CMS Urged to Better Regulate Part D Providers
In the last several months we’ve all heard or read about the confusion of Medicare Part D. The media has made it appear as though it is impossible for a Medicare patient to find drug coverage with the new Part D benefit.
After months of reading about what a train wreck Part D was, I became somewhat cynical about the media’s coverage of Medicare related issues. The real story wasn’t being told: how the pharmacies are being affected.
What the media wasn’t telling everyone, was that their local pharmacists were going through hell trying to make this new Medicare plan work.
Local pharmacists were doling out medications to people who weren’t paying, and due to all of the confusion at the other end, the pharmacists themselves weren’t being reimbursed in a timely manner from the Part D providers. Not only that, but the pharmacist doesn’t always know clearly what the provider is going to pay him/her for the drug that they just handed out.
Keep in mind that we’re talking about small locally owned, independent pharmacies. I’m not sure how many of you own, or have owned businesses, but I’m sure you can all understand how hard it would be to stay in business when you’ve given most of your inventory away without any payment.
One local pharmacist told me shortly after the onset of the Part D coverage, that he had given out over $30,000.00 in medications, without yet receiving even a penny from any of the providers. They make the process of being reimbursed complicated enough, that it takes forever and a day for the pharmacist to get anything back. The bottom line is: a pharmacist can’t stock the shelves with medicine if he doesn’t have any money to buy it from the manufacturer.
With the very real possibility of all the small pharmacies closing down due to Medicare Part D coverage, some politicians are finally making a move to level the playing field.
Earlier this week a bipartisan group of U.S. Senators sent a letter to CMS encouraging some changes in how things are run. The letter urges CMS to better regulate the providers of Medicare Part D prescription drug coverage, demanding that they make clear up front their reimbursement of the medications they cover. The letter also urges them to make possible EFT (Electronic Funds Transfer) to the pharmacists selling the medications, making reimbursement that much faster. The letter also encourages CMS to insist that providers update the wholesale drug lists daily, to make it easier for the pharmacists.
From the letter:
“We strongly encourage the agency to examine PDP activities that may undermine beneficiaries’ access and to consider the suggestions we offer to promote strong and continued participation of local, community pharmacies in the Medicare prescription drug plan,”
I think this might be a step in the right direction. I for one value my local pharmacy, and would like to see it possible for him to stay in business through all of this. As more and more insurance companies dump their prescription coverage for any of their members who qualify for Medicare, there will be more and more patients joining Part D coverage. This means more medicine that the independent pharmacist is selling at a reduced profit margin.
I’m torn between wanting to support the local guy, and my inability to pay for all of my necessary medications. Hopefully we can find some in between state that will work - and this letter may be a starting point for creating that.
Time will tell.






