Industry praises Congressional support behind TRICARE pilot program in NDAA

ARLINGTON, Va. —  In the past week Congressional leaders passed the final National Defense Authorization Act that includes the industry-supported “Pilot Program for Prescription Drug Acquisition Cost Parity in the TRICARE Pharmacy Benefits Program.”



The pilot will provide military families and veterans with the choice of how they get their medications and will also lower program costs. Importantly, the final bill also includes no new copayment increases, which also is in the interest of pharmacy choice and access for beneficiaries – which leads to enhanced health and well-being.



The U.S. House of Representatives passed the final NDAA this past Friday — as negotiated between the House and Senate. The Senate followed through on that action on Dec. 8. The bill now awaits President Obama's signature.



“This is a great day for the TRICARE program and for the military families and veterans who rely on their local pharmacies," stated Steven Anderson, president and CEO. "This pilot program will allow the Department of Defense to access lower pricing for prescriptions dispensed at community pharmacies. Simply put, it will improve beneficiary access to medications and reduce costs.”

“NCPA and its pharmacy allies worked diligently to support choice for military families and veterans as to where to have their prescriptions filled," added Douglas Hoey, CEO National Community Pharmacists Association. "The pilot program in the military reauthorization bill approved in a bipartisan, bicameral fashion could allow any participating retail pharmacy, including small business pharmacies, to purchase medications for their TRICARE patients that are not Medicare eligible at rates currently available only via the mail order program and at military treatment facilities," he said. "We are confident the end result will be increased pharmacy choice and cost savings for TRICARE.” 



There were 37 House members who elevated this issue of the pilot program when the House and Senate negotiators were finalizing the NDAA, NACDS noted. Rep. Earl L. ‘Buddy’ Carter, R-Ga., Rep. Dave Loebsack, D-Iowa, and Rep. Peter Welch, D-Vt., led the effort to send a letter to the negotiators at that pivotal time.



Regarding the issue of copayments, NACDS consistently has advocated against copay increases that unfairly penalize TRICARE beneficiaries who prefer to use local pharmacies. Such copay increases, NACDS has maintained, carry unintended consequences which occur when patients do not adhere to their medication regimens. Decreased medication adherence can have negative effects on health outcomes and cause an increase in more expensive medical options, such as emergency room visits and trips to the doctor’s office.



In reviewing a prior version of the copay provision, the Congressional Budget Office found that it “would double, and in some cases nearly triple, the amount of money a TRICARE beneficiary would be required to pay out-of-pocket to get their prescriptions filled.”