

As the title suggests this bill creates a Kidney Health Task Force to address ways the state can better support Kidney Health.

• HB167 Mental Illness Psychotherapy Drug Task Force – Rep. Brammer

As the title suggests this bill creates a task force to explore ways of improving treatments of mental illness through the use of psychotherapy drugs.

• HB063 COVID-19 Vaccine Amendments – Rep Burton

This bill built on the provisions of SB2004 passed in the special session of the Utah Legislature in November. The bill essentially provides employees with a cause of action against an employer that commits a defined adverse action against an employee based on their immunity status. HB63 added to the bill that natural immunity was equivalent to vaccinated immunity and it further attempted to dilute some of the provisions BioUtah and others had previously negotiated into SB2004. In the end, BioUtah was successful working with the sponsor to include language exempting as an adverse action any requirement by an employer that an employee be vaccinated due to the employee’s job having a defined nexus with a vaccine requirement – such as a hospital requiring credentials of vaccination for a life science employee to access the premises. The bill passed the House and was reported favorably out of committee to the Senate where it awaits final action.

• HB060 Vaccine Passport Amendments – Rep Brooks/Sen Kennedy

This bill raises to the level of a civil rights violation any effort by a government agency or employer to require an employee provide proof of vaccination.  It essentially adds “immunity status” as a protected class. The bill also prohibits any place of public accommodation from requiring proof of vaccination for admittance. Vaccinations in this case are not limited to COVID-19.  It applies to any and all vaccines. BioUtah worked with the sponsors to achieve amended language to exempt as a violation any action by an employer requiring proof of vaccination when that action is precipitated by the requirements of a third party upon the employer or an employee of the employer by an entity that may legally require vaccinations. The bill has passed the House and been favorably referred to the Senate for consideration by a Senate committee.  However, the changes made in the Senate must be concurred by the House and it must all be done by midnight tonight.

• SB093 Business Tax Amendments – Sen. Fillmore

This bill essentially reaffirms the tax exempt status of materials used in the production of an end product that is ultimately subject to sales tax.

• SB039 Mobile Workforce Income Tax Amendments – Sen. Bramble

This bill provides relief for employers with regard to withholding tax on employees working 20 or fewer days per year in the state of Utah.  Bill has passed both House and Senate.