HCFA Revised AWP List For Medicare Rx Reimbursement Suspended
Executive Summary
The Health Care Financing Administration is suspending implementation of a new average wholesale price list for drugs covered by Medicare for one year.
You may also be interested in...
Medicare AWPs
Health Care Financing Administration wants a report from all Medicare regional carriers on drug-pricing practices within 30 days, April 17 memo says. HCFA is performing an analysis of Medicare drug pricing "to determine whether and the extent to which contractor pricing actually varies," the memo states. Data on sources used by contractors to determine average wholesale price, methodologies to calculate 95% of AWP and actual Medicare-allowed amounts for all Medicare covered drugs are to be collected. HCFA adopted revised AWPs using wholesaler catalog prices compiled by the Department of Justice but later suspended implementation (1"The Pink Sheet" Nov. 27, 2000, p. 4)
Medicare AWPs
Health Care Financing Administration wants a report from all Medicare regional carriers on drug-pricing practices within 30 days, April 17 memo says. HCFA is performing an analysis of Medicare drug pricing "to determine whether and the extent to which contractor pricing actually varies," the memo states. Data on sources used by contractors to determine average wholesale price, methodologies to calculate 95% of AWP and actual Medicare-allowed amounts for all Medicare covered drugs are to be collected. HCFA adopted revised AWPs using wholesaler catalog prices compiled by the Department of Justice but later suspended implementation (1"The Pink Sheet" Nov. 27, 2000, p. 4)
Medicare Should Consider FSS-Like Fee Schedule For Covered Drugs - IG
Creating a fee schedule for Medicare-covered drugs that is similar to the Federal Supply Schedule is one option to reduce excessive prescription drug reimbursement amounts, a HHS Office of Inspector General report recommends.