Congresswoman Jaime Herrera Beutler’s, R-Camas, decision to look closely into unfair drug pricing practices is appreciated by patients who rely on the Medicare Part D benefit.
Long-term care (LTC) pharmacies dispense medication to those receiving care in skilled nursing and assisted living facilities, and provide clinical oversight services. Pharmacy benefit managers (PBM), third-party middlemen who oversee the pricing structure and reimbursement for most generic drugs dispensed by LTC pharmacies, control the cost of the drugs to both the patient and taxpayer.
PBM drug prices vary greatly and create reimbursement inequities. Pricing tactics used by PBMs are designed to maximize profit for PBMs and, in many cases, force LTC pharmacies to accept reimbursement below the cost to dispense. Prices for the same prescription drug on the same day vary considerably for different payers, raising questions about the relationship between price and actual market conditions.
Congresswoman Herrera Beutler’s decision to examine these loose ends through her support of the MAC Transparency Act (H.R. 244) will benefit Medicare beneficiaries in Washington. If PBMs continue to negotiate prices unchecked, it will increase costs to taxpayers and jeopardize patient care. I commend Herrera Beutler for co-sponsoring legislation that protects the interests of Medicare beneficiaries.
