Ch. 429

2004 LAWS OF MARYLAND

loss ratio. For subsequent years, it is the
intent of the General Assembly that the
State recover 100 percent of the
differencee. DHMH shall recover the funds
by reducing future payments to the
sanctioned managed care organizations
over a twelve month period beginning with
July 2004.

Provided that the Department of Health and
Mental Hygiene (DHMH) shall pay
pharmacies a fee of $4.69 for each generic
and preferred drug and $3.69 for each
non-preferred drug dispensed for a
Medicaid, Maryland Children's Health
Program, and Maryland Pharmacy
Assistance Program participant residing
in an institutional setting. Further
provided that DHMH shall pay a
dispensing fee of $3.19 $3.69 for each
generic and preferred drug and $2.19
$2.69 for each non-preferred drug
dispensed for a Medicaid, Maryland
Pharmacy Assistance Program, and
Maryland Children's Health Program
participant who is not residing in an
institutional setting and is not enrolled
with a managed care organization.

Provided that the Department of Health and
Mental Hygiene shall require a $1.00
co-payment for generic and preferred
drugs provided to Medicaid beneficiaries
who are not excluded from cost sharing
requirements by the federal government-
Further provided that the appropriation
provided for Medical Care Provider
Reimbursements, M00Q01.03, shall be
reduced by $1,000,000 of general funds
and $1,000,000 of federal funds to
recognize savings from the co-payment on
generic and preferred drugs.

The Department of Health and Mental
Hygiene shall develop a pharmacy care
management program for nursing home
residents. The department shall work
with the long term care pharmacies and

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