Purpose of the Bill

This bill aims to create a prescription drug purchasing program in Minnesota. The goal is to purchase prescription drugs at the lowest possible prices for individuals enrolled in Medical Assistance and MinnesotaCare.

Main Provisions

• Establishment: The program will be overseen by Minnesota's commissioner of human services, targeting Medical Assistance and MinnesotaCare enrollees who are part of fee-for-service and managed care delivery systems.

• Commissioner's Duties:

  • The commissioner will be responsible for obtaining prescription drugs at low prices.
  • The program is designed to promote health by providing discounted medication and coordinating comprehensive prescription benefits.
  • A list of the most effective prescription drugs at the best prices will be maintained.

• Program Authority:

  • The commissioner has the authority, in consultation with the Formulary Committee, to adopt a preferred drug list.
  • Engaging in price negotiations with drug manufacturers for discounts and rebates.
  • Development and management of a drug formulary for the program.

• Pharmacy Participation:

  • The commissioner will set participation terms for pharmacies.
  • All pharmacies participating as medical assistance providers, along with any willing and licensed pharmacies, can join the program under these terms.

• Federal Approval:

  • The program will seek necessary federal approvals to be implemented.

Significant Changes

This bill introduces a structured program aimed at reducing prescription drug costs through statewide purchasing and negotiation efforts, which could result in more affordable access to medications for eligible Minnesota residents.

Relevant Terms

• Prescription drug purchasing
• Medical Assistance
• MinnesotaCare
• Fee-for-service
• Managed care
• Preferred drug list
• Formulary
• Price negotiations
• Prescription drug manufacturers
• Drug formulary
• Federal approvals