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42 U.S.C. § 1395w–152Miscellaneous provisions

submitted 91 years ago by Pub. L. 108-173 to r/title-42-THE-PUBLIC-HEALTH-AND-WELFARE · 1,302 words · no verdicts yet

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This section lets the Secretary adjust Part D requirements for territories and applies certain demonstration rules to Part D and Part C. It also requires a 2010 coverage-gap payment, oversight of certain complaints, reports about essential retail pharmacies, and biennial enforcement reports.

(a) Access to coverage in territories. The Secretary may waive Part D requirements, including section 1395w–103(a)(1), as far as the Secretary decides is necessary to secure qualified prescription-drug coverage for Part D eligible people living in a State other than the 50 States and the District of Columbia. (b) Demonstration authority. Section 402 of the Social Security Amendments of 1967 (Public Law 90–248) applies to this part and Part C in the same way it applies to Parts A and B. A reference to a Trust Fund for an experiment or demonstration involving prescription-drug coverage under this part is treated as a reference to the Medicare Prescription Drug Account within the Federal Supplementary Medical Insurance Trust Fund. (c) Coverage-gap rebate for 2010. (1) For a person described in section 1395w–114a(g)(1)(A) through (D) who, on the last day of a 2010 calendar quarter, incurred enough covered Part D drug costs to exceed the 2010 initial coverage limit under section 1395w–102(b)(3), the Secretary must arrange for a $250 payment from the Medicare Prescription Drug Account no later than the 15th day of the third month after that quarter ends. (2) The person may receive only one payment under this subsection. (d) Certain complaints in quality or performance assessments. When assessing a PDP sponsor’s quality or performance, the Secretary must develop or use screening methods for reviewing and considering complaints from the sponsor’s prescription-drug-plan enrollees about lack of access to prescription drugs caused by a drug-management program for at-risk beneficiaries. (e) Essential retail pharmacies. (1) Beginning with plan years on or after January 1, 2028, the Secretary must publish reports at least every 2 years through 2034, and periodically afterward, to the extent feasible. The reports must cover: (A) trends in ingredient-cost reimbursement, dispensing fees, incentive payments, and other fees paid by PDP sponsors and MA organizations to essential retail pharmacies for dispensing covered Part D drugs, comparing them with other pharmacies; (B) trends in amounts essential retail pharmacies pay PDP sponsors and MA organizations for such dispensing, with the same comparison; (C) trends in essential pharmacies’ participation in pharmacy and preferred-pharmacy networks, with the same comparison; (D) trends in the number of essential pharmacies, including geographic or other variation; (E) a comparison of enrollee cost-sharing for covered drugs dispensed by essential network pharmacies with cost-sharing at other network pharmacies in similar areas that are not essential; (F) a comparison of the volume of covered drugs dispensed by essential network pharmacies with volume at other network pharmacies in similar areas, including patterns for generic or specialty drugs; and (G) a comparison of the information in (A) through (F) between essential pharmacies in PDP networks and essential pharmacies in MA–PD networks. (2) Definition. For a plan year, an “essential retail pharmacy” is a retail pharmacy that (A) is not an affiliate as defined in paragraph (4), and (B) is in (i) a rural area with no other retail pharmacy within 10 miles, (ii) a suburban area with no other retail pharmacy within 2 miles, or (iii) an urban area with no other retail pharmacy within 1 mile, as determined by the Secretary. (3) Lists and submissions. (A) For every plan year beginning in 2028, the Secretary must publish on a publicly available CMS website a list of pharmacies meeting paragraph (2)(A) and (B). (B) For every such plan year, each PDP sponsor offering a prescription-drug plan and each MA organization offering an MA–PD plan must submit, in the required time, form, and manner, a list of its affiliates and of affiliates of a pharmacy benefit manager acting for it, so the Secretary can apply paragraph (2)(A). (C) Beginning with plan year 2027, each such sponsor and organization must submit information about incentive payments and other fees it pays pharmacies, to the extent not otherwise reported. (D) The Secretary may implement this paragraph by program instruction or otherwise, despite other law. (E) Chapter 35 of title 44, the Paperwork Reduction Act, does not apply to implementing this paragraph. (4) “Affiliate” and “pharmacy benefit manager” have the meanings given in section 1395w–112(h)(7); this section does not define them. (f) Biennial enforcement and oversight report. (1) No later than 2 years after February 3, 2026, and at least every 2 years afterward, the Secretary must publish a report about enforcement and oversight actions concerning section 1395w–104(b)(1). (2) The report may not disclose (A) identifiable information about people or entities unless otherwise publicly available, or (B) entities’ trade secrets.
the actual law source: uscode.house.gov ↗public domain
(a) Access to coverage in territories

