Sec. 743. PILOT PROGRAM FOR PRESCRIPTION DRUG ACQUISITION COST PARITY IN THE TRICARE PHARMACY BENEFITS PROGRAM
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## SEC. 743 PILOT PROGRAM FOR PRESCRIPTION DRUG ACQUISITION COST PARITY IN THE TRICARE PHARMACY BENEFITS PROGRAM **[**[10 U.S.C. 1074g note](/us/usc/t10/s1074g)**]** ###
(a)Authority to Establish Pilot Program 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. ###
(b)Elements of Pilot Program In carrying out the pilot program under subsection (a), the Secretary shall require that for prescription medications, including non-generic maintenance medications, that are dispensed to 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 blanket purchase agreement with prescription drug manufacturers for supplemental discounts for prescription drugs dispensed in the pilot to be paid in the form of manufacturer’s rebates. ###
(c)Consultation The Secretary shall develop the pilot program in consultation with— ####
(1)the Secretaries of the military departments; ####
(2)the Chief of the Pharmacy Operations Division of the Defense Health Agency; and ####
(3)stakeholders, including TRICARE beneficiaries and retail pharmacies. ###
(d)Duration of Pilot Program 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 shall terminate such program no later than September 30, 2018. ###
(e)Reports If the Secretary carries out the pilot program under subsection (a), the Secretary of Defense shall submit to the Committees on Armed Services of the Senate and the House of Representatives reports on the pilot program as follows: ####
(1)Not later than 90 days after the date of the enactment of this Act, a report containing an implementation plan for the pilot program. ####
(2)Not later than 180 days after the date on which the pilot program commences, an interim report on the pilot program. ####
(3)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— #####
(A)any recommendations of the Secretary to expand such program; #####
(B)an analysis of the changes in prescription drug costs for the Department of Defense relating to the pilot program; #####
(C)an analysis of the impact on beneficiary access to prescription drugs; #####
(D)a survey of beneficiary satisfaction with the pilot program; and #####
(E)a summary of any fraud and abuse activities related to the pilot and actions taken in response by the Department.
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Sec. 743
PILOT PROGRAM FOR PRESCRIPTION DRUG ACQUISITION COST PARITY IN THE TRICARE PHARMACY BENEFITS PROGRAM
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