Court sides with Medi-Cal against pharmacies

July 9, 2008

California Pharmacists Association is upset with ruling.

One of three suits that have been filed in California to put a stop to Medi-Cal's 10% provider cuts has reached a decision-one that is unfavorable to pharmacists. The suit involves eight retail pharmacies' bid to block the cuts that were supposed to start on July 1. The court refused to grant an injunction against the Medi-Cal rate cut because only some branded drugs would be reimbursed below cost, it's speculative that pharmacies would operate at a loss, and the impact on patients is also speculative. The California Pharmacists Association is disappointed with the ruling and hopes that two other suits, to be heard later this month, will bring the results it longs for.