States to See Uptick in CY 2020 Clawback Payments
The Centers for Medicare & Medicaid Services (CMS) announced the parameters that will guide calendar year (CY) 2020 individual and state costs for the Medicare Part D drug benefit. CMS projects a 5.25% increase in the per capita Part D expenditures. After accounting for prior-year downward revisions, the annual percentage increase is 5.21%. Based on the release, FFIS estimates that CY 2020 clawbacks will cost states $12.5 billion, a 4.8% ($568 million) increase from CY 2019.