Human services: medical services; Medicaid managed care contract with pharmacy benefit manager; modify. Amends sec. 105i of 1939 PA 280 (MCL 400.105i).

HB 5303 modifies Michigan's Medicaid managed care contracts to ensure fair reimbursement for small pharmacies (with 7 or fewer retail outlets). It requires pharmacy benefit managers to use specific payment methods - such as the lesser of national average drug costs plus a professional fee or a pharmacy's usual charge - and prohibits them from taking part of that fee. The bill also mandates transparent pricing (disclosing administrative fees as a percentage) and bans new or excessive fee increases beyond inflation. These changes directly affect Medicaid managed care organizations and small pharmacies serving Michigan Medicaid patients.