SCPC Releases Statement in Support of Government Accountability Office (GAO) Report on the Inflation Reduction Act

DATE: April 28, 2025

The Senior Care Pharmacy Coalition (SCPC), the leading national voice for the long-term care (LTC) pharmacy community, issued the following statement regarding the newly released Government Accountability Office (GAO) report on the Inflation Reduction Act (IRA).  

“SCPC has repeatedly warned about the impact of the Inflation Reduction Act’s (IRA) mandatory Medicare drug price negotiations on LTC pharmacies and the millions of vulnerable seniors they serve. We are glad the Government Accountability Office (GAO) is examining how these policies are affecting pharmacies, particularly LTC pharmacies, which already operate under a broken reimbursement model that often requires them to dispense many of the most commonly used medications at a loss. This problem will worsen to unsustainable levels when the first round of negotiated drug prices takes effect in January 2026.

“While the Centers for Medicare and Medicaid Services (CMS) plans to closely monitor the market after implementation, LTC pharmacies cannot afford to wait. Delayed mitigation—and a failure to address this challenge now—could force more than 60% of SCPC’s member LTC pharmacies to close, leaving seniors without access to essential medications and round-the-clock pharmacy services. We urge Congress and CMS to work together to swiftly address the broken payment model this year. They must adopt critical reforms, including the LTC Pharmacy Fix—a $30 LTC pharmacy supply fee on MFP drugs—to ensure that LTC pharmacies can continue serving seniors in nursing homes, assisted living, and other long-term care settings with quality care and essential services.”  

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Statement should be attributed to Alan Rosenbloom, President and CEO of SCPC.