The Secretary may waive such requirements of this part, including section 1395w–103(a)(1) of this title, insofar as the Secretary determines it is necessary to secure access to qualified prescription drug coverage for part D eligible individuals residing in a State (other than the 50 States and the District of Columbia).

(b) Application of demonstration authority

The provisions of section 402 of the Social Security Amendments of 1967 (Public Law 90–248) shall apply with respect to this part and part C in the same manner it applies with respect to parts A and B, except that any reference with respect to a Trust Fund in relation to an experiment or demonstration project relating to prescription drug coverage under this part shall be deemed a reference to the Medicare Prescription Drug Account within the Federal Supplementary Medical Insurance Trust Fund.

(c) Coverage gap rebate for 2010
(1) In general

In the case of an individual described in subparagraphs (A) through (D) of section 1395w–114a(g)(1) of this title who as of the last day of a calendar quarter in 2010 has incurred costs for covered part D drugs so that the individual has exceeded the initial coverage limit under section 1395w–102(b)(3) of this title for 2010, the Secretary shall provide for payment from the Medicare Prescription Drug Account of $250 to the individual by not later than the 15th day of the third month following the end of such quarter.

(2) Limitation

The Secretary shall provide only 1 payment under this subsection with respect to any individual.

(d) Treatment of certain complaints for purposes of quality or performance assessment

In conducting a quality or performance assessment of a PDP sponsor, the Secretary shall develop or utilize existing screening methods for reviewing and considering complaints that are received from enrollees in a prescription drug plan offered by such PDP sponsor and that are complaints regarding the lack of access by the individual to prescription drugs due to a drug management program for at-risk beneficiaries.

(e) Essential retail pharmacies
(1) In general

With respect to plan years beginning on or after January 1, 2028, the Secretary shall publish reports, at least once every 2 years until 2034, and periodically thereafter, that provide information, to the extent feasible, on—

(A)

trends in ingredient cost reimbursement, dispensing fees, incentive payments and other fees paid by PDP sponsors offering prescription drug plans and MA organizations offering MA–PD plans under this part to essential retail pharmacies (as defined in paragraph (2)) with respect to the dispensing of covered part D drugs, including a comparison of such trends between essential retail pharmacies and pharmacies that are not essential retail pharmacies;

(B)

trends in amounts paid to PDP sponsors offering prescription drug plans and MA organizations offering MA–PD plans under this part by essential retail pharmacies with respect to the dispensing of covered part D drugs, including a comparison of such trends between essential retail pharmacies and pharmacies that are not essential retail pharmacies;

(C)

trends in essential retail pharmacy participation in pharmacy networks and preferred pharmacy networks for prescription drug plans offered by PDP sponsors and MA–PD plans offered by MA organizations under this part, including a comparison of such trends between essential retail pharmacies and pharmacies that are not essential retail pharmacies;

(D)

trends in the number of essential retail pharmacies, including variation in such trends by geographic region or other factors;

(E)

a comparison of cost-sharing for covered part D drugs dispensed by essential retail pharmacies that are network pharmacies for prescription drug plans offered by PDP sponsors and MA–PD plans offered by MA organizations under this part and cost-sharing for covered part D drugs dispensed by other network pharmacies for such plans located in similar geographic areas that are not essential retail pharmacies;

(F)

a comparison of the volume of covered part D drugs dispensed by essential retail pharmacies that are network pharmacies for prescription drug plans offered by PDP sponsors and MA–PD plans offered by MA organizations under this part and such volume of dispensing by network pharmacies for such plans located in similar geographic areas that are not essential retail pharmacies, including information on any patterns or trends in such comparison specific to certain types of covered part D drugs, such as generic drugs or drugs specified as specialty drugs by a PDP sponsor under a prescription drug plan or an MA organization under an MA–PD plan; and

(G)

a comparison of the information described in subparagraphs (A) through (F) between essential retail pharmacies that are network pharmacies for prescription drug plans offered by PDP sponsors under this part and essential retail pharmacies that are network pharmacies for MA–PD plans offered by MA organizations under this part.

