Pharmacy Co-Op Loses Bid For Minimum Medicaid Rates

Law360, Dallas (July 12, 2013, 6:35 PM EDT) -- A Texas appeals court on Friday said the state health agency has immunity from a challenge brought by a co-op of independent pharmacies arguing that rules that funnel Medicaid drug benefits through managed care organizations should have set minimum reimbursement rates.

The court said the Texas Health and Human Services Commission reasonably interpreted state laws in drafting new prescription drug payment rules that don’t limit how much managed care organizations can discount reimbursements under their contracts with pharmacies, blocking a challenge from the co-op Southwest Pharmacy...
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