SECTION 182.
The office of Medicaid shall investigate and provide a report on potential cost savings for prescription medications including, but not limited to, the feasibility of joining a Medicaid multistate prescription drug bulk purchase consortium and pursuing new supplemental rebates from prescription drug manufacturers. The report shall include: (i) an update on existing supplemental rebates; (ii) recommendations to increase the amount of supplemental rebates received; (iii) estimated cost savings related to joining a Medicaid multistate prescription drug bulk purchase consortium; (iv) estimated administrative savings or other increased efficiencies related to joining a Medicaid multistate prescription drug bulk purchase consortium; and (v) opportunities for managed care organizations to receive similar rebates or discounts. The office shall file the report with the clerks of the house of representatives and the senate, the chairs of the joint committee on health care financing and the house and senate committees on ways and means not later than February 1, 2016.
Veto Explanation:
I am vetoing this section because the Office of Medicaid is already engaged in an independent review of methods to reduce costs in the area of prescription medications, and that review will include consideration of the two areas of potential cost savings on prescription medications targeted by Section 182. The Office of Medicaid will provide the Legislature with its relevant findings in this area upon request.