CMS Extends Deadlines for Medicaid Drug Pricing Model Participation

The Centers for Medicare & Medicaid Services (CMS) has extended several key application deadlines for drug manufacturers and states to participate in its Medicaid drug pricing model, aimed at lowering prescription drug costs for low-income Americans.

Under the revised timeline, pharmaceutical companies now have until June 11, instead of April 30, to submit applications. The deadline to sign participation agreements has also been pushed to July 17, from the earlier June 30 date.

CMS said the extensions are intended to provide additional time—particularly for small and mid-sized drugmakers—to better understand the program requirements and complete the application process. Companies eligible to apply must manufacture at least one drug and already participate in the Medicaid Drug Rebate Program.

The initiative is designed to improve access for state Medicaid programs to participating manufacturers’ drugs while aligning U.S. drug prices more closely with those paid in other developed countries.

Deadlines for states have also been extended. States can now apply to join the model until September 10, compared to the previous July 31 deadline, and have until September 30 to finalize participation agreements, replacing the earlier August 31 cutoff.

Announced in November, the model allows state Medicaid programs to purchase certain drugs at prices tied to those in select international markets, reflecting CMS’s broader effort to address high prescription drug costs in the U.S.