Relevance. In modern times, the health care system is in dire need of reducing the cost of resource provision in the field of medicine, in connection with which special tools are used. One such instrument is the purchase of goods through public procurement, including the procurement of medicines that medical institutions need. In recent years, the legislative framework in this area of procurement has significantly changed and transformed under the influence of a number of factors. As a result, when conducting public procurement, considerable attention was paid to the following aspects: consistent procurement process, the formation of the necessary documentation, description of the procurement object, organization of the competitors' environment, the functioning of which brings a positive economic effect to the purchase of medicines. The aim of the study was to develop and test an organizational and functional model of the process of centralized (consolidated) procurement of medicines in budgetary healthcare institutions for improving the system of drug supply in the hospital sector (on the example of Tyumen clinical hospital №1). Materials and methods. The article is used scientific general theoretical and empirical methods: content analysis of normative legal acts in FP, statistical and analytical data of the pharmacy Tyumen clinical hospital №1; situational-logical, graphical analysis, observation; modeling in the field of public procurement of medicinal products. Results and discussion. The content analysis of regulatory and legal documentation at the federal and territorial levels in FP was carried out. The essence of the organizational processes for the complex procurement of medicinal products through the implementation of the so-called electronic consolidated procurement of medicinal products was investigated using the example of Tyumen clinical hospital №1. The procurement process, the volume of procurement, the change in the initial price on the example of «Meropenem» were analyzed. The positive and negative aspects of centralized procurement of medicines in a medical organization (MO) are researched. Recently, the number of purchased medications under the international nonproprietary name (INN), state contracts for drug providing Tyumen clinical hospital №1 has increased significantly. With the introduction of centralized procurement, there was a tendency to reduce the document flow, the prices of the contractual act in relation to the initial lot amount. The organizational and functional model of the process of centralized (consolidated) procurement of medicines in budgetary healthcare institutions was designed. It illustrates a clear step-by-step algorithm for purchasing medicines and the role of medical organization in FP. Conclusions. The implemented and tested organizational and functional model of the process of centralized (consolidated) procurement of medicines contributes to an increase in the economic effect when allocating financial resources from the budget, directed directly to costs, when organizing public procurement.