NDC Update: ASHP Continues To Pursue Options For Relief From Reporting Requirement

Main Category: Pharmacy / Pharmacist
Also Included In: Medicare / Medicaid / SCHIP
Article Date: 04 Jul 2008 - 4:00 PDT

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ASHP continues to seek relief from a Centers for Medicare & Medicaid Services' (CMS) requirement that hospital outpatient departments report National Drug Code (NDC) numbers on single-source drugs and 20 multiple-source drugs when submitting Medicaid claims.

This week, the Society asked members in states that are represented by members of the Senate Finance Committee to e-mail or call their senators during the July 4th recess to seek support for a legislative amendment providing for a delay in the requirement until March 30, 2009. The amendment could be added to a bill that prevents cuts in Medicaid Part B payments to physicians, or other legislation.

ASHP staff and representatives from the Safety Net Hospitals for Pharmaceutical Access and the Biotechnology Industry Organization met with CMS Deputy Administrator Herb Kuhn to ask the agency to issue a clarification that hospital outpatient pharmacies do not fall under the definition of "physician administered drugs" in the CMS regulation.

ASHP noted that hospital information systems are not fully integrated in order to provide an accurate and unique 11-digit NDC number to state Medicaid agencies and expressed concern that hospitals could not ensure that accurate information would be transmitted to the states. The Society also noted that different states are requiring the NDC number for only the top 20 drugs while others are requiring it for all drugs which has resulted in a confusing patchwork of state requirements. Anecdotally, ASHP reported that some hospitals are not submitting claims for these in order to maintain an accurate level of information submitted to Medicaid agencies.

Mr. Kuhn was appreciative of the input provided by all stakeholders and indicated that he would consider the request for CMS to issue a clarification about the interpretation of "physician administered drugs."

American Society of Health-System Pharmacists

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