California's Medicaid program will continue to pay Walgreens about $1.5 billion each year. That's despite Gov. Gavin Newsom declaring last month that the state would no longer do business with the pharmacy giant.
California Gov. Gavin Newsom outlines his 2021-2022 state budget proposal during a news conference in Sacramento, Calif., Friday, Jan. 8, 2021.
“California won’t be doing business with @Walgreens -- or any company that cowers to the extremists and puts women’s lives at risk. We’re done,” Newsom tweeted March 6. Anthony York, spokesman for the governor, also told Kaiser Health News that the Newsom administration had invited Walgreens to apply again for the $54 million contract the state chose not to renew last month.This is not the first time Newsom has made a splashy announcement without first working out all of the details behind it.
Several states have taken steps to restrict mifepristone, after the U.S. Supreme Court struck down federal abortion protections last year. Earlier this year,, mostly with Republican governors, warned Walgreens it could face legal consequences if it distributed mifepristone in their states. Walgreens responded by saying it would not distribute mifepristone in states where it is not legal to do so.
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California to keep paying Walgreens despite Gavin Newsom’s orderCalifornia’s Medicaid program will continue to pay Walgreens about $1.5 billion each year despite Democratic Gov. Gavin Newsom declaring last month the state was done doing business with the pharmacy giant after it indicated it would not sell abortion pills by mail in some states.
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Newsom wanted California to cut ties with Walgreens. The law got in the wayFederal rules make it difficult for the state to unwind its Medicaid prescription drug agreement, which paid Walgreens $1.5 billion last year.
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Millions of Texans must reapply for Medicaid or risk losing health insuranceStarting this month, rules that helped Texans maintain Medicaid health insurance during the pandemic are over. Nearly 6 million Texans who get health insurance through Medicaid will need to go through a redetermination and renewal process. | via keranews
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