Texas Health & Safety Code - Section 111.006. Council Powers And Duties
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§ 111.006. COUNCIL POWERS AND DUTIES. (a) The council
shall develop procedures that member agencies must follow in
purchasing pharmaceuticals. A member agency may elect not to
follow the council's procedures if the agency can purchase the
pharmaceuticals for a lower price than through the council. An
agency that does not follow the council's procedures shall report
to the council:
(1) the purchase price for the pharmaceuticals; and
(2) the name of the wholesaler, retailer, or
manufacturer selling the pharmaceuticals.
(b) The council shall designate one member agency to be the
central purchasing agency for purchasing pharmaceuticals.
(c) The council shall use existing distribution networks,
including wholesale and retail distributors, to distribute the
pharmaceuticals.
(d) The council shall:
(1) investigate any and all options for better
purchasing power, including expanding Medicaid purchasing,
qualifying for participation in purchasing programs under 42 U.S.C.
Section 256b, as amended, and using rebate programs, hospital
disproportionate share purchasing, and health department and
federally qualified health center purchasing; and
(2) make recommendations regarding drug utilization
review, prior authorization, the use of restrictive formularies,
the use of mail order programs, and copayment structures to member
agencies.
(e) In conducting the investigation under Subsection (d),
the council shall monitor the progress of the demonstration project
for certain medications and related services established by Section
32.053, Human Resources Code, as added by S.B. 1156, Acts of the
77th Legislature, Regular Session, 2001, and make no
recommendations inconsistent with a prescribed medical regime for
those medications.
(f) The council may enter into agreements with a local
governmental entity to purchase pharmaceuticals for the local
governmental entity.
(g) The council shall develop procedures under which the
council may disclose information relating to the prices that
manufacturers or wholesalers charge for pharmaceuticals by
category of pharmaceutical. The council may not disclose
information that identifies a specific manufacturer or wholesaler
or the prices charged by a specific manufacturer or wholesaler for a
specific pharmaceutical.
Added by Acts 2001, 77th Leg., ch. 1003, § 1, eff. Sept. 1, 2001.
Renumbered from V.T.C.A., Health & Safety Code § 110.006 by Acts
2003, 78th Leg., ch. 1275, § 2(90), eff. Sept. 1, 2003.
Section: 110.012 110.013 111.001 111.002 111.003 111.004 111.005 111.006 112.001 112.002 112.003 112.004 112.005 112.006 112.007
Last modified: August 10, 2007
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