CMS finalizes ACA rule to save taxpayers billions
In order to effectively implement provisions of the Affordable Care Act, the Centers for Medicare and Medicaid Services (CMS) finalized a rule today detailing reforms to the rebate and reimbursement systems for Medicaid prescription drugs, which will save federal and state governments an estimated $2.7 billion over five years.
The Affordable Care Act substantially reformed Medicaid payments for prescription drugs, increasing rebates and setting limits on federal reimbursements. The “Covered Outpatient Drugs” final rule ensures those reforms will be effectively implemented by providing further detail on how those reimbursements and rebates are calculated, part of CMS’ broader efforts to help ensure affordability and accessibility of prescription drugs, while supporting pharmaceutical innovation.
“Millions of Medicaid beneficiaries rely on prescription medications to manage chronic illnesses or treat acute conditions. But recently, the cost of prescription drugs has been rising rapidly, creating fiscal pressure and potentially compromising beneficiary access” said Vikki Wachino, CMS deputy administrator and director of the Center for Medicaid and CHIP Services. “This final rule makes changes that will save taxpayers billions and ultimately improve beneficiary access to prescription drugs.”