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FederalDaily - July 19, 2006

TRICARE Bill Pushes Mail-Order Pharmacies

UMWA President Asks DOL to Clarify Stalled Appointee’s Duties

IRS Criticized Over Flawed Fraud Detection

TRICARE Bill Pushes Mail-Order Pharmacies

Legislation that would force many U.S. military families to fill most of their prescriptions through mail-order drug warehouses instead of their local community pharmacies has passed in both houses of Congress. In a July 17 statement, the National Community Pharmacists Association (NCPA) complained that the Senate version of the bill would require all TRICARE beneficiaries to obtain refills of “maintenance medications” through the mail. TRICARE is the Department of Defense (DoD) managed health care program that covers more than 9.2 million active duty military personnel, military retirees and their families worldwide. The House version of the bill also penalizes patients by increasing their co-pay for medications purchased at a community pharmacy—while it eliminates the co-pay for those filled by mail order. Currently, brand-name manufacturers offer DoD discounts for prescription medications dispensed at medical facilities and through TRICARE mail order. DoD would save approximately $773 million a year if it were able to successfully negotiate similar discount pricing for community pharmacies, according to NCPA. For more information, visit www.ncpanet.org.

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UMWA President Asks DOL to Clarify Stalled Appointee’s Duties

Cecil E. Roberts, the president of the United Mine Workers of America International (UMWA), has filed a Freedom of Information Act request to force the Department of Labor (DOL) to disclose the exact duties of Richard Stickler, a consultant to the department. Nominated by President Bush in September 2005 to be the Assistant Secretary of Labor for Mine Safety and Health (MSHA), Stickler has been unable to achieve Senate confirmation. “I am particularly interested in documents setting forth the terms of his appointment including its duration, his financial compensation and benefits, his job description, who he reports to and who reports to him,” Roberts wrote in his request letter. In a separate document, Roberts wrote that “if Mr. Stickler is involved in directing or developing policy at MSHA through his consulting role, then there is a serious problem.” For more information, go to: www.wmwa.org.

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IRS Criticized Over Flawed Fraud Detection

One senator is raising questions over the redesign of the electronic fraud detection system at the IRS that has resulted in a raft of undetected fraudulent returns and refund claims. “The IRS continues to rely on a contractor that for the past two filing seasons couldn’t deliver what it promised and accepted $20.5 million to deliver,” said Sen. Charles Grassley, R-Iowa, who chairs the Senate Finance Committee, which oversees the tax collection agency. Quoting figures from a soon-to-be released Treasury Inspector General for Tax Administration report, Grassley said the failure to detect false filings had cost the Treasury an additional $320 million so far. “I hope there isn’t a next time, but if there is, I expect the IRS to come to us the minute there’s a problem, especially when so much money is at risk,” he said, after complaining that he only learned of the problem through “back channels.”

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