The Iowa Department of Health and Human Services (HHS), pursuant to the requirements outlined in 42 C.F.R. §447.205, hereby gives notice of the following proposed action regarding its methods and standards for value-based supplemental rebate agreements under the State Plan under Title XIX of the Social Security Act Medical Assistance Program (Medicaid).

Summary of Submission:

This amendment gives Iowa Medicaid the ability to enter into value-based supplemental rebate agreements with drug manufacturers on a voluntary basis. These agreements link rebate payments to the clinical performance or outcomes of the drug.

Fiscal Impact:

Fiscal impact is zero at this time. 

Public Review and Comments

A copy of the Medicaid State Plan Amendment and this public notice are posted on the HHS website at the following link: https://hhs.iowa.gov/public-notice/2025-12-09/spa-ia-25-0013.

To reach all stakeholders, non-electronic copies will be made available for review at each local HHS office.

Submission of Comments

Written comments concerning this notice may be addressed to the Quality Innovation and Medical Policy Team, Iowa Department of Health and Human Services, Division of Medicaid, 312 East 12th Street, Des Moines, IA 50319 or may be emailed to QIMP_Public_Comment@hhs.iowa.gov. Please indicate “Value-Based Supplemental Rebate Agreements” in the subject line of the email.

All written and emailed comments must be received within 30 days from the issuance of this notice and no later than January 14, 2026, by 4:30 p.m.

Submitted by:

Lee Grossman, Medicaid Director

Iowa Department of Health and Human Services