The bill focuses on imposing specific requirements on health plan companies and county-based purchasing plans that offer prescription drug coverage as part of Minnesota's medical assistance program. Key points include:

1. Modification of Coverage for Cost Management: The bill allows the commissioner to alter or limit prescription drug coverage in managed care contracts. This is aimed at increasing the state's savings by collecting more prescription drug rebates from drug manufacturers. These contracts would still need to motivate the managed care plan to effectively manage drug costs and use, possibly by using preferred drug lists or requiring prior authorization for certain medications.

2. Dispensing Fee Regulation: The bill mandates that any health plan or county-based plan providing prescription drugs under specific state chapters must pay pharmacies a minimum dispensing fee as outlined by existing state law. This ensures pharmacies are adequately compensated for the services they provide in dispensing medications.

Essentially, the bill is designed to help control prescription drug costs within Minnesota’s medical assistance programs while ensuring pharmacies receive fair payment for dispensing drugs.