Failor's Pharmacy V. Department Of Social And Health Services

DOLLIVER, J.--Defendant Department of Social and Health Services (DSHS) seeks a reversal of a Superior Court decision granting partial summary judgment to Plaintiffs Failor's Pharmacy, J & M Service Company, Inc., and Sav-On Drugs, Inc., and denying Defendant's cross motion for dismissal. Defendant challenges the Superior Court's holding that DSHS changes to Medicaid reimbursement payment schedules for prescription drugs must be adopted by rulemaking pursuant to the former Administrative Procedure Act and that the payment schedules in this case are consequently invalid. We affirm.