Sec. 1. 5 MRSA §12004-I, sub-§49-C is enacted to read:

49-C. Prescription Expenses 22 MRSA

Human Drug Program Only §263

Services Advisory

Committee

Sec. 2. 22 MRSA c. 101-A is enacted to read:

CHAPTER 101-A

PRESCRIPTION DRUG PURCHASING CONSORTIUM AND

PRESCRIPTION DRUG PROGRAM

§261.__Prescription drug purchasing consortium; prescription drug

distribution program

The department shall form or enter into a prescription drug purchasing consortium, referred to in this chapter as the "consortium," to enable the department to obtain prescription drugs at the most favorable and competitive prices available from the manufacturers of prescription drugs.__The department shall establish the Prescription Drug Distribution Program, referred to in this chapter as the "program," to provide for the sale of the drugs to consumers.

1.__Purchase of prescription drugs.__The department shall utilize the consortium to purchase prescription drugs and make them available to consumers, to the extent allowed by the funds appropriated to the program, at the lowest possible cost through the program.

2.__Sale of prescription drugs.__The department shall contract with cooperating pharmacies and hospitals to sell prescription drugs to consumers at prices to be set by rule adopted by the department at levels appropriate to ensure an adequate profit for the pharmacies and hospitals and the lowest reasonable prices to the consumers.

3.__Consumers.__The following residents of the State, referred to in this chapter as "consumers," qualify to receive prescription drugs from the department under this chapter:

A.__Residents whose incomes are at or below 400% of the nonfarm income official poverty line, as defined by the federal Office of Management and Budget and revised annually in accordance with the United State Omnibus Budget Reconciliation Act of 1981, Section 673, Subsection 2; and