Summary
The U.S. Centers for Medicare and Medicaid Services (CMS) introduced the GENEROUS program to lower prescription drug costs in Medicaid. This new model will allow states to purchase drugs at prices similar to those in other countries, aiming to make medications more affordable. The initiative follows an executive order by President Trump to align U.S. drug prices with those abroad.
Key Facts
- CMS announced the GENEROUS program to help lower drug costs for Medicaid.
- GENEROUS allows states to buy drugs at prices similar to other countries'.
- Total Medicaid drug spending exceeded $100 billion in 2024.
- The new pricing model will start in 2026.
- President Trump signed an executive order to align drug prices with other countries in May.
- CMS will issue a call for applications for drug makers later this year.
- Health and Human Services Secretary Robert F. Kennedy, Jr. praised the effort to make medicines more affordable.
