News from American Pharmacies, a Co-Op Owned by Independent Pharmacies.

A Co-Op Owned by
Independent Pharmacies

Working with pharmacy wholesalers, American Pharmacies saves our members real money.

January 30, 2008

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Much more than a buying co-op!

American Pharmacies is a for-profit, member-owned pharmacy buying group operating

in Texas, Oklahoma & Louisiana, with a strong advocacy arm in Texas & Washington, D.C.

Member, National Community Pharmacists Association

Beck's Corner

Did you receive a letter from Medco?

Medco has sent letters to various independent community pharmacists inviting them to a meeting Wednesday, Feb.27 to "identify and discuss issues of mutual concern and work towards a better understanding and potential resolution of some of these issues."

This appears to be the first of several small-group meetings planned in Texas. If you received this letter, we encourage you to plan to attend the meeting. You were to reply to the invitation by yesterday, but go ahead and respond right away if you haven't already.

Pharmacists from Medco's Provider Relations group will be at the meeting, as well as a pharmacist facilitator who is to ensure the meeting stays on target.

This is an opportunity to voice your concerns, so please take advantage of it.

Stay tuned!

P.S. I will be away from the office on medical leave for a few weeks. Please direct communications to American Pharmacies President Mike Gohlke at mgohlke@aprx.org.

Answers to tamper-resistant prescription pad requirements for Texas pharmacists

Texas Health and Human Services has answers to the many questions about the tamper-resistant prescription pad requirement for Medicaid prescriptions that goes into effect April 1. We've posted them online for future reference, but here at the main points:

Electronic prescriptions by telephone or fax are exempt from any changes. The requirements are for written prescriptions only.
The existing prescription forms for Schedule II controlled substances issued by the Texas Department of Public Safety (DPS) under the Texas Prescription Program meet the baseline standards required by CMS. These pads should not be used to write prescriptions for non-Schedule II drugs.
HHSC does not endorse any supplier for compliant prescription pads. Information on available vendors can be found online by using a key word search of "secure prescription pads."
Some states such as California, Florida, Indiana, Kentucky, Maine, West Virginia, and Wyoming do certify specific printers for tamper- resistant prescription pads. Here is a link to printers approved by the California Board of Pharmacy.

The CMS requirements are being phased in, with the final deadline being Oct. 1. Until then, a prescription must meet any one of the following three standards:

Prevents unauthorized copying of completed or blank prescription forms.
Prevents erasure or modification of information written on the prescription form.
Prevents the use of counterfeit prescription forms.

The tamper-resistant requirement also does not apply to refills of written prescriptions presented at a pharmacy before April 1.

If a prescription is not submitted on a tamper-resistant prescription form, a pharmacy may fill the prescription in full (as written) on an emergency basis. In those instances, the pharmacy must obtain a verbal, faxed, electronic, or compliant, written prescription from the prescriber within 72 hours after the date on which the prescription was filled.

Preferred drug list changes now online

The new Preferred Drug List went into effect last week, and the Medicaid/CHIP Vendor Drug Program has published an update to the Medicaid Preferred Drug List (PDL). A summary of the changes by drug or drug class and a full listing of the PDL are available on the Texas Health and Human Services Commission Vendor Drug Website.

Encouraging news about AMP

The U.S. District Court judge in Boston took the proposed AWP roll back and phase out off the table in the First DataBank/Medi-Span antitrust case last week, according to National Community Pharmacists Association's Bruce Roberts RPh.

Virtually the first words from Judge Saris, according to NCPA General Counsel John Rector, were: "'I don't want to hurt any independent pharmacies. This should not be about them.'"

The proposed settlement agreed to by FDB, Medi-Span, and the union health plans that brought the suit would roll back published AWP figures for some 8,600 brand names drugs by 4 percent. NCPA's brief opposing the proposal noted that such a radical scheme would cost the average independent $105,000-about $3,800 more than their annual profit.

The judge said she wanted the parties (NCPA is not a party) to focus on monetary damages for consumers whose copays were based on higher AWPs. She said that an independent economic expert satisfactory to her would be hired to help in coming up with a damages formula. When all that was done, she suggested, that would be the essence of a new proposed settlement.

"I'm telling you to go back to the drawing table," Judge Saris told FDB and Medi-Span.

NCPA was represented during the two-hour fairness hearing by John Rector and David Balto, NCPA's expert antitrust counsel. David will testify for APRx at the House Interim Hearing on PBM-state contact transparency Feb. 15.

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