Missouri Employment Law Update – June 2016

Missouri

Payroll Taxes and Withholding

On June 28, 2016, Missouri Governor Jay Nixon signed legislation (H.B. 1582) amending state law regarding income tax withholding.

Withholding tax filing requirement: Under current law, an employer is allowed to file an annual withholding tax return instead of four quarterly returns when the aggregate amount withheld is less than $20 in each of the four preceding quarters. House Bill 1582 changes the amount to less than $100 in each of the four preceding quarters if the employer is not otherwise required to file a withholding return on a monthly basis.

Electronic filing of Form W-2: Effective January 1, 2018, employers with at least 250 employees will be required to file their Form W-2 electronically with the state unless granted a waiver for the federal requirement to file electronically by the IRS.

Read MO H.B. 1582

Mandated Health Benefits – Step Therapy for Prescription Drugs

On June 8, 2016, Missouri Governor Jay Nixon signed legislation (H.B. 2029) amending current laws regarding step therapy protocols for prescription drugs. The bill:

  • Requires health carriers, health benefit plans, and utilization review organizations to provide health care providers access to a clear, convenient, and readily accessible process to request a step therapy override exception determination for prescription drugs that are restricted for use via a step therapy protocol.
  • Requires a step therapy override exception determination to be granted if the patient has tried the step therapy required drugs previously and such drugs were discontinued for specified reasons.
  • Permits a health carrier, health benefit plan, or utilization review organization to request relevant documentation from the patient or provider to support the override exception.
  • Requires the health carrier, health benefit plan, or utilization review organization, upon the granting of an override exception request, to authorize dispensation of and coverage for the prescription drug prescribed by the patient’s treating health care provider, provided the drug is a covered drug under the policy or contract.

As used in the bill:

  • Step therapy protocol means a protocol or program that establishes the specific sequence in which prescription drugs for a specified medical condition and medically appropriate for a particular patient are to be prescribed and covered by a health carrier or health benefit plan.
  • Step therapy override exception determination means a determination as to whether a step therapy protocol should apply in a particular situation, or whether the step therapy protocol should be overridden in favor of immediate coverage of the health care provider’s preferred prescription drug. This determination is based on a review of the patient’s health care provider’s request for an override, along with supporting rationale and documentation.
  • Step therapy override exception request means a written request from the patient’s health care provider for the step therapy protocol to be overridden in favor of immediate coverage of the health care provider’s preferred prescription drug.

The bill applies to health benefit plans delivered, issued for delivery, or renewed on or after January 1, 2018.

Read MO H.B. 2029