Washington State
House of Representatives
Office of Program Research
BILL
ANALYSIS
Appropriations Committee
HB 1408
Brief Description: Creating an account for the pharmaceutical rebate revenue generated by the purchase of medications for people living with HIV who are enrolled in the early intervention program.
Sponsors: Representatives Doglio, Riccelli, Lekanoff, Macri and Reed; by request of Department of Health.
Brief Summary of Bill
  • Creates an account for pharmaceutical rebate revenue generated by the purchase of HIV medications.
Hearing Date: 1/30/23
Staff: Lily Smith (786-7175).
Background:

The federal Ryan White HIV/AIDS (Ryan White) Program provides grants to states and other entities to support services for low-income people with HIV.  The Department of Health (DOH) receives Ryan White grant funding to operate the Early Intervention Program (EIP).  Among other services, the EIP provides payment for certain HIV-related medications.


Purchases of these HIV-related medications generate rebates from pharmaceutical companies, which are deposed into the State General Fund.  The DOH requests appropriation authority to spend this rebate revenue on EIP services.  The Ryan White Program requires expenditure of these rebate revenues on EIP services before federal funding is used.
Summary of Bill:

The non-appropriated medication rebate revenue account (account) is created in the custody of the State Treasury.  The EIP must deposit any receipts from pharmaceutical rebates generated by the purchase of medications for any person enrolled in the EIP into the account.  The expenditures may only be used for services defined in the grant award from the Ryan White Program, and only the Secretary of Health (Secretary) or the Secretary's designee may authorize expenditures from the account.
Appropriation: None.
Fiscal Note: Not requested.
Effective Date: The bill takes effect 90 days after adjournment of the session in which the bill is passed.