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A Legislative History of the Medicaid Drug Rebate Law: The Drug Industry and the Crusade of Senator David Pryor

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2004

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A Legislative History of the Medicaid Drug Rebate Law: The Drug Industry and the Crusade of Senator David Pryor (2004 Third Year Paper)

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Abstract

The Medicaid Prescription Drug Rebate Program was enacted in 1990, granting the Medicaid program “most-favored customer†status and requiring drug manufacturers sell their drugs to Medicaid at the “best price†available to any other purchaser. Although drug rebates remain an integral part of Medicaid today, the program’s legislative history is largely unexamined. This paper reveals the political story behind the law, focusing on the dynamic between Senator David Pryor (D-Ark.) and the Pharmaceutical Manufacturers Association, the trade group representing name-brand drug products.

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Food and Drug Law, Medicaid Prescription Drug Rebate Program, David Pryor

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A Legislative History of the Medicaid… : DASH Story 2015-08-12
I'm a retired Alabama Medicaid Analyst and Alabama State Policy Chair for the American Association of University Women (AAUW, founded in 1881). I'm doing research to meet with Alabama Legislators before their next (!) special session in an effort to help them understand growing costs of Medicaid. Our State Legislature completed it's regular session and one special session without a budget that fully funds Medicaid. Because Medicaid is complicated and our State Legislature is filled with young tea party mentality republicans, I hope to give them an overview of why the Medicaid budget is costly so they will perhaps abandon their cries "cut the fat" "entitlement programs are out of control" and see the Alabama Medicaid Program for the effective we'll run program it is. Since Pharmacy is one of the most costly programs I need to give them some background on the Medicaid Drug Rebate Law and from the title of this article I'm hoping that I'll find the facts to explain the Pryor Bill, which was the beginning of that program. Thank you for making this article available to me!