Arkansas Medicaid officials on Monday said they expect to launch a prescription drug discount program for low-income state residents in early 2007, the Arkansas Democrat-Gazette reports. The Arkansas Rx program will negotiate discounted prices with drug manufacturers and provide the drugs to individuals and families who have annual incomes lower than 350% of the federal poverty level and who do not have prescription drug coverage through Medicaid or private insurance. The state Legislature has set aside $2 million to create and administer the program through the end of fiscal year 2007. Each beneficiary will be expected to pay $25 annually to offset program costs. A public relations campaign notifying residents about the program is scheduled to begin in August. State Medicaid Director Roy Jeffus estimated that 20,000 people will sign up for the program, resulting in discounts of 15% to 20%.
However, he added that the size of discounts will be based largely on the number of people who sign up. "We don't want to make any promises we can't keep," Jeffus said (Blomeley, Arkansas Democrat-Gazette, 7/15).