Community Pharmacy Cautiously Optimistic About Executive Order Reviving the Rebate Rule

NCPA says POTUS Must Also Address Pharmacy DIRs to Lower Drug Costs

NCPA July 27, 2020

ALEXANDRIA, Va. (July 27, 2020) — National Community Pharmacists Association CEO B. Douglas Hoey, pharmacist, MBA, said independent pharmacies are encouraged by President Trump’s last-minute decision to revive last year’s proposed rebate rule as part of his package of executive orders on drug pricing. NCPA issued the following statement on Hoey’s behalf this morning:

“After talking with the White House late last Friday, we are encouraged by the President’s focus on PBMs and their shady practices when it comes to rebates. He clearly understands that the current system is murky and inefficient, allowing PBMs to deal secretly with insurance plans and drug companies to mask the true cost of prescription drugs. He did not mention pharmacy DIR fees specifically, but we are hopeful that the administration will deal with this shell game in the rule-making process.

“It is important to note that the agencies must now take his broad directives and turn them into regulations. This provides NCPA with an excellent chance to deal once and for all with pharmacy DIR fees. We will continue to advocate with the agencies to eliminate these unfair, unsustainable fees, which CMS admits rose 45,000 percent in recent years. DIR fees are driving small business independent pharmacies out of business, and they are driving up the cost of prescription drugs with sharply higher out-of-pocket costs for patients.

“If the president’s goal is to reduce prescription drug costs for Americans, then pharmacy DIR fees must be eliminated. That’s our goal, and it should be his goal.”


Founded in 1898, the National Community Pharmacists Association is the voice for the community pharmacist, representing over 21,000 pharmacies that employ approximately 250,000 individuals nationwide. Community pharmacies are rooted in the communities where they are located and are among America's most accessible health care providers. To learn more, visit