An Act To Reduce the Cost of Prescription Drugs Purchased by the State and Counties by Using Section 340B of the Federal Public Health Service Act (AFTER DEADLINE)
Maine Legislature, Session 123, LD 2231
Committee: Health and Human Services
Sponsors: MARTIN, BRAUTIGAM, HANLEY, HASKELL, JONES, MILLETT, PINGREE, MILLS
Amends: 30-A MRSA §1561, 34-A MRSA §3031-C

Legislative Document 
No. 2231 
H.P. 1591 
House of Representatives, February 26, 2008 
An Act To Reduce the Cost of Prescription Drugs Purchased by the 
State and Counties by Using Section 340B of the Federal Public 
Health Service Act 
(AFTER DEADLINE) 
Approved for introduction by a majority of the Legislative Council pursuant to Joint Rule 
205. 
Reference to the Committee on Health and Human Services suggested and ordered printed. 
Presented by Representati ve TREAT of Hallowell. 
Cosponsored by Senator MARTIN of Aroostook and 
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MILLICENT M. MacFARLAND 
Clerk 
Representatives: BRAUTIGAM of Falmouth, HANLEY of Gardiner, HASKELL of Portland, 
JONES of Mount Vernon, MILLETT of Waterford, MILLS of Farmington, PINGREE of 
North Haven, Senator: MILLS of Somerset. 
PnnleJ (111 re9c1ed paper 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1. 30-A MRSA §1561, sub-§5 is enacted to read: 
5. Contract; purchase of prescription drugs. In contracting for the provision of 
medical care for a prisoner, a county may contract only with entities that are eligible to 
participate, and make reasonable efforts to participate, in the purchase of prescription 
drugs under Section 340B of the federal Public Health Service Act, 42 United States 
Code, Section 256b (2006). 
Sec. 2. 34-A MRSA §3031-C is enacted to read: 
§3031-C. Contract; purchase of prescription drugs 
In contracting for the provision of medical care for a client in any correctional or 
detention facility, the department may contract only with entities that are eligible to 
participate, and make reasonable efforts to participate, in the purchase of prescription 
drugs under Section 340B of the federal Public Health Service Act, 42 United States 
Code, Section 256b (2006). 
Sec. 3. Prescription drugs; Department of Health and Human Services. 
The Department of Health and Human Services shall coordinate with other state agencies, 
representatives of state employees and representatives of health care providers and 
facilities in the State to develop and implement a plan no later than July 1, 2009 to 
provide prescription drugs through Section 340B of the federal Public Health Service 
Act, 42 United States Code, Section 256b (2006), for the following, if the costs of 
implementing such a plan are less than the current cost of providing prescription drugs: 
A. State-funded managed care plans; 
B. MaineCare; 
C. State bulk purchasing initiatives; and 
D. Populations using high-cost chronic care and specialty drugs. 
Sec. 4. Prescription drugs; corrections and county jails. The Department of 
Corrections shall coordinate with the counties and with the Department of Health and 
Human Services in developing and implementing a plan by July 1, 2009 to provide 
prescription drugs through Section 340B of the federal Public Health Service Act, 42 
United States Code, Section 256b (2006) to inmates and employees in youth correctional 
facilities, county jails and state prisons. 
Sec. 5. Covered entities. In developing and implementing the plans required in 
sections 3 and 4 of this Act, the Department of Health and Human Services and the 
Department of Corrections shall consider all health care providers and facilities in the 
State potentially eligible for designation as "covered entities" under Section 340B of the 
federal Public Health Service Act, 42 United States Code, Section 256b (2006), including 
without limitation all hospitals eligible as disproportionate share hospitals; recipients of 
grants from the United States Public Heath Service; federally qualified health centers; 
federally qualified look-alikes; state-operated AIDS drug assistance programs; Ryan 
White CARE Act Title I, Title II and Title III programs; tuberculosis, black lung, family 
planning and sexually transmitted disease clinics; hemophilia treatment centers; public 
housing primary care clinics; and clinics for homeless people. 
SUMMARY 
The purpose of this bill is to reduce the cost of prescription drugs purchased by the 
State and counties by expanding access to discounted prescription drugs under the federal 
3408 program. The bill: 
1. 
Requires that counties and the Department of Corrections contract only with 
entities that are eligible to participate, and make reasonable efforts to participate, in the 
purchase of prescription drugs under Section 3408 of the federal Public Health Service 
Act; and 
2. Directs the Department of Health and Human Services and the Department of 
Corrections to each develop a plan to maximize access to prescription drugs through 
Section 3408 of the federal Public Health Service Act.