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IGT Statement on CMS Proposed Rule to Facilitate Value-based Purchasing Arrangements


CONTACT: Macey Kostbar

WASHINGTON, DC (June 18, 2020)Below is a statement from the Institute for Gene Therapies (IGT) Chairman Congressman Erik Paulsen regarding the Centers for Medicare and Medicaid Services (CMS) Proposed Rule Establishing Minimum Standards in Medicaid State Drug Utilization Review (DUR) and Supporting Value-Based Purchasing (VBP) for Drugs Covered in Medicaid, Revising Medicaid Drug Rebate and Third Party Liability (TPL) Requirements:

“The Institute for Gene Therapies commends CMS for releasing its much-anticipated proposed rule on changes to the Medicaid Drug Rebate Program (MDRP) to facilitate value-based purchasing (VBP) arrangements for drugs. VBP arrangements are of significant interest to gene therapy stakeholders. For gene therapies to realize their potential for long-lasting benefit to patients with serious diseases, we need clear pathways for enabling development of innovative payment mechanisms, including those that link payment and outcomes.

“We applaud the Administration's support for VBP and its acknowledgement of the unique nature of each VBP arrangement. CMS has given careful consideration to several new proposals for revising MDRP price reporting, specifically Best Price, for purposes of facilitating manufacturers' ability to provide VBP arrangements. Medicaid Best Price rules, which were instituted decades before gene therapies were on the market in the United States, have posed a hurdle to VBP development. We also recognize the operational challenges that may be presented by the proposed price reporting framework.

IGT is assessing the new proposals in further detail and looks forward to providing comments to CMS as part of the rulemaking cycle.”


About the Institute for Gene Therapies

The Institute for Gene Therapies brings together experts from across the healthcare system to advocate for a modernized policy framework that encourages innovations and promotes patient access to the treatments they need. We represent innovators and patients, business leaders and academics working to ensure policies reflect medical advances, creating a new reality for patients. Follow us on Twitter @gene_therapies.


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