Iowa Medicaid Preferred
Drug List (PDL) Implementation Postponed
Preferred Drug List (PDL) program for Iowa Medicaid which
had been scheduled to go into effect January 5th, 2004 has
been postponed. No new date for implementation has
been scheduled, but it is expected to be at least a several
month delay. (See letter
from Medicaid Director Eugene Gessow)
Legislation passed in the 2003 legislative session (HF
619) enables Iowa's state Medicaid agency to create
a preferred drug list and supplemental rebate program.
Several other states have done this recently in an effort
to curb skyrocketing pharmacotherapy costs. The PDLwill
not be a restricted formulary - rather, it will require
that prior authorization be given for those drugs not on
the preferred list.
9 member governor-appointed PDL committee has been formed,
and a set of recommendations for the first phase of the
program has already been generated (see: Iowa
PDL website). However, a new contractor is being
sought to administrate the program, and the process will
likely begin again from the ground up.
medications and the PDL:
legislation specifically exempts psychiatric medications
from this program. However, since psychoactive medications
account for a very substantial portion of Iowa's overall
Medicaid drug budget, it is likely that there will be an
attempt to amend this aspect of the bill in upcoming sessions.
Therefore, it is important for people within Iowa's mental
health community to be familiar with the issues.