Retail News Breaks Archives
New Jersey to bolster pharmacy reimbursement
September 24th, 2009
ALEXANDRIA, Va. – In a win for drug chains, New Jersey plans to step up its pharmacy reimbursement rate, according to the National Association of Chain Drug Stores.
NACDS said this week that as of September 26, the New Jersey Division of Medical Assistance and Health Services (DMAHS) will begin to restructure payments to pharmacies at an enhanced reimbursement rate of the average wholesale price (AWP) minus 16%. That rate is slated to remain in effect for the rest of the 2009-10 fiscal year.
The enhanced rate will reimburse pharmacies for medications affected by AWP reductions stemming from the First DataBank/Medi-Span settlements, according to NACDS.
Steve Anderson, NACDS president and chief executive officer, called New Jersey's change to the reimbursement rate formula a victory for patient access to pharmacy services.
"Pharmacies are vital to high-quality, accessible and cost-effective patient care and to addressing the challenges facing the health care delivery system," Anderson said in a statement.
"Pharmacy contributes powerfully to helping patients take the right medications correctly, and that is important for individual lives and for the public good," he added, pointing to community pharmacy's key role in promoting medication adherence and improved health outcomes.
NACDS extended thanks to a number of individuals and parties for their assistance and leadership in the effort to restructure New Jersey's reimbursement formula, including DMAHS director John Guhl and his staff, the New Jersey Council of Chain Drug Stores, the New Jersey Pharmacists Association, the Garden State Pharmacy Owners, the Independent Pharmacy Alliance, the New Jersey Association of Long Term Care Pharmacy Providers, and New Jersery Gov. Jon Corzine and his administration.