NACDS, NCPA: Victory for Patients, Pharmacy as CMS Moves to Withdraw Provisions of ‘AMP’ Rule Currently Blocked by Injunction

ALEXANDRIA, Va., Sept. 3 /PRNewswire-USNewswire/ —
The following is a statement issued today by National
Association of Chain Drug Stores (NACDS) President and CEO Steven
C. Anderson, IOM, CAE, and National Community Pharmacists
Association (NCPA) Acting Executive Vice President and CEO Douglas
Hoey, RPh, regarding the proposed rule by the Centers for Medicare
& Medicaid Services (CMS) that would withdraw existing
provisions of the Medicaid pharmacy reimbursement formula under the
average manufacturer price (AMP) model:

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“We are pleased that the Centers for Medicare & Medicaid
Services (CMS) has proposed a rule that would withdraw provisions
of what is known as the Medicaid average manufacturer price (AMP)
rule.  The proposed rule calls for the withdrawal of existing
provisions that define AMP, that determine the calculation of
federal upper limits (FULs), and that define ‘multiple source
drug.’  Put simply, all of these provisions relate to the
reimbursement to pharmacies for generic Medicaid prescriptions, and
thus impact patients’ access to pharmacies.  The move to
withdraw these provisions is a victory for patient care as it is
delivered in America’s pharmacies every day.

“When we filed the lawsuit in 2007 we knew that patient care was
at stake.  It is important to point out that the withdrawal of
these provisions is another step toward reducing what would have
been major cuts to pharmacy reimbursement.  The end result is
not an increase in reimbursement to pharmacy, but rather the
lessening of cuts that previously would have involved pharmacies
selling most generic drugs at a loss, thereby threatening their
long-term ab

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