Vermont Board Issues Initial Report on Drug Cost Regulation Program

Signed into law last year, S.98 directed the Green Mountain Care Board (GMCB) to create a framework and methodology for implementing a program to regulate prescription drug costs in Vermont. A preliminary plan was due to the General Assembly on or before Jan. 15, with a final plan due on or before Jan. 15, 2026.

The GMCB issued its preliminary report last week to provide its progress update and findings on several current state initiatives to control drug pricing including: 1) establishing Prescription Drug Affordability Boards; 2) drug price transparency; 3) capping out-of-pocket costs for certain drugs; 4) wholesale prescription drug importation from Canada; 5) creating multi-state drug purchasing pools; and 6) limiting, licensing, or regulating PBMs. The report highlights the many challenges for these initiatives including federal preemption and other legal challenges, as well as market complexities.

GMCB says it expects to issue recommendations in its Jan. 2026 final report.