Ballot Propositions Proposition: 78 Prescription Drugs. Discounts. November 8, 2005      Proposition    HTML    Establishes discount prescription drug program, overseen by the Department of Health Services. Enables certain low - and moderate - income California residents to purchase prescription drugs at reduced prices. Imposes $15 application fee, renewable annually. Requires Department's prompt determination of residents' eligibility, based on listed qualifications. Authorizes Department to contract with pharmacies to sell prescription drugs at agreed-upon discounts negotiated in advance, and to negotiate rebate agreements with drug manufacturers. Permits outreach programs to increase public awareness. Creates state fund for deposit of rebate payments from drug manufacturers. Allows program to be terminated under specified conditions. (See full text of analysis for key differences between Proposition 78 and Proposition 79.)

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