Senate committee approves amendment clarifying pharmacist reimbursement; $10.50 dispensing fee explained

The Senate Insurance & Commerce Committee approved an amendment that clarifies how pharmacist reimbursement rules apply when a pharmacy's ingredient reimbursement already covers operating costs.

Sen. Hammer, sponsor of the amendment, told the committee the change was intended "to clarify that the pharmacist would not receive the $10.50 in addition ... to the cost of the drug," meaning the law would not require an automatic $10.50 professional dispensing fee on top of ingredient reimbursement when total reimbursement already exceeds operating cost thresholds.

John Vincent of the Arkansas Pharmacists Association explained that the amended definition of "unfair reimbursement" makes clear that pharmacies need a sufficient combination of ingredient reimbursement and dispensing fee to operate. "It's to give clarification that it's not guaranteeing that you have to have a professional dispensing fee on every claim," Vincent said, offering a numerical example: if ingredient reimbursement already exceeds the purchase cost, an additional $10.50 may not be required.

Sen. Hammer said the amendment had two aims: (1) to avoid an unfair reimbursement standard that would require duplicative fees and (2) to encourage pharmacies to procure ingredient at competitive market rates so they can remain viable. With no audience testimony, the committee voted to give the bill a do-pass recommendation. The motion was seconded by Sen. Johnson, and the committee approved the item by voice vote with no recorded opposition; the sponsor asked that the measure be placed on the Senate floor for debate.