State & Regional Interest	Monday, March 3, 2003
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S.C. to join multistate drug purchasing program (Published February 26‚ 2003) COLUMBIA, S.C. (AP) - Gov. Mark Sanford has signed South Carolina up to join a multistate prescription-drug purchasing program as a way to save Medicaid costs. Michigan and Vermont are part of the program that will allow the states to negotiate discounts from drug companies. "The addition of South Carolina to our purchasing pool is an exciting development that will bring greater value to our innovative program," said Vermont Gov. Jim Douglas. Virginia-based First Health Services Corp. will coordinate the program. By buying in bulk, the states hope to receive "supplemental rebates" for drug purchases. The more states that participate, the more buying power they can use to negotiate deals. South Carolina's participation is contingent on receiving federal approval for its proposed preferred drug list, which is modeled after programs in effect in other states, including Michigan and Vermont. Medications on the list must meet certain criteria. Those not on the list require prior approval before a doctor can prescribe them to Medicaid recipients. Drug companies can get their medications on the list by negotiating a fee with the state and agreeing to sell their drugs at a lower cost. "This is the most critical step in making sure we're getting the most bang for our Medicaid buck," Sanford said Wednesday. Other states, including Minnesota and Wisconsin, may join the pool, said Frank Adams, spokesman for the South Carolina Department of Health and Human Services, which runs the state's Medicaid program.

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