The bill establishes a prescription drug purchasing program under the authority of the commissioner of human services, specifically for participants enrolled in medical assistance and MinnesotaCare. The program aims to obtain prescription drugs at the lowest possible prices, promote health through discounted drug purchases, maintain a list of effective drugs, administer benefits, and manage pharmacy claims. The commissioner is granted the authority to adopt a preferred drug list, negotiate prices with manufacturers, and manage a drug formulary, while also being able to contract with other entities for these functions.

Additionally, the bill mandates the commissioner to set terms for pharmacy participation and to seek necessary federal approvals for implementation. It also includes a provision for the expansion of the program to include health plan company enrollees, requiring the commissioner to develop recommendations for this expansion and present them to relevant legislative committees by December 15, 2027. The program is set to take effect on January 1, 2027, or upon federal approval, whichever is later.