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DHS: Medicaid spending on GLP‑1 weight‑loss drugs is rising sharply; FY26–27 state share projected up $78.7 million
Summary
Department of Human Services officials told lawmakers that claims for GLP‑1 weight‑loss drugs (commonly referenced as GLP‑1s) surged in calendar 2024 and the February forecast raises state pharmacy spending projections for Medicaid significantly in the next biennium.
Department of Human Services officials told the House Human Services Finance and Policy Committee that Medicaid pharmacy spending on weight‑loss drugs has increased markedly and will raise state costs over the coming budget cycles.
CFO David Greenman told the committee the state saw limited coverage and uptake when the program first covered weight‑loss drugs in fiscal 2022, but the number of drugs and claims grew substantially through calendar 2024. Greenman said DHS projects a state share increase of $11.7 million in the 2024–25 biennium, $78.7 million in 2026–27 and $87.6 million in…
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