(2) Definition of essential retail pharmacy

In this subsection, the term “essential retail pharmacy” means, with respect to a plan year, a retail pharmacy that—

(A)

is not a pharmacy that is an affiliate as defined in paragraph (4); and

(B)

is located in—

(i)

a rural area in which there is no other retail pharmacy within 10 miles, as determined by the Secretary;

(ii)

a suburban area in which there is no other retail pharmacy within 2 miles, as determined by the Secretary; or

(iii)

an urban area in which there is no other retail pharmacy within 1 mile, as determined by the Secretary.

(3) List of essential retail pharmacies
(A) Publication of list of essential retail pharmacies

For each plan year (beginning with plan year 2028), the Secretary shall publish, on a publicly available internet website of the Centers for Medicare & Medicaid Services, a list of retail pharmacies that meet the criteria described in subparagraphs (A) and (B) of paragraph (2) to be considered an essential retail pharmacy.

(B) Required submissions from PDP sponsors

For each plan year (beginning with plan year 2028), each PDP sponsor offering a prescription drug plan and each MA organization offering an MA–PD plan shall submit to the Secretary, for the purposes of determining retail pharmacies that meet the criterion specified in subparagraph (A) of paragraph (2), a list of retail pharmacies that are affiliates of such sponsor or organization, or are affiliates of a pharmacy benefit manager acting on behalf of such sponsor or organization, at a time, and in a form and manner, specified by the Secretary.

(C) Reporting by PDP sponsors and MA organizations

For each plan year beginning with plan year 2027, each PDP sponsor offering a prescription drug plan and each MA organization offering an MA–PD plan under this part shall submit to the Secretary information on incentive payments and other fees paid by such sponsor or organization to pharmacies, insofar as any such payments or fees are not otherwise reported, at a time, and in a form and manner, specified by the Secretary.

(D) Implementation

Notwithstanding any other provision of law, the Secretary may implement this paragraph by program instruction or otherwise.

(E) Nonapplication of Paperwork Reduction Act

Chapter 35 of title 44 shall not apply to the implementation of this paragraph.

(4) Definition of affiliate; pharmacy benefit manager

In this subsection, the terms “affiliate” and “pharmacy benefit manager” have the meaning given those terms in section 1395w–112(h)(7) of this title.

(f) Biennial report on enforcement and oversight of pharmacy access requirements
(1) In general

Not later than 2 years after February 3, 2026, and at least once every 2 years thereafter, the Secretary shall publish a report on enforcement and oversight actions and activities undertaken by the Secretary with respect to the requirements under section 1395w–104(b)(1) of this title.

(2) Limitation

A report under paragraph (1) shall not disclose—

(A)

identifiable information about individuals or entities unless such information is otherwise publicly available; or

(B)

trade secrets with respect to any entities.

Source credit: (Aug. 14, 1935, ch. 531, title XVIII, § 1860D–42, as added Pub. L. 108–173, title I, § 101(a)(2), Dec. 8, 2003, 117 Stat. 2149; amended Pub. L. 111–152, title I, § 1101(a)(1), Mar. 30, 2010, 124 Stat. 1036; Pub. L. 114–198, title VII, § 704(d), July 22, 2016, 130 Stat. 750; Pub. L. 119–75, div. J, title II, § 6223(b), (e), Feb. 3, 2026, 140 Stat. 665, 669.)

history & why it existsrecord from the source credit
  • 1935Enacted · Pub. L. 108-173 · 117 Stat. 2149
  • 2010Amended · Pub. L. 111-152 · 124 Stat. 1036
  • 2016Amended · Pub. L. 114-198 · 130 Stat. 750
  • 2026Amended · Pub. L. 119-75 · 140 Stat. 665, 669

A history note hasn’t been published yet. The record shows enactment by Pub. L. 108-173 on 1935-08-14.

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