By Maxey H.B. No. 1116 77R432 MCK-D A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to establishing a maximum sales price for drugs sold to 1-3 certain entities. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Subchapter E, Chapter 431, Health and Safety Code, 1-6 is amended by adding Section 431.116 to read as follows: 1-7 Sec. 431.116. MAXIMUM SALE PRICE. A person may not sell a 1-8 drug to a public entity for more than the reimbursement rate for 1-9 the drug under the Medicaid vendor drug program. 1-10 SECTION 2. The change in law made by this Act by the addition 1-11 of Section 431.116, Health and Safety Code, applies only to a sale 1-12 made on or after September 1, 2001, under a contract executed or 1-13 renewed on or after that date. 1-14 SECTION 3. This Act takes effect September 1, 2001.