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(c) The drug formulary shall contain: (1) Drugs approved by the U.S. Food and Drug Administration for human use and whose manufacturers' have entered into rebate

agreement with the Centers for Medicare and Medicaid Services; (2) Drug products which are safe, economical, and effective; (3) Drugs that are not experimental; and

(4) The following categories of drugs, subject to restriction under section 1927 of the Act, are not covered: (A) Used for cosmetic purposes or hair growth; (B) With associated tests or monitoring purchased exclusively from the manufacturer or designee as a condition of sale; (C) Which are classed as “less than effective” as described in Section 107(c)(3) of the Drug Amendments of 1962 or are identical, similar or related; and (D) Used to promote fertility.

(d) A recipient eligible for medical assistance, who is eligible for Medicare, shall not be covered for prescription drugs that are covered under the Medicare Part D Prescription Drug Program effective January 1, 2006.