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Code · BILL · 114th Congress · H.R. 4909 (Engrossed in House) — To authorize appropriations for fiscal year 2017 for military activities of the Department of Defense, for military c... · Sec. 745

Sec. 745. Pilot program for prescription drug acquisition cost parity in the TRICARE pharmacy benefits program

439 words·~2 min read·/bill/114/hr/4909/eh/section-745·

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The Secretary of Defense may conduct a pilot program to evaluate whether, in carrying out the TRICARE pharmacy benefits program under section 1074g of title 10, United States Code, extending additional discounts for prescription drugs filled at retail pharmacies will maintain or reduce prescription drug costs for the Department of Defense. In carrying out the pilot program under subsection (a), the Secretary shall require that for prescription medications, including but not limited to non-generic maintenance medications, that are dispensed to retired TRICARE beneficiaries that are not Medicare eligible, through any TRICARE participating retail pharmacy, including small business pharmacies, manufacturers shall pay rebates such that those medications are available to the Department at the lowest rate available.
In addition to utilizing the authority under section 1074g(f) of title 10, United States Code, the Secretary shall have the authority to enter into a purchase blanket agreement with prescription drug manufactures for supplemental discounts for prescription drugs dispensed in the pilot to be paid in the form of manufactures rebates. The Secretary shall develop the pilot program in consultation with— the Secretaries of the military departments, including Army, Navy and Air Force; the Chief, Pharmacy Operations Division, of the Defense Health Agency; and stakeholders, including TRICARE beneficiaries and retail pharmacies.
If the Secretary carries out the pilot program under subsection (a), the Secretary shall commence such pilot program no later than October 1, 2017, and may terminate such program no later than September 30, 2018. If the Secretary carries out the pilot program under subsection (a), the Secretary of Defense shall submit to the congressional defense committees, including the House and Senate Committees on Armed Services, reports on the pilot program as follows: Not later than 90 days after the date of the enactment of this Act, a report containing an implementation plan for the pilot program.
Not later than 180 days after the date on which the pilot program commences, an interim report on the pilot program. Not later than 90 days after the date on which the pilot program terminates, a final report describing the results of the pilot program, including any recommendations of the Secretary to expand such program. The final report will include— an analysis of the changes in prescription drug costs for the Department related to the pilot program; an analysis of the impact on beneficiary access to prescription drugs; a survey of beneficiary satisfaction with the pilot program; a summary of any fraud and abuse activities related to the pilot and actions taken in response by the Department; and a comparison of immunization rates for beneficiaries participating in the pilot and those outside of the pilot.
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