STATES FORM DRUG-BUYING COMPACT TO TRIM Rx PRICES

SEPTEMBER 01, 2006

Medicaid officials in 3 states have received a green light from the federal government to form a drug-buying collaborative designed to negotiate lower prices from pharmaceutical manufacturers. The new Sovereign States Drug Consortium combines the drug-buying power of Maine, Vermont, and Iowa in an effort to pressure 58 different drug makers to lower their prices on >1300 medications used by Medicaid patients. The system has been in use in Maine for nearly a year, and officials there said that its Medicaid program has already saved >$1 million.

A key element of the plan involves limiting the role of pharmacy benefit managers to ensure that all the negotiated savings are passed on to the states. A group of 7 other states has formed a similar buying group called the National Medicaid Pooling Initiative, and officials of additional state Medicaid programs have expressed interest in forming similar consortia.



SHARE THIS SHARE THIS
0

A Fast, Easy Way to Inform Parents About Vaccinations

Officials with the Centers for Disease Control and Prevention have prepared an informational video on this topic.

Pharmacy Times Strategic Alliance
 

Pharmacist Education
Clinical features with downloadable PDFs


Next-Generation Pharmacist® Awards


SIGN UP FOR THE PHARMACY TIMES NEWSLETTER
Personalize the information you receive by selecting targeted content and special offers.