D-2.5.1. Begins Day 31

HHSC Forecasting staff project the fiscal impact to obtain rate approval for the drug’s potential addition by performing the following:

1. Obtaining data to perform their analysis. This is an interactive process with VDP staff to obtain drug pricing, rebate revenue data, potential drug cost offsets, and utilization assumptions. Other data collection varies by drug.
2. Completing gross drug cost projection analysis based on the number of utilizers, cost per prescription, and ingredient cost.
3. Calculating net drug cost by incorporating rebate revenue estimates for federal and supplemental (if applicable) rebates.
4. Calculating overall net cost impact after consideration of any potential cost offsets resulting from the drug's utilization.