Substitute Bill No. 7174 Summary

• Establishes the Connecticut Prescription Drug Program under the Comptroller to purchase prescription drugs, negotiate discounts and rebates with manufacturers, and make drugs available at the lowest possible cost to participating individuals, pharmacies, and pharmacists, effective October 1, 2019.

• Creates a separate nonlapsing account within the General Fund to fund the Connecticut Prescription Drug Program, with administrative fees charged to participating individuals, pharmacists, and pharmacies.

• Requires pharmaceutical manufacturers to notify the Insurance Commissioner within 30 days of entering into agreements to delay or prevent generic drug market entry, triggering a requirement for health carriers and pharmacy benefits managers to reduce drug costs to covered individuals by 50% of the manufacturer's wholesale list price.

• Prohibits pharmacy services contracts from penalizing pharmacists for disclosing to patients the cost of medications or availability of less expensive alternatives, and prohibits health carriers and pharmacy benefits managers from recouping claim payments from pharmacies starting January 1, 2020.

• Establishes a task force to study drug reimportation feasibility, with a report due to the legislature by January 1, 2020, and extends prescription drug purchasing options to nonstate public employers and qualified private employers.