NEW JERSEY – Governor Murphy signed legislation sponsored by Senator Holly Schepisi (R-39) that would allow oncology practitioners to refer patients to in-house pharmacies.
Without Senator Schepisi’s bill, a new legal interpretation by the New Jersey Board of Pharmacy would end this commonsense practice.
“There is a vital connection between oncology practitioners and in-house pharmacies that is essential for ensuring patients receive seamless and consistent care,” said Schepisi. “When the Board of Pharmacy changed its interpretation of existing law, it jeopardized the continuity of care that many cancer patients have relied on for years. Fortunately, with the Governor’s signature, we have created a clear exemption from the so-called ‘Codey Law,’ allowing oncologists to continue referring patients to in-house pharmacies.”
Under the “Codey Law,” health care practitioners are prohibited, with certain exceptions, from referring patients to any health care service in which they have a financial interest, such as an in-house pharmacy.
In years past, the Board of Pharmacy granted specialty permits for certain in-house pharmacies, despite the Codey Law. However, the Pharmacy Board recently reversed its interpretation of the law and took the position that all health care practitioners are prohibited from integrating in-house pharmacies.
Senator Schepisi’s bipartisan bill, A-4447/S-3242, would amend the Codey Law to establish a clear exemption that explicitly applies to health care practitioners who operate in-house pharmacies that are integrated with an oncology practice. Strict criteria set forth in the bill for this narrow exception will continue to protect against conflicts of interest, while preserving sensible health care practices for the benefit of cancer patients.
