Governor Jeff Landry Announces Major Win for Independent Pharmacies

Will give pharmacies more options and create improved access to life saving medications  

Baton Rouge, LA - On October 25, 2024, Governor Jeff Landry announced the approval of an emergency contract that will improve reimbursement rates for independent pharmacists and will give Louisianans better access to prescription medications. Independent pharmacies will have the choice to be reimbursed under the old terms of the contract or they can be reimbursed using the National Average Drug Acquisition Cost (NADAC) model.  

“Under this emergency contract, pharmacists will have a choice.  Independent pharmacies will have the opportunity to remain in their current contracting arrangement or opt in to the newly created arrangement available only to independent pharmacies. No longer will our local pharmacies continue to lose money as they try to serve their community. This is a major win for local pharmacies and the people of Louisiana,” said Governor Jeff Landry.  

Background:

Under a previous contract negotiated under the former governor (that did not receive Joint Legislative Committee on the Budget approval), many independents could no longer service Office of Group Benefits (OGB) members because they were losing money to fill prescriptions.  This created pharmacy deserts in some of the rural areas of the state, and it impacted patient choice. Since January, at the direction of Governor Landry, the administration including Heath Williams, the newly appointed Office of Group Benefits CEO, have been working on innovative solutions that will help Louisianans have better access to prescription medications while also aiding struggling hometown independent pharmacies across the state.