Substitute House Bill No. 6870 aims to establish a Canadian prescription drug importation program to reduce prescription drug costs in the state, effective July 1, 2025. The bill mandates the Commissioner of Consumer Protection to conduct a feasibility study, with findings due by October 1, 2027, and if feasible, to seek federal approval for the program. It outlines the conditions under which participating wholesalers can import and distribute drugs from Canadian suppliers, ensuring compliance with federal safety standards. The bill introduces new legal language, including definitions for terms like "United States Pharmacopoeia" and "Homeopathic Pharmacopoeia of the United States," while updating or deleting previous definitions and regulations. It also specifies that certain drugs, such as controlled substances, are excluded from importation.

Additionally, the bill establishes regulations for pricing prescription drugs, prohibiting manufacturers and distributors from selling identified drugs above a reference price starting January 1, 2026, with civil penalties for violations. It empowers the Commissioner to enforce compliance, issue cease and desist orders, and require recalls of non-compliant drugs. The bill also includes provisions for health insurers to credit insured individuals for out-of-pocket expenses incurred when purchasing prescription drugs from out-of-network providers. Key insertions include the requirement for electronic filing and payment of penalties, while no deletions from current law are noted. Overall, the bill aims to enhance transparency, affordability, and public health protections in the state's prescription drug market.