Medicaid Final Rule: Covered Outpatient Drugs

In this final rule released on February 1, 2016, the federal Centers for Medicare & Medicaid Services (CMS) implemented a new basis for how state Medicaid fee-for-service (FFS) programs will calculate the cost of  pharmaceuticals. The rule establishes the long term methodology for implementation of the Medicaid drug rebate and reimbursement programs. New definitions in the rule are intended to ensure that Medicaid rebates accurately account for market prices. The rule includes incentives to pharmacies for using generic drugs by ensuring proper reimbursements for their cost . . .