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HHS announces Part D reimbursement program

Physician Practice Advisor, February 23, 2006

The Department of Health and Human Services (HHS) will implement a demonstration program to reimburse states for the difference between the amount they received from Medicare drug plans and the amount they paid for drug coverage for people dually eligible for Medicare and Medicaid, according to a HHS press release.

The program will also reimburse the participants-44 states and the District of Columbia-for administrative costs they incurred during the coordination of the drug benefit.

"The governors of these states have worked closely with us, making them strong partners in helping to make sure that every beneficiary who enrolled in a drug plan gets their coverage. These 45 demonstrations for reimbursement will help complete the transition to the new Medicare prescription drug program and are a sign that the system is improving," HHS Secretary Mike Leavitt said in the press release.

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