January 27, 2005, Introduced by Rep. Kahn and referred to the Committee on Health Policy.
A bill to amend 1978 PA 368, entitled
"Public health code,"
(MCL 333.1101 to 333.25211) by adding section 9702.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 9702. (1) The department may enter into agreements,
contracts, or cooperative arrangements under this section to create
or join a multistate prescription drug purchasing program. The
purpose of the agreement, contract, or cooperative arrangement
shall be to use the collective purchasing power of the
participating states and members to reduce the cost of prescription
drugs for those participating states and members.
(2) Agreements, contracts, or cooperative arrangements under
this section may be executed with any state department, agency, or
political subdivision of this state or any other state or with any
other person that purchases prescription drugs.
(3) Any agreement, contract, or cooperative arrangement
entered into under this section shall not prohibit the
participating states or members from forming partnerships with
pharmaceutical manufacturers or wholesale distributors to receive
discounts on prescription drugs.
(4) The department shall be responsible for the administration
of the multistate prescription drug purchasing program created or
entered into under this section. The department shall establish a
system for the distribution of the prescription drugs purchased
under this program. The department shall implement this section in
a manner that complies with federal requirements. The department
may promulgate rules for the implementation and administration of
this section.
(5) Within 2 years of the effective date of the amendatory act
that added this section, and every other year thereafter, the
department shall submit a written report to the governor and each
house of the legislature regarding the activities and status of the
multistate prescription drug purchasing program.