BREAKING: NABP Cancels First VAWD Application Citing Pharmacy Purchases
In a stunning reversal of their existing course of conduct, the NABP has canceled a VAWD Application citing “pharmacy purchases” for the first time ever. The NABP has historically attempted to guide applicants and bring them up to standard via Application Review Reports and SOP Review Reports.
We can guess three possible explanations for the sudden change in course of conduct:
1. The classic “one-two” punch:
In conjunction with OptumRX’s recent reluctance to award extensions under their October 1 VAWD requirement, the industry seems to be at a tipping point. OptumRX may interpret that a cancellation is the same as a denial; if so, then a company that has its application cancelled will be disqualified from future extensions from OptumRX, per their policy.
With this explanation, the entire industry could be dramatically different come June 30, 2017, when a majority of wholesalers are stripped of their extension and unable to sell to pharmacy customers.
In canceling applications, companies are forced to reapply for Accreditation. This immediately yields an additional $1,500 of revenue with the new application. Earlier, Five Rivers estimated that NABP pulled in almost $6 million from new VAWD applicants alone. With this action, they are able to immediately continue the “gravy” train.
3. The stronger message of NABP requiring compliance:
In working with companies, the NABP has most likely come across companies that are overlooking their obligations as a VAWD applicant. Instead of working to abide by VAWD standards, they purposely wait for the NABP to get back to them in a continuing back-and-forth cycle. By beginning to cancel applications, VAWD is sending a message, loud and clear: follow our standards or simply be removed from the process.
More information as the news breaks!
About Pharma Solutions
Pharma Solutions is a leading pharmaceutical compliance services firm that uses experience, relationships, and knowledge to develop custom solutions for their clients. The company provides numerous services including VAWD Accreditation, state Board licensing and federal registration. Five Rivers helps third-party logistics firms, distributors and manufacturers in the pharmaceutical industry focus on their supply chain while reducing costs, enhancing efficiency and improving quality. Five Rivers is committed to helping their clients thrive and to providing peace of mind.