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APhA and Health Care Reform
July 9, 2010

In March 2010, President Obama signed into law the Patient Protection and Affordable Care Act (P.L. 111-148) and the Health Care and Education Reconciliation Act of 2010 (P.L. 111-153). These two laws constitute health care reform and are referred to as the Affordable Care Act (ACA). APhA actively engaged only on the pharmacy-related issues to optimize the opportunity that health care reform could offer pharmacists. APhA was instrumental in ensuring the inclusion of several provisions that could be beneficial to pharmacists. This success could not have occurred without APhA’s members’ support. 

APhA’s Position
 
The American Pharmacists Association (APhA) did not take a position on the overall health care reform bills. There were too many elements of each proposal on which the Association did not have a consensus on the issue, such as how to expand access (e.g., health insurance exchange, employer mandate) and how to fund expanded access. Instead, APhA focused its advocacy efforts on the areas that were directly relevant to the practice of pharmacy and the patients that the profession serves (see below).

APhA’s Focus

APhA’s efforts were focused on increasing patient access to pharmacists clinical services to improve the quality of care and lower health care costs regardless of how the system was financed or how coverage was expanded. Medications are the first line of defense in fighting and preventing disease. However, improper medication use costs our nation approximately $177 billion a year. Pharmacists, when provided the opportunity to partner with patients and providers can improve medication use, resulting in improved health outcomes and reduced overall health care costs.

APhA leveraged the “lessons learned” from successful public and private sector programs and persuaded Congress to include several provisions that have the opportunity to optimize the benefits of pharmacists clinical services, such as:

  • Testing the Best Way to Deliver Medication Therapy Management (MTM) Services
    • MTM Grant Program (Section 3503)
    • Center for Medicare and Medicaid Innovation (Section 3021)
  • Improving Current Medicare Part D Medication Therapy Management (MTM) Programs
    • Improvements to Medicare Part D MTM Programs (Section 10328)
    • Medicare Advantage Bonus Payments (Section 3201)
  • Including Pharmacists and Pharmacist-Related Services in Integrated Care Models
    • Community-Based Interdisciplinary Teams (Section 3502)
    • Independence at Home Demonstration Program (Section 3024)
  • Including Pharmacists and/or Pharmacist-Related Services in Transitional Care Models
    • Community-Based Care Transitions Program (Sections 3026)
    • National Pilot Program on Payment Bundling (Section 3023)

Other Pharmacy-Related Provisions

Some of the other ACA provisions that could have an impact on pharmacy include:

  • "Fixes" the average manufacturer's price (AMP)-based reimbursement formula for generic medications in the Medicaid program (Section 2503);  
  • Exempts certain pharmacies from Medicare accreditation requirements to supply durable medical equipment, prosthetics, orthotics, and supplies (DMEPOS) and extends the deadline for obtaining accreditation until January 1, 2011 (Section 3109);
  • Creates pharmacy benefit managers (PBM) transparency requirements (Section 6005);
  • Establishes a National Health Care Workforce Commission that includes pharmacists in the definition of the health care workforce (Section 5101);
  • Awards schools, including schools of pharmacy, grants to offer courses that focus on geriatrics, chronic care management, and long-term care (Section 5305);
  • Makes pharmacists eligible for the Area Health Education Centers interdisciplinary training grants (Section 5315);
  • Advances research and treatment for pain care management (Section 4305);
  • Establishes payment and approval pathway for biosimilars (Section 7002, 3139);
  • Creates a Medicare coverage gap discount program (Section 3301); and
  • Addresses dispensing of outpatient prescription drugs in long-term care facilities in the Medicare program (Section 3310).

For a detailed description, read the APhA Summary of Affordable Care Act or the APhA HCR Chart.

What You Can Do in the Implementation Process?

While the major hurdle in the legislative process of health care reform has passed, the health care reform implementation process will continue for years to come. Whether it is securing appropriations for the MTM grant program or ensuring pharmacists’ participation in integrated care models, APhA will need your help and support in the coming months and years to build on our health care reform successes. To ensure the best possible outcome for the profession, we will need an “all-hands on deck” effort and we encourage you and your colleagues to engage in APhA’s health care reform implementation efforts today.

Now there are many ways for you to be engaged and stay informed:

For additional information, visit APhA’s Government Affairs page.