A Review of The Health and Human Services Commission's Reports of Average Drug Prices Related to the Medicaid Vendor Drug Program
June 2004
Report Number 04-038
Overall Conclusion
The Health and Human Services Commission (Commission) did not comply with Rider 33 of the General Appropriations Act (78th Legislature, Regular Session, page II-54). The Commission was unable to produce semi-annual reports of average drug manufacturer prices and wholesale purchase prices as required by Rider 33 because it could not obtain drug pricing information from the Interagency Council on Pharmaceutical Bulk Purchasing (Council). In addition, the Council asserts that the necessary funding to set up a system to gather the required pricing information is not available. As a result, we were unable to review:
- A schedule of average manufacturer prices and wholesale purchase prices.
- Which manufacturers or wholesalers did not provide data as required by state law.
- Actions the Office of the Attorney General took to enforce compliance.
- Details of how the reported data has or will influence reimbursement levels the Commission established for prescription drugs.
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