SRC-VRA H.B. 2298 78(R)   BILL ANALYSIS


Senate Research Center   H.B. 2298
78R8687 KKA-DBy: Uresti (Zaffirini)
Health & Human Services
5/17/2003
Engrossed


DIGEST AND PURPOSE 

Currently, the state contracts with pharmaceutical companies for a
discount on its purchase of prescription and other medications for use by
participants in Medicaid and other health care programs. Recently, other
states have joined together in order to obtain better discounts from drug
manufacturers for purchasing prescription drugs and other medications.
H.B. 2298  authorizes the state to enter into such a collaboration for the
joint bulk purchasing of prescription drugs and other medications in order
to obtain the best discount possible. 

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to
a state officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Subchapter B, Chapter 531, Government Code, by adding
Section 531.063, as follows: 
 
Sec. 531.063.  JOINT PURCHASING OF PRESCRIPTION DRUGS AND OTHER
MEDICATIONS.  (a) Authorizes the Health and Human Services Commission
(HHSC) and each health and human services agency authorized by HHSC,
notwithstanding any other law, to enter into an agreement with one or more
other states for the joint bulk purchasing of prescription drugs and other
medications to be used in the Medicaid program or another
government-funded health program in this state. 
 
(b)  Requires HHSC to adopt procedures applicable to an agreement and
joint purchase authorized by this section.  Requires the procedures to
ensure that this state receives all prescription drugs and other
medications purchased with money provided by this state and an equitable
share of any price benefits resulting from the joint bulk purchase. 
 
SECTION 2.  Provides that if before implementing any provision of this Act
a state agency determines that a waiver or authorization from a federal
agency is necessary for implementation of that provision, the agency
affected by the provision must request the waiver or authorization and may
delay implementing that provision until the waiver or authorization is
granted. 
 
SECTION 3. Effective date:  upon passage or September 1, 2003.