Attorneys general call for Feds to return prescription drug settlement money

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Attorneys general call for Feds to return prescription drug settlement money

Thu, 05/18/2017 - 2:15pm -- tim

Vermont Business Magazine Attorney General Donovan joined 51 Attorneys General as a signatory on a letter The National Association of Attorneys General (NAAG) sent yesterday to the U.S. Senate Finance Committee chair and ranking member. The letter asks the Committee to introduce legislation that would allow the federal government to return prescription drug settlement money to the states.

At issue is a prescription drug benefit, known as Medicare Part D, for individuals covered by both the Medicare and Medicaid programs. This benefit has been paid for by the federal government and the states. Over the last 10 years, the federal government has recovered tens of millions of dollars in pharmaceutical fraud settlements involving Part D drugs, however the states have never received any share of the money.

“A specific statute authorizing the federal government to share recoveries with the states is appropriate here as a matter of equity and fundamental fairness…” the NAAG letter reads. “We request your assistance in addressing this inequity and recommend federal legislation that would allow the federal government to return a proportionate share of all Part D recoveries to the states.”

The letter was signed by attorneys general in 49 states, the District of Columbia and Puerto Rico. It can be found here.

Vermont AG: May 18, 2017