Substitute Bill No. 13 Summary

• Establishes the "Covered Connecticut account" to support the Covered Connecticut program and state medical assistance, administered by the Office of Health Strategy and Department of Social Services.

• Prohibits pharmaceutical manufacturers from selling prescription drugs with wholesale acquisition costs of $100 or more above a price cap calculated as the reference price (adjusted for inflation) plus 2% annual compounding increases, effective January 1, 2023.

• Imposes civil penalties equal to 80% of excess revenue earned from violating the price cap on manufacturers with at least $250,000 in annual sales; penalties are deposited in the Covered Connecticut account.

• Establishes a Canadian legend drug importation program allowing the Commissioner of Consumer Protection to designate wholesalers to import safe, effective prescription drugs from Canada through qualified suppliers, subject to federal approval under 21 USC 384.

• Requires participating wholesalers and Canadian suppliers to comply with track-and-trace requirements, laboratory testing for authenticity and degradation, and comprehensive documentation; violations can result in suspension or seizure of drugs.