home.aspx
home.aspx
 
. Resources/Whitepapers/d8445770-f345-49c9-a3d7-7dd84a47823e_White-paper_background-for-NASHP-Rx-Medicaid-discourse.pdf
whitepaper
FEDERAL-STATE DISCOURSE BARRIERS TO STATE ACTION ON
PRESCRIPTION DRUG COSTS
In the late 1980’s, there was a growing state concern that the Medicaid program was not able to obtain price concessions on prescription drugs that other payers were getting. In 1990, Congress acted to ensure that Medicaid programs received significant, specified, discounts off the average commercial market price (the Average Manufacturer Price or AMP). Additionally, Congress provided that if there was a price in the market better than the mandated discount off AMP, known as the “best price,” Medicaid agencies automatically get that best price. DOWNLOAD