The Legislature convened its short session on December 1, 2025, and will adjourn on March 14.

Also in Indiana, the Family and Social Services Administration (FSSA) projects over $465 million in state savings over the biennium driven by declines in enrollment in key Medicaid programs, including the Healthy Indiana Plan (HIP) and Hoosier Healthwise (HHW).

Also in Indiana, the Health Coverage Programs (IHCP) issued a Bulletin reminding pharmacies that effective January 1, 2026, MDwise is no longer be a managed care health plan option for Healthy Indiana Plan (HIP) or Hoosier Healthwise (HHW) members. This bulletin addresses the transition of MDwise member claims and prior authorization (PA) requests for medications reimbursed through the pharmacy and medical benefits.

Finally in Indiana, at a December 2025 hearing, the Interim Director of Medicaid and Secretary of the Family and Social Services Administration (FSSA), Mitch Roob, asked the State Budget Committee to approve Medicaid’s submission of a State Plan Amendment (SPA) to CMS to change how 340B claims are processed by Medicaid managed care organizations (MCOs). The proposal would limit reimbursement to covered entities at actual acquisition cost, or close thereto, which would permit Medicaid to receive rebates from manufacturers in lieu of covered entities realizing 340B program savings for MCO claims. Director Roob testified that he expects this to provide an additional $63 million in revenue to Medicaid.

For more information, contact NACDS’ Mary Staples at 817-442-1155.