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GAO-11-161R 1 (2010-10-26)

handle is hein.gao/gaobadxcu0001 and id is 1 raw text is: 

  I
  GA0
V 1    Accountability * Integrity * Reliability
United States Government Accountability Office
Washington, DC 20548


         B-321021


         October 26, 2010

         The Honorable Carl Levin
         Chairman
         The Honorable John McCain
         Ranking Member
         Committee on Armed Services
         United States Senate

         The Honorable Ike Skelton
         Chairman
         The Honorable Howard P. Buck McKeon
         Ranking Member
         Committee on Armed Services
         House of Representatives

         Subject: Department of Defense, Office of the Secretay: Civilian Health and Medical
                 Program of the Uniformed Services (CHAMPUS)/TRICARE: Inclusion of
                 TRICARE Retail Pharmacy Program in Federal Procurement of
                 Pharmaceuticals

         Pursuant to section 801(a)(2)(A) of title 5, United States Code, this is our report on a
         major rule promulgated by the Department of Defense (DOD), Office of the
         Secretary, entitled Civilian Health and Medical Program of the Uniformed Services
         (CHAMPUS)/TRICARE: Inclusion of TRICARE Retail Pharmacy Program in Federal
         Procurement of Pharmaceuticals (RIN: 0720-AB45). We received the rule on
         October 15, 2010. It was published in the Federal Register as a final rule on
         October 15, 2010, with an effective date of December 27, 2010. 75 Fed. Reg. 63,383.

         The final rule implements section 703 of the National Defense Authorization Act for
         Fiscal Year 2008 (NDAA-08) which states that with respect to any prescription filled
         on or after the date of enactment, the TRICARE Retail Pharmacy Program shall be
         treated as an element of DOD for purposes of procurement of drugs by federal
         agencies under 38 U.S.C. § 8126, to the extent necessary to ensure pharmaceuticals
         paid for by DOD that are provided by network retail pharmacies to TRICARE
         beneficiaries are subject to Federal Ceiling Prices (FCPs). Section 8126 established
         FCPs for covered drugs (requiring a minimum 24 percent discount) procured by
         DOD and three other agencies from manufacturers. The NDAA required
         implementing regulations.


GAO-11-161R

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