The Centers for Medicare & Medicaid Services approved a state Medicaid amendment that will allow negotiated supplemental rebate agreements with manufacturers of hepatitis C medications. Long-term care providers hailed the move.

Hepatitis C prevalence in Louisiana between 2013 and 2016 was 1.3%, compared to the national average of 0.93%, according to a study by the JAMA Network. Of those diagnosed with hepatitis C, three in four are baby boomers or older, the Centers for Disease Control and Prevention said.

The agreement allows negotiations through a “modified subscription” model where the state pays a fixed amount for unlimited access to clinically necessary doses of hepatitis C drugs for Medicaid beneficiaries. 

The agreement will apply to hepatitis C drugs from both Medicaid Managed Care Organizations and to fee-for-service beneficiaries in Medicaid. All supplemental rebates collected will be paid to the state, not to MCOs.  

“This new model will allow nursing facility residents to obtain hepatitis C treatment in a more timely manner, thereby preventing long-term disabilities caused by this disease,” Mark Berger, Louisiana Nursing Home Association Executive Director, told McKnight’s.