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State rep. asks Legislative Auditor to review OGB & Caremark PCS Health contract

Rep. Mike Johnson (R-Dist. 27) believes action taken to enter in contract “illegal,” “should be voided”

State Rep. Mike Johnson (R-District 27) has written a letter to Legislative Auditor Michael Waguespack and copied Attorney General Jeff Landry, urging them to take action to void a contract between the Office of Group Benefits and Caremark PCS Health - the company CVS Pharmacy operates under.

The letter was sent Jan. 3, 2023, to urge Waguespack to investigate the contract that was executed over the unanimous opposition of the Joint Legislative Committee on the Budget. Waguespack is asked to report his findings and recommendations to the legislature and Landry. Rep. Johnson believes that the move to enter into the contract, despite unanimous opposition, “is illegal and contrary to the oversight responsibilities of the Louisiana Legislature and should be voided.”

“Recently, several independent pharmacists filed suit to block the above-mentioned contract. Unfortunately, the 19th JDC rejected their arguments and the matter is now on appeal. I do not believe the Louisiana Legislature, the Beneficiaries, or the citizens of Louisiana were parties by representation in this lawsuit. I ask that you confer with the Attorney General and refer this matter to his office to initiate actions and seek the appropriate legal remedies on behalf of Louisiana citizens.” State Rep. Mike Johnson (R-District 27)

The contract, which went into effect on Jan. 1, 2023, impacts how more than 200,000 state employees and retirees get their prescriptions. Lawmakers and pharmacists, especially in rural areas, have argued the contract will financially impact independent pharmacies around the state, causing them to lose clients due to what they call inadequate reimbursement rates in the new contract

Reporter: Brooke Buford


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