FTC to Conduct Workshop on November 8, Examining Prescription Drug Market Competition and PBMs: NCPA is pleased that the Federal Trade Commission this week announced they will hold a workshop on November 8, 2017 entitled, “Understanding Competition in Prescription Drug Markets: Entry and Supply Chain Dynamics.” Acting FTC Chairman Maureen K. Ohlhausen and U.S. Food and Drug Commissioner Dr. Scott Gottlieb will give the keynote addresses. The first session of the workshop will explore generic drug markets, including considerations that may preclude entry after relevant patents have expired. The second session will evaluate intermediaries in the pharmaceutical supply chain, focusing on pharmacy benefit managers (PBMs) and group purchasing organizations (GPOs). Panelists will discuss how the contractual relationships between intermediaries, manufacturers and health plan sponsors ultimately affect the prices consumers pay for prescription drugs. The workshop, which is free and open to the public, will be at the FTC’s Constitution Center Auditorium, 400 7th St., SW, Washington, DC. The event begins at 8:30 a.m. and will be webcast live on the FTC’s website. Registration information, an agenda, directions to the FTC Conference Center, and a list of speakers will be available in the near future on the event web page. Advance registration is not required, but is strongly encouraged.
Tired of PBMs? So is Doc Vader: ‘Doc Vader’ is surprised by how much his EpiPen costs when he picks it up at the pharmacy, but even more surprised by the reason why: PBMs. In case you missed it, watch this short rant from our NCPA Annual Convention keynote speaker Dr. Zubin Damania’s (aka ZDoggMD) alter ego ‘Doc Vader’ about PBMs and get a sneak peek at his convention address next weekend. We’ve also got solutions at the convention to help you combat PBMs’ impact on your pharmacy business. You can still register online now or on-site in Orlando starting Oct. 14.
Senate HELP Committee Holds Hearing on the Federal Opioid Response: This week the Senate Health, Education, Labor, and Pensions (HELP) Committee held a hearing entitled, “The Federal Response to the Opioid Crisis.” The hearing is the first in a series of hearings intended to address challenges and opportunities at the federal, state and local level to counter opioid abuse, lower the rates of overdoes, and target resources to the patient populations and communities most in need. NCPA sent a letter (attached) to committee chairman Sen. Lamar Alexander (R-Tenn.) and ranking member Sen. Patty Murray (D-Wash.) providing several recommendations for addressing the nation’s opioid crisis:
- Expand Consumer Access to Naloxone
- Establish Limits on Maximum Day Supply for Certain Controlled Substances
- Prohibit Certain Controlled Substances from Being Delivered to Patients via Physician Offices or via Mail
- Expand Electronic Prescribing of Controlled Substances
- Enhance Prescription Drug Monitoring Programs
- Increase Health Care Provider Education
- Increase Use and Access to Medication Assisted Treatment
- Expand the Ability of Pharmacies to Identify Individuals with Substance Use Disorders
Senate HELP Committee to hold Drug Pricing Hearing: The Senate Committee on Health, Education, Labor, and Pensions (HELP) announced this week that it will hold the second of three hearings on prescription drug costs on Tuesday, October 17, 2017. The hearing is entitled, “The Cost of Prescription Drugs: How the Drug Delivery System Affects What Patients Pay, Part II.” The following witnesses are slated to testify: Lori Reilly, Pharmaceutical Research and Manufacturers of America; Chip Davis, Association for Accessible Medicines; Elizabeth Gallenagh, Healthcare Distribution Alliance; Mark Merritt, Pharmaceutical Care Management Association; and Thomas Menighan, American Pharmacists Association. NCPA will be drafting a statement to submit at the hearing to weigh in with the committee on the need for transparency in the large PBM industry and that DIR pharmacy fees pose a large financial problem to the integrity of Medicare Part D.
NCPA and NACDS Urge Lawmakers to Extend TRICARE Pilot: The National Association of Chain Drug Stores and NCPA sent a letter (attached) to House of Representatives and Senate Armed Services Committee leaders urging them to extend the TRICARE Prescription Drug Acquisition Cost Parity Pilot Program. The request comes with the pilot expiring on Oct. 1 and members of Congress set to consider the final National Defense Authorization Act for Fiscal Year 2018 (FY 2018 NDAA). A one-year extension of the pilot’s authorization was approved in the House version of the NDAA but not in the Senate-passed version. NCPA strongly supports the pilot program, which would allow retail pharmacies to purchase brand name prescriptions at reduced rates via voluntary manufacturer discounts.
NCPA to Co-Host Capitol Hill Health Fair: NCPA, along with the American Pharmacists Association, American Society of Health-Systems Pharmacists, National Association of Chain Drug Stores and Walgreens will be hosting a health fair on Capitol Hill October 11, 2017. In conjunction with American Pharmacists month Members of Congress and their staffs have been invited to attend the event where health screenings and flu vaccinations will be provided.
DIR Bill Sponsor Touts Taxpayer Savings: Rep. Morgan Griffith (R-Va.), the House sponsor of legislation (H.R. 1038, Improving Transparency and Accuracy in Medicare Part D Drug Spending Act) prohibiting retroactive pharmacy DIR fees under Medicare Part D issued the following press release touting taxpayer savings in a NCPA commissioned study.
NCPA Priority Legislation Update:
- S. 413/H.R. 1038, Improving Transparency and Accuracy in Medicare Part D Spending Act: Retroactive “DIR fees” on pharmacies have exploded in Medicare Part D. This bill would prohibit retroactively reducing payment on clean claims submitted by pharmacies under Medicare Part D.
- Senate Cosponsors (13): 10 Republicans, 12 Democrats, 1 Independent
- House Cosponsors (59): 46 Republicans, 13 Democrats
- H.R. 1316, Prescription Drug Price Transparency Act: Generic prescription drugs account for over 80 percent of medications dispensed by community pharmacies, yet how they are priced by pharmacy benefit managers (PBMs) is a black box. This bill would codify Medicare transparency provisions concerning “maximum allowable costs” (MACs) for generics and apply them to TRICARE and FEHBP. It would also establish a MAC appeals process and prohibit PBM requirements to use a PBM-owned pharmacy – a clear conflict of interest.
- House Cosponsors (40): 31 Republicans, 9 Democrats
- S. 1044/H.R. 1939, Ensuring Seniors Access to Local Pharmacies Act: This bill would give seniors more access to discounted copays for prescription drugs at their pharmacy of choice. It would allow pharmacies in medically underserved areas to participate in Medicare preferred pharmacy networks if they accept the drug plan’s terms and conditions.
- Senate Cosponsors (5): 3 Republicans, 2 Democrats
- House Cosponsors (22): 16 Republicans, 6 Democrats
- S. 109/H.R. 592, Pharmacy and Medically Underserved Areas Enhancement Act: This bill would recognize pharmacists as providers under the Medicare Part B program. If enacted, pharmacists would be able to perform services for patients consistent with their state’s scope of practice if their pharmacy is located in a medically underserved area, health professional shortage area, or medically underserved population.
- Senate Cosponsors (45): 21 Republicans, 23 Democrats, 1 Independent
- House Cosponsors (214): 129 Republicans, 85 Democrats
- H.R. 2871, Preserving Patient Access to Compounded Medications Act: This bill preserves patient access to compounded medications by directing the FDA to act within Congressional intent.
- House Cosponsors (33): 30 Republicans, 3 Democrats
