A communication from the Executive Office of Health and Human Services (see item 4000-0300 of Section 2 of Chapter 28 of the Acts of 2023) submitting a report for total spending related to pharmaceutical utilization for fiscal year 2023; and estimated spending related to pharmaceutical utilization for fiscal year 2024

This document is a formal report submitted by the Massachusetts Executive Office of Health and Human Services to the state legislature, detailing pharmaceutical spending for MassHealth, the state's Medicaid program. It outlines that in fiscal year 2023, MassHealth spent $2.7 billion on drugs before rebates and received $1.66 billion in rebates, with estimates for fiscal year 2024 showing a projected spend of $2.9 billion and rebates of $1.76 billion. The report explains that these costs are driven by increased use of high-cost medications and notes that the addition of new drugs to the formulary has a delayed financial impact. It also confirms that negotiations for rebates have not affected consumer access to FDA-approved medications, as these agreements only influence drug pricing and formulary placement rather than coverage eligibility.