State Drug Assistance Program Funding

Under current law, the department of public health and environment (department) receives pharmaceutical rebates for money it receives based on charges in excess of a federal price agreement related to the state's operation of a drug assistance program to assist individuals with lower incomes who have medical or preventive needs regarding AIDS or HIV (state program). The rebates are designated in statute as donations. The act removes the statutory designation of the rebates as a donation and creates a cash fund into which the rebates are credited for continuous appropriation to the department for the state program. The cash fund is exempted from the statutory limit on uncommitted reserves in a cash fund. (Note: This summary applies to this bill as enacted.)