4.__Conduct of program.__This subsection governs the conduct of the program, including the basic, supplemental and catastrophic components, by the department.

A.__Prescription and nonprescription drugs, medications and medical supplies of manufacturers that enter into rebate agreements pursuant to paragraph H may be available under the program.__The department may create and implement a preferred drug list.__Drugs may be made available through the operation of the basic and supplemental components of the program as follows.

(1)__The basic component of the program must provide drugs and medications for cardiac conditions and high blood pressure, diabetes, arthritis, anticoagulation, hyperlipidemia, osteoporosis, chronic obstructive pulmonary disease and asthma, incontinence, thyroid diseases, glaucoma, parkinson's disease, multiple sclerosis and amyotrophic lateral sclerosis.__The basic component must also provide__over-the-counter medications that are prescribed by a health care provider and approved as cost-effective by the department.

(2)__The supplemental component of the program must provide all prescription drugs and medications of manufacturers that enter into rebate agreements pursuant to paragraph H other than those prescription drugs and medications provided under subparagraph (1).

B.__An individual is eligible for the program if that individual:

(1)__Is a legal resident of the State;

(2)__Meets the income eligibility criteria set forth in this section or is eligible for both MaineCare and Medicare Part D;

(3)__Does not receive full MaineCare pharmaceutical benefits; and

(4)__Is at least 62 years of age, or is 19 years of age or older and determined to be disabled by the standards of the federal social security program.__ A person who was eligible for the program at any time from August 1, 1998 to July 31, 1999 and who does not meet the