The Centers for Medicare & Medicaid Services yesterday approved a Medicaid state plan amendment allowing Washington state to negotiate supplemental rebate agreements with drug makers based on value. CMS has approved similar state plan amendments for Oklahoma, Michigan and Colorado, but this is the first to focus on Hepatitis C drugs. Specifically, it allows the state to negotiate under a subscription model to pay a fixed annual amount to purchase an unrestricted supply of Hepatitis C drugs.

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