NCPA endorses latest prescription transparency legislation
WASHINGTON — Reps. Doug Collins, R-Ga., and Dave Loebsack, D-Iowa, on Thursday introduced H.R. 1316, the Prescription Drug Price Transparency Act, to protect taxpayers and the community pharmacists who serve them by requiring greater transparency from pharmacy benefit managers.
“I’m introducing a bipartisan bill to ensure that PBMs update their MAC lists for Medicare Part D, TRICARE, and FEHBP every seven days to protect competitive pricing and to preserve pharmacy access and choice for patients," Collins stated. "The Prescription Drug Price Transparency Act provides essential oversight to prevent waste, fraud, and the abuse of taxpayer funds and better protects patient privacy.”
Support for this legislation extends across the aisle, Collins noted. Rep. Loebsack is the bill’s lead Democratic co-sponsor. Other original co-sponsors for H.R. 1316 include Reps. Brian Babin, R-Texas, Rod Blum, R-Iowa, Buddy Carter, R-Ga., John Duncan, Jr., R-Tenn., Cathy McMorris Rodgers, R-Wash., and John Sarbanes. D-Md.
“Whether it is in large cities, or small towns, pharmacists across the country serve as the first line of health care services for many patients. I appreciate all of their hard work to serve our communities and to provide quality, affordable and personal care,” Loebsack said. "However, I also recognize how challenging it can be for some small pharmacists to compete with bigger companies. One pressing challenge facing many community pharmacists is the ambiguity and uncertainty surrounding the reimbursement of generic drugs. To help address this problem, I am proud to join my colleague Rep. Collins to reintroduce the Prescription Drug Price Transparency Act, which also helps ensure federal health plan reimbursements to pharmacies to keep pace with generic drug prices.”
The National Community Pharmacists Association on Thursday announced its strong support for the legislation.
According to the association, H.R. 1316, the Prescription Drug Price Transparency Act would:
Require pharmacy benefit managers which serve TRICARE and the Federal Employee Health Benefits programs, to provide the same updates and disclosures to pharmacies for the maximum allowable costs lists that are currently provided to pharmacies in Medicare Part D. These “MAC” lists determine generic reimbursements for pharmacies;
Set a standard for how frequently those lists are updated;
Prohibit sharing patient information with PBM-owned pharmacies (mail order and/or retail) unless a patient has chosen to fill that prescription there; and;
Forbid PBMs from mandating patients use their affiliated pharmacies.
“Taxpayer-funded federal health programs should operate in a fair, efficient and cost-effective manner, but we are falling short of those objectives when it comes to the dispensing and reimbursement system for generic prescription drugs,” stated Douglas Hoey, NCPA CEO. “Building off of the Centers for Medicare & Medicaid Services transparency requirements for PBMs’ Medicare Part D plans, Reps. Doug Collins and Dave Loebsack have introduced [a] common-sense bill [that] extends many of those disclosure and privacy protections to federal employees and the military health programs.”
The bill would bolster patient access to the pharmacies of their choosing and ensure pharmacies that sign contracts with PBMs are no longer ‘flying blind’ when it comes to understanding the criteria for generic drug reimbursements, Hoey added. In addition, the bill will create more accountability for how these federal health programs deliver prescription drug services.