A. The department shall establish discounted prices for drugs covered by a rebate agreement and shall promote the use of efficacious and reduced-cost drugs, taking into consideration reduced prices for state and federally capped drug programs, differential dispensing fees, administrative overhead and incentive payments.

B. Beginning January 1, 2001 2004, a participating retail pharmacy shall offer the initial discounted price.

C. No later than October 1, 2001 2004, a participating retail pharmacy shall offer the secondary discounted price if available.

D. In determining the amount of discounted prices, the department shall consider an average of all rebates provided pursuant to subsection 4, weighted by sales of drugs subject to these rebates over the most recent 12-month period for which the information is available.

6. Operation of program. The requirements of this subsection apply to participating retail pharmacies.

A. The Maine Board of Pharmacy shall adopt rules requiring disclosure by participating retail pharmacies to qualified residents of the amount of savings provided as a result of the program. The rules must consider and protect information that is proprietary in nature. Rules adopted pursuant to this paragraph are routine technical rules as defined in Title 5, chapter 375, subchapter II-A 2-A.

B. The department may not impose transaction charges under this program on retail pharmacies that submit claims or receive payments under the program.

C. A participating retail pharmacy shall submit claims to the department to verify the amount charged to qualified residents under subsection 5.

D. On a weekly or biweekly basis, the department must reimburse a participating retail pharmacy for the difference between the initial discounted price and the secondary discounted prices price provided to qualified residents