RELATING TO WORKERS' COMPENSATION.

The definition of a 'compounded prescription drug' was updated to explicitly reference compliance with federal 503A standards and FDA-approved compounding facilities.

Physicians are now limited to dispensing prescription drugs directly to patients for only the first 30 days after an industrial injury; all subsequent prescriptions must be filled through the employer's pharmacy benefit manager.

Non-FDA-approved drugs, such as compounded medications, must be clearly identified as 'compounds' on treatment plans and bills, supported by a statement of medical necessity explaining why an FDA-approved alternative was not suitable.

The effective date of the legislation was changed from July 1, 2026, to January 1, 2077.

Specific payment rules were added for compounded drugs, requiring reimbursement based on the sum of the average wholesale price of each underlying ingredient by gram weight.

A new penalty mechanism was introduced where failure to identify a compound drug on a treatment plan or bill results in the payment being deemed non-reimbursable.