HB5340 Summary

• Creates the Illinois Pharmaceutical Collaborative, chaired by the Director of Healthcare and Family Services, to coordinate State and local government efforts to reduce pharmaceutical drug costs.

• Collaborative shall meet at least twice per year and include representatives from 8 State agencies (Corrections, Veterans' Affairs, Human Services, Financial and Professional Regulation, Central Management Services, Labor, Public Health, and Board of Higher Education), plus legislative appointees and other agencies designated by the Governor.

• Collaborative duties include coordinating clinical treatment protocols, leveraging bulk purchasing power, joining pharmaceutical purchasing consortiums, tracking high-cost drugs, and recommending drugs for independent cost-value review.

• Department of Healthcare and Family Services may contract with pharmaceutical benefits managers to negotiate discounts and rebates with drug manufacturers, and such contracts are exempt from the Illinois Procurement Code.

• Department shall submit annual reports to the General Assembly from 2021-2025 detailing contracts entered, participating entities, pharmaceutical costs by member agency, and estimated cost savings achieved.