NCPA helps quash Washington’s flawed reimbursement plan and scores $60 million victory for pharmacists

NCPA September 13, 2023

NCPA, NACDS, and the Washington State Pharmacy Association (WSPA), and the National Association of Chain Drug Stores announced yesterday they have negotiated an unprecedented settlement with the State of Washington in their joint six-year state lawsuit, challenging Washington State’s failure to move to cost-based dispensing fees. The group of plaintiffs have agreed to drop their lawsuit in exchange for more than $60 million in retroactive payments to pharmacies in Washington State’s fee-for-service Medicaid program covering the period of April 1, 2017 through July 1, 2023, among other provisions. This positive news follows a critical and final decision by CMS in June 2022 – facilitated by joint WSPA, NCPA and NACDS federal litigation — in which the Agency reversed its approval of Washington State’s unlawful pharmacy reimbursement plan, and determined that the Washington State Plan Amendment, which unfairly reimbursed pharmacies of all sizes well-below cost, was disapproved. “This is a massive victory for independent community pharmacists in Washington state and the patients they serve. Pharmacies that are reimbursed below their cost cannot remain in business, and patients lose access to their most trusted healthcare providers,” said NCPA’s CEO Douglas Hoey. “We are very pleased pharmacists in Washington will finally be reimbursed fairly, and that they will recoup some of the loses imposed on them by the previous system.” Stay tuned to qAM for more on this news.

NCPA