Purpose of the Bill

The bill aims to establish a prescription drug purchasing program in Minnesota to procure medications at the lowest possible cost for certain state-run health care programs. This initiative targets improving affordability and access to necessary medications for participants.

Main Provisions

• Administration: The program will be overseen by the Commissioner of Human Services, who is responsible for managing and acquiring prescription drugs for program participants.
• Eligibility: The program is intended for individuals enrolled in Medical Assistance and MinnesotaCare through both fee-for-service and managed care delivery systems.
• Objectives:
  • Secure the lowest possible prices for prescription drugs.
  • Promote health by providing discounted prescription drugs.
  • Maintain a list of effective, cost-efficient prescription drugs.
  • Administer and adjudicate pharmacy claims for medical assistance and MinnesotaCare.

Significant Changes

• Program Authority: The commissioner, working with the Formulary Committee, can:
  • Develop a preferred drug list.
  • Negotiate pricing and rebates with drug manufacturers and other suppliers.
  • Develop and manage a drug formulary.
• Pharmacy Participation: The commissioner will set terms for pharmacies to join the program, enrolling those that are part of the state medical assistance system and others willing to meet the program's conditions.
• Federal Approval: The commissioner will also seek required federal approvals to fully implement the program.

Relevant Terms

prescription drug purchasing program, commissioner of human services, medical assistance, MinnesotaCare, fee-for-service, managed care, price negotiations, preferred drug list, drug formulary, pharmacy claims, federal approvals.