Pharmacy benefit managers cost the state of Kentucky's Medicaid program...

...$123.5 million in spread pricing, a practice where PBMs pay drugstores a lower price for treatments, while charging their payer clients more, according to a new report from the Kentucky Cabinet of Family Services. Kentucky's contracted Medicaid managed care plans paid $958 million to its PBMs in 2018. The state currently serves 1,313,361 Medicaid beneficiaries through managed care plans.