The proposed "Drug Manufacturer Data Reporting Act" mandates that drug manufacturers report specific information to the Michigan Department of Insurance and Financial Services, as well as to the house and senate fiscal agencies, regarding price increases of prescription drugs. Specifically, manufacturers must submit reports at least 90 days prior to increasing the wholesale acquisition cost of a prescription drug that exceeds $40.00 by 5% or more in a year or by 15% over three years. The required report must include details such as the drug's name, its classification (brand name, generic, etc.), the effective date and percentage of the price change, research and development costs, and advertising expenditures, among other data.

Additionally, the act stipulates that drug manufacturers must notify the department within three days of introducing a new prescription drug with a wholesale acquisition cost exceeding the Medicare Part D specialty drug threshold. The department is tasked with preparing an annual report based on the collected data, which will be made publicly accessible while ensuring that sensitive information is protected. Violations of the act may result in civil fines of up to $100,000 per month, and the department is authorized to create necessary rules for implementation. The act is set to take effect on January 1, 2027.