Biden’s HHS Delays Drug Rule Allowing Multiple Price Points

The Department of Health and Human Services delayed by six months provisions of a Medicaid drug contract rule that lets manufacturers offer states different prices for the same products.

Drug companies currently offer the same low price to all state Medicaid plans, which is commonly referred to as a drug’s “best price.” The Trump-era rule could allow companies to offer different discounts to different states without forcing drugmakers to lower the price for everyone. However, lawyers said it would have been an administrative nightmare to enforce because the policy wasn’t clear.

The HHS released the rule (RIN 0938-AT82), on Dec. ...