h_phc_2016a_2016-01-08t09:06:39z6 Hearing Summary

Date: 01/08/2016

02:52 PM -- Presentation of the Medicaid Prescription Drugs Performance Audit



Jenny Page, OSA, reported on the Medicaid Prescription Drugs Performance Audit. She referenced the report that was provided to the committee (Attachment K). Ms. Page explained that the the audit resulted from a legislative request over concerns about spending on Medicaid drugs, and focused on HCPF's efforts to control the the cost of outpatient prescription drugs in 2012 and 2013. She explained that federal regulations require HCPF to monitor use and prescribing of Medicaid drugs. Ms. Page explained the total fiscal year cost of prescription medications.



160108 AttachK.pdf



02:56 PM



Ms. Page went over the strategies and goals of the department related to Medicaid drug cost containment. She stated that the audit found that HCPF is attempting to reduce cost of prescription drugs through changes in payment to pharmacies, requiring pharmacies to provide generic drugs instead of brand name, annually monitoring prescription drug claims, and issuing reliable reports. Ms. Page explained that he audit found that HCPF is generally meeting legislative requirements and described key findings from the audit report. She reviewed audit recommendations and pointed out that HCPF generally agreed with the recommendations and will issue a status report to the Legislative Audit Committee.



03:01 PM



Ms. Page responded to questions from members. She explained further about the partially agreed to recommendations. Ms. Page explained that the preferred drug list is update at least annually. Ms. Page clarified the outpatient drug costs for the year. Ms. Page concluded the presentation.