The Illinois Department of Healthcare and Family Services (HFS) will begin issuing an add-on payment to providers who dispense highly-effective birth control methods through the 340B federal drug pricing program.
Effective with dates of service on or after July 1, 2012, HFS will issue a $20 dispensing fee add-on. In order to receive the add-on, providers must identify 340B purchased drugs by reporting modifier "UD" in conjunction with the appropriate procedure code and actual acquisition cost for the birth control method. Providers should not add the dispensing fee to their cost. HFS will add the $20 dispensing fee to the provider's final reimbursement.
HFS is finalizing the programming necessary to pay the dispensing fee. Once the programming is completed, HFS will process a separate for any 340B claims properly billed and adjudicated retroactive to July 1, 2012.
Corresponding provider notices for local health departments, nurses and school-based/linked health centers were also posted regarding the 340B dispensing fee for highly-effective birth control.
