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National Community Pharmacists Association Statement On House Judiciary Committee Reporting H.R. 971 Out Of Committee, USA

Main Category: Pharmacy / Pharmacist
Article Date: 01 Oct 2008 - 5:00 PST

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The House Judiciary Committee reiterated its strong support for H.R. 971, the Community Pharmacy Fairness Act of 2007, in its committee report filed with the House of Representatives yesterday. In response Bruce T. Roberts, RPh, executive vice president and CEO of the National Community Pharmacists Association (NCPA) issued the following statement:

"The more than 23,000 independent pharmacies in America are grateful that the House Judiciary Committee reported out H.R. 971, which is a milestone in this long-standing effort. This bill provides the fairness and access to prescription drug services that are being jeopardized by a system that is out of whack as a result of the unfettered power pharmacy benefit managers (PBMs) wield over independent pharmacies in dictating reimbursement rates and patient care provisions."

"H.R. 971 rectifies the imbalance by providing much needed regulatory relief for independent pharmacies in competing with larger pharmacy retailers. It gives independent pharmacies the ability to level the playing field with PBMs by allowing them to pool together to negotiate fairer terms in these contracts. By creating real competition at the retail level, consumers win with more choices and a higher quality of service and care."

Of particular note, the report contains strong language supporting independent pharmacies' arguments that they face unique market problems that require legislative action:

"Independent pharmacists believe their situation is quite different from the normal competitive marketplace: here small, independent businesses must compete directly with much larger companies at the retail level, with all the retailers reimbursed by a few large middle-men instead of the consumer. Of further concern is that one of the largest competitors also owns one of the largest PBMs."

The National Community Pharmacists Association, founded in 1898, represents the nation's community pharmacists, including the owners of more than 23,000 pharmacies. The nation's independent pharmacies, independent pharmacy franchises, and independent chains dispense nearly half of the nation's retail prescription medicines. http://www.ncpanet.org




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