From
America's Pharmacist, May 2000
Patient Bill of
Rights
The House/Senate conference negotiators on the
bipartisan Norwood/Dingell/Ganske/Berry bill are increasingly
optimistic that they can complete their work this spring. While
leaders Sen. Trent Lott (R-Miss.) and Rep. Richard Armey (R-Texas)
have recently concurred with NCPA’s longstanding view that insurance
companies should be held accountable, including via litigation, the
National Association of Chain Drug Stores recently told Rep. Marion
Berry (D-Ark.) and other conferees that they strongly oppose the
bipartisan provision that would expose health plans to legal
liability.
Of course, both patient groups and health care
provider groups support health plan accountability. Patients want to
have the pharmacist of their choice. A recent Drug Topics consumer
survey indicated that 82 percent of consumers were satisfied with
independents’ services, 64 percent satisfied with mass merchandiser
pharmacy service, 59 percent satisfied with supermarket service, and
only 55 percent satisfied with chain pharmacy service. NCPA and
consumer groups are very frequently on the same side of major
national issues.
Bankruptcy Reform
NCPA has for several years been a member
of the Coalition for Financial Responsibility. The House and now the
Senate have approved H.R.833 and S.625. A joint conference committee
will now fashion the final legislation to address bankruptcy abuses
highlighted by NCPA and other business associations.
Free Trade
Bipartisan support continues to grow for
legislation to remove barriers for importing prescription drugs.
There has been tremendous media attention focused on the
NCPA-endorsed International Prescription Drug Parity Act. H.R.1885
now has 81 cosponsors; Sen. Carl Levin (D-Mich.) has added his name
to S.1191, and Senate candidate Hillary R. Clinton has endorsed the
Senate bill. Additional bills have been introduced by Reps. Ron Paul
(R-Texas) (H.R.3636) and Gil Gutknecht (R-Minn.) (H.R.3342).
Congressmen Gutknecht and Greg Ganske (R-Iowa) have recently
observed to House colleagues that when it comes to prescription
drugs, there is no free trade.
H.R.1885 mandates that only
pharmaceuticals already approved by the FDA will be allowed to enter
the U.S. marketplace and recognizes the role of enforcement of those
laws at the border by the federal agencies.
Seller Financing
NCPA, principally through its involvement
with the Small Business Legislative Council (SBLC), has been working
fast and furious on a proposal to restore the installment method of
accounting for accrual basis taxpayers, which was prohibited by a
law enacted last year entitled the "Ticket to Work and Work
Incentives Improvement" Act. This law would make sales of pharmacies
to publicly held drug store companies more likely.
Medicare Pharmacy Benefit
Virtually every day has brought
a new development on the Medicare issue. Among them are these
headlines: Governors oppose a state-based program... House Commerce
Republicans support a benefit for all and reject low-income target
or state-based... House and Senate budget committees provide $40
billion ($4 billion more than the White House) for Medicare
pharmacy... Senate GOP takes on drug makers... Senate passes
Gorton/Jeffords resolution targeting discriminatory pricing by drug
makers... White House asserts that coverage of pharmacists services
is essential for Medicare program... NCPA provides Medicare Pharmacy
testimony to three key Committees.
House to Vote on H.R.1304
In a major victory for NCPA
members, 26 of the 37 House Judiciary Committee members voted to
send H.R.1304 to the House of Representatives. The committee was
meeting on the bill during our Legislative Conference, which gave us
a perfect opportunity to effect the outcome. As one might expect,
the opponents were shocked, but are regrouping to intensify their
attack on this bipartisan bill. For example, the New York Times,
which normally supports patient rights and services, did a 180 and
on April 8, 2000, editorialized against H.R.1304 as creating a
doctors’ cartel.
The Congressional Budget Office has
determined that the maximum increase in private insurance premiums
associated with H.R.1304 would be 2.6 percent. This assumes that
insurance companies who mistakenly claimed the increase would be
more than 13 percent would not have their profits reduced through
negotiations. Also the CBO estimates that the independent
pharmacists who negotiate under this new authority would increase
their net margin on average by 15 percent annually. Please do
everything you can do to help your representative vote for
H.R.1304.
Authored by John Rector, NCPA Senior Vice President for Government
Affairs and General Counsel, "Notes from Capitol Hill" is a monthly
update on NCPA’s lobbying activities and other important legislative
news from Washington.
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