KY Medicaid Announces Increase to Immunization Administration Fee

Hi Colleague,

I met with Dr. Fatima Ali and others from the Kentucky Department of Medicaid Services yesterday as part of our ongoing efforts to both represent the profession and assist the Department in serving Kentucky Medicaid members throughout the state. Dr. Ali provided an update on an issue that KPhA has been working on for some time: Inadequate vaccine administration reimbursement.

Currently, pharmacies receive a $3.30 incentive fee to provide immunization to Medicaid members. KPhA has advocated that this amount is insufficient considering the cost to provide these services and that the current reimbursement structure could lead to decreased immunization rates as it is simply not sustainable long-term.

*Good News*

Starting October 16, 2023, the incentive fee will be increased to $27.49 for the first dose of a series, with subsequent doses reimbursed at $9.80 if applicable. There is an exception for COVID-19 vaccines which will still be reimbursed with a $40.00 administration fee. MedImpact will provide additional correspondence as we move closer to the effective date.

I would like to recognize Commissioner Lisa Lee, Dr. Fatima Ali, and the entire pharmacy services team for their trust and willingness to address this important issue. The Department acknowledged our pharmacy profession's important role in providing immunizations and today's news is indicative of the value we are providing to Kentucky patients. So, thank you for providing excellent care and highlighting how pharmacists are improving healthcare in Kentucky and beyond.

Professionally yours,

Ben Mudd, PharmD
Executive Director
Kentucky Pharmacists Association



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