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Media Advisory

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Media Advisory


 

Federal Medicaid Cuts Threaten
Texas Patients' Access to Community Pharmacies
State Legislature Considers Protective Measures
What: Conference call to discuss federal policies that put the health of Texans at risk by potentially driving independent pharmacies out of Medicaid or even out of business; and the Texas Legislatures' leadership in addressing the issue.
When: Thursday, April 26, 2007, at 10 a.m. CDT (11 a.m. EDT)
Why: In Texas, 1,750 independent pharmacies are threatened by dramatic federal cuts to Medicaid pharmacy reimbursement. The resulting financial hardship could force pharmacies to opt out of Medicaid or even close their stores, endangering the health and safety of thousands of Texas' Medicaid recipients-more than half of whom are children. This pending tragedy follows a proposed settlement in the Frew v. Hawkins class-action lawsuit concerning Texas Medicaid patients receiving inadequate access to health care. The preliminary agreement would require the state to substantially increase Medicaid reimbursement rates to providers; thereby preserving Medicaid patients' access to health care.

The federal cuts are the result of the Centers for Medicare & Medicaid Services' proposed regulations that would slash federal funding of Medicaid by $8.4 billion over the next five years primarily by lowering the pharmacy reimbursement for generic prescriptions to Medicaid patients. A study by the Government Accountability Office found these cuts will result in pharmacies being paid, on average, 36 percent less than their acquisition cost on generic Medicaid prescriptions.

The Texas House and Senate recently passed appropriations bills, which are now in conference committee. These bills contain provisions to increase the state-paid dispensing fee provided to pharmacists, which would help reduce the serious impact of the federal cuts.
Speakers: Charles Sewell, Senior Vice President, Government Affairs
National Community Pharmacists Association

Jim Martin, RPh, Executive Director/CEO
Texas Pharmacy Association

Daniel Vela, RPh
Lee's Pharmacy, McAllen, Texas

Louis Rumsey, RPh
Elan Road Pharmacy, Dallas, Texas
Toll-Free Dial-In # : 800-944-8766 (Conference Code: 80502)
Contact: For more information, contact John Norton, NCPA, at 703-600-1174

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