Establishes a three-year Medicaid demonstration project to pay for certain drugs according to a value-based system.

This bill establishes a three-year Medicaid demonstration project to pay for certain drugs according to a value-based payment system. The Department of Human Services will enter into purchasing or rebate agreements with the manufacturers of at least three different prescription drugs, which will provide that the total reimbursement paid by the State for such drugs will be based in some part on observed outcomes of the drug’s use in patients.

Establishes a three-year Medicaid demonstration project to pay for certain drugs according to a value-based system.

This bill establishes a three-year Medicaid demonstration project to pay for certain drugs according to a value-based payment system. The Department of Human Services will enter into purchasing or rebate agreements with the manufacturers of at least three different prescription drugs, which will provide that the total reimbursement paid by the State for such drugs will be based in some part on observed outcomes of the drug’s use in patients.