tci Medicare Compliance & Reimbursement - 2003 Issue 14

Pharmaceuticals: COURT OKS MICHIGAN MEDICAID RX PROGRAM

Michigan may go forward with its effort to obtain deep discounts from prescription-drug manufacturers for Medicaid and other state programs, a Washington, D.C. federal trial court judge ruled March 28. The Pharmaceutical Research and Manufacturers of America, the drug industry trade association which challenged the Centers for Medicare & Medicaid Services' approval of Michigan's "Best Practices Initiative," plans to appeal. Under the initiative, a committee of experts designates at least two "best-in-class" drugs in each of about 40 therapeutic classes. Physicians may prescribe those drugs freely to Medicaid enrollees. But physicians must receive prior state authorization before...

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