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	Amend CSHB 3540, in ARTICLE 7, by adding the following 
appropriately numbered section to the article and renumbering the 
subsequent sections of the article accordingly:
	SECTION 7.   .  Section 531.070(h), Government Code, is 
amended to read as follows:
	(h)  Subject to Subsection (i), the commission shall 
negotiate with manufacturers and labelers, and may negotiate with 
[including] generic manufacturers and labelers, to obtain 
supplemental rebates for prescription drugs provided under:
		(1)  the Medicaid vendor drug program in excess of the 
Medicaid rebates required by 42 U.S.C. Section 1396r-8 and its 
subsequent amendments;
		(2)  the child health plan program; and                                       
		(3)  any other state program administered by the 
commission or a health and human services agency, including 
community mental health centers and state mental health hospitals.