Chapter 10 - PRESCRIPTION DRUG DISCOUNT CARD ACT

Section 17-1001

Section 17-1001

  § 17-1001 Short title. This chapter shall be known and may be cited as
the "Prescription Drug Discount Card Act."

Section 17-1002

Section 17-1002

  §  17-1002  Definitions.  When used in this chapter, the term "rebate"
shall mean a refund of a certain portion of the  wholesale  price  of  a
drug based on a negotiated agreement between a drug manufacturer and any
administrator  of  the  prescription  drug discount card program created
pursuant to this chapter.

Section 17-1003

Section 17-1003

  §  17-1003  Prescription drug discount card program. a. The department
shall develop a prescription drug discount card program which  shall  be
made  available  to  all  New  York  city  residents, regardless of age,
income, immigration status or health insurance coverage status, for  the
purpose  of  providing  all  New York city residents with a prescription
drug discount card which may  be  used  to  buy  prescription  drugs  at
reduced  prices  at  participating  pharmacies.  Such  prescription drug
discount card program shall enable each user of such program to purchase
at a reduced price from a pharmacy that participates in the program  any
prescription  drug that is eligible for a discount through such program.
The prescription  drug  discount  card  program  shall  allow  users  to
purchase  a drug at the lower of either the drug price available through
the prescription drug discount card program or the pharmacy's  customary
and  usual price. Any prescription drug discount card issued pursuant to
this section may not be utilized in conjunction  with  another  type  of
prescription drug discount card for the same transaction.
  b.  Nothing  in  this  chapter  shall  be  construed  to  provide  any
governmental entity  other  than  the  department  with  access  to  any
individually   identifiable   information   regarding   users   of   the
prescription drug discount card program  established  pursuant  to  this
section.   The   department  shall  keep  confidential  all  information
concerning the identity of users of the program and the drugs that  such
users  purchase  through  the  program.  The  department  may  use  such
information  solely  to  conduct  epidemiological  and  health  planning
studies and to provide general information to users about the drugs such
users  are  taking,  the  conditions for which such users are taking the
drugs and other services of the department  or  the  city  of  New  York
related to such conditions.
  c.  No  administrator  of  the prescription drug discount card program
shall provide the prescription drug discount card developed pursuant  to
this  section  to  any  resident  of  the  city  of New York unless such
administrator ensures that a portion of  any  rebate  payments  received
from  drug  manufacturers  is  distributed  to  users  of  such program,
including pharmacies participating in the program.
  d. Any duly licensed pharmacy willing to comply  with  the  terms  and
conditions  of  the  prescription  drug  discount  card program shall be
permitted to participate in the program.

Section 17-1004

Section 17-1004

  §  17-1004  Report.  Not  later  than sixty days after the end of each
twelve-month period during which the  prescription  drug  discount  card
program  has  been  in  operation, the department shall provide the city
council with a report regarding such program. Such report shall  provide
information regarding the operation of such program during the reporting
period,  including,  but  not  limited to (i) the number of prescription
drug discount card holders who used the prescription drug discount  card
at least once, (ii) the total cost savings to all card holders generated
by  the  program,  (iii)  the  average cost savings to a card holder per
prescription, (iv) the source and  method  of  cost  savings  under  the
program, (v) the major drug categories that are not discounted under the
program and an explanation as to why such drugs are not listed, (vi) the
drugs  for which rebates are offered under the program, listed according
to major drug category, (vii) the number of pharmacies participating  in
the  program,  and (viii) to the extent available, any costs incurred by
pharmacies to participate in the program.

Section 17-1005

Section 17-1005

  §  17-1005  Implementation. The department may enter into contracts or
agreements with third  parties  to  implement  the  provisions  of  this
chapter,  including, but not limited to, developing and/or administering
the prescription drug discount  card  program  established  pursuant  to
section  17-1003  of this chapter and collecting information required by
section 17-1004 of this chapter.

Section 17-1006

Section 17-1006

  §  17-1006  Rules.  The department may promulgate such rules as may be
necessary to implement the provisions of this chapter.