CMS extends application deadline for GENEROUS Model to lower Medicaid drug costs

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Abe Sutton, Director of the Center for Medicare and Medicaid Innovation | LinkedIn

CMS extends application deadline for GENEROUS Model to lower Medicaid drug costs

The Centers for Medicare & Medicaid Services (CMS) announced on March 31 that it is extending the application deadline for prescription drug manufacturers interested in joining the GENErating cost Reductions fOr U.S. Medicaid (GENEROUS) Model. The new deadline is April 30, 2026, providing additional time for companies to participate in this initiative aimed at reducing drug spending in Medicaid and improving access to critical medications.

"Based on feedback from drug manufacturers, CMS has decided to give interested companies additional time to apply for the GENEROUS Model," said CMS Administrator Dr. Mehmet Oz. "We are committed to partnering with states and manufacturers to drive down drug prices and ensure that the most vulnerable Americans have access to life-saving medications."

The GENEROUS Model, announced in November 2025, allows participating state Medicaid programs to purchase drugs included in the pilot program at prices aligned with those paid in select other countries. This approach is intended to help state Medicaid programs secure more competitive pricing and support President Trump’s Executive Order aimed at lowering drug prices for American patients.

"The GENEROUS Model aims to tackle the rising drug costs facing Americans," said CMS Innovation Center Director Abe Sutton. "Extending this deadline will allow for small and midsize manufacturers to participate and lower costs to the Medicaid program, providing more flexibility for state budgets and ensure that people who depend on Medicaid continue to access the care they need."

Next steps include meetings between CMS and interested manufacturers about potential participation beginning April 1, 2026, as well as a manufacturer town hall scheduled for Spring 2026. The final deadline for manufacturer participation remains June 30, 2026. Additional information about the model is available on its official webpage according to the official roster page.