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Court grants TRO to prevent Medicaid cuts in Washington

4/1/2009

OLYMPIA, Wash. Washington state patients temporarily can breathe a sigh of relief.

Federal Court Judge Robert J. Bryant issued a temporary restraining order halting the Medicaid reimbursement cuts to pharmacies for 10 days, the maximum delay for a TRO.

The Medicaid cuts would have been implemented at midnight last night. During the next 10 days, the court will consider whether to issue a preliminary injunction that will halt the cuts indefinitely, and a hearing will then be held on April 9.

As reported by Drug Store News earlier this week, The Washington State Pharmacy Association, National Association of Chain Drug Stores and National Community Pharmacists Association filed a joint lawsuit on Monday challenging Washington state’s plan to cut Medicaid reimbursement for brand-name drugs to average wholesale prices minus 20%.

“We’re gratified by the initial win, which will temporarily protect our patients while we continue the fight,” said Jeff Rochon, CEO of WSPA. “But if these medication reimbursement rates are cut, we are deeply concerned about pharmacists’ ability to continue to provide care to their Medicaid patients. Medicaid’s action would result in reduced access to medicine for our most vulnerable patients which will ultimately increase healthcare costs.”

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