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Senate Bill 1215 Printer's Number 1502

PENNSYLVANIA, March 13 - with subclause (A). If any individual ingredient does not have a

valid and recognized NDC number, the compound drug shall not be

reimbursed. The following shall apply:

(I) A retail pharmacy, mail order pharmacy or physician

shall be reimbursed a single compounding fee of twenty dollars

($20) per prescription filled and dispensed.

(II) In no instance shall reimbursement for a compound drug

exceed four hundred dollars ($400) per thirty-day supply or a

prorated amount if the supply is greater or less than thirty

days.

(III) A compound drug that is essentially a duplicate of a

commercially available drug product is not reimbursable. The

status of a compound drug as essentially a duplicate of a

commercially available drug product shall be determined pursuant

to 21 U.S.C. § 353b (relating to outsourcing facilities).

(G.2) The reimbursement for any noncompound topical drug

shall be the lesser of one hundred and ten per centum of the

AWP, the Federal Upper Limit as established by the Centers for

Medicare and Medicaid Services pursuant to 42 U.S.C. § 1396r-

8(e)(4) (relating to payment for covered outpatient drugs) and

42 CFR 447.514 (relating to upper limits for multiple source

drugs) or two hundred forty dollars ($240) for a thirty-day

supply, prorated if the supply is greater or less than thirty

days, plus a single dispensing fee of ten dollars ($10) per

prescription.

* * *

(J) As used in this subclause:

"Compound drug" shall mean a non-Food and Drug Administration

approved pharmaceutical preparation that is prescribed by a

physician and prepared by a licensed pharmacist or physician by

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