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Y 4. Ag 4/2: D 84/8

DRUG UTILIZATION REVIEW: IS HCFA FOLLOWING
CONGRESSIONAL INTENT?

HEARING

BEFORE THE

SUBCOMMITTEE ON HUMAN SERVICES

OF THE

SELECT COMMITTEE ON AGING
HOUSE OF REPRESENTATIVES

ONE HUNDRED FIRST CONGRESS

FIRST SESSION

AUGUST 1, 1989

Comm. Pub. No. 101-731

Printed for the use of the Select Committee on Aging

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For sale by the Superintendent of Documents, Congressional Sales Office
U.S. Government Printing Office, Washington, DC 20402

GOVT

DOCUMENTS

SELECT COMMITTEE ON AGING

EDWARD R. ROYBAL, California, Chairman

THOMAS J. DOWNEY, New York
JAMES J. FLORIO, New Jersey
HAROLD E. FORD, Tennessee
WILLIAM J. HUGHES, New Jersey
MARILYN LLOYD, Tennessee
MARY ROSE OAKAR, Ohio
THOMAS A. LUKEN, Ohio
BEVERLY B. BYRON, Maryland
HENRY A. WAXMAN, California
MIKE SYNAR, Oklahoma

BUTLER DERRICK, South Carolina
BRUCE F. VENTO, Minnesota
BARNEY FRANK, Massachusetts
TOM LANTOS, California
RON WYDEN, Oregon

GEO. W. CROCKETT, JR., Michigan
IKE SKELTON, Missouri
DENNIS M. HERTEL, Michigan
ROBERT A. BORSKI, Pennsylvania
BEN ERDREICH, Alabama
NORMAN SISISKY, Virginia

ROBERT E. WISE, JR., West Virginia
BILL RICHARDSON, New Mexico
HAROLD L. VOLKMER, Missouri
BART GORDON, Tennessee

THOMAS J. MANTON, New York
RICHARD H. STALLINGS, Idaho

JAMES MCCLURE CLARKE, North Carolina

JOSEPH P. KENNEDY II, Massachusetts

LOUISE M. SLAUGHTER, New York
JAMES H. BILBRAY, Nevada

JIM JONTZ, Indiana

JERRY F. COSTELLO, Illinois

HARLEY O. STAGGERS, JR., West Virginia

FRANK PALLONE, JR., New Jersey

JOLENE UNSOELD, Washington

PETER A. DEFAZIO, Oregon

JOHN LEWIS, Georgia

MATTHEW J. RINALDO, New Jersey,
T3Ranking Minority Member

JOHN PAUL HAMMERSCHMIDT, Arkansas
RALPH REGULA, Ohio

NORMAN D. SHUMWAY, California
OLYMPIA J. SNOWE, Maine
THOMAS J. TAUKE, Iowa
JIM COURTER, New Jersey

CLAUDINE SCHNEIDER, Rhode Island
THOMAS J. RIDGE, Pennsylvania
CHRISTOPHER H. SMITH, New Jersey
SHERWOOD L. BOEHLERT, New York
JIM SAXTON, New Jersey

HELEN DELICH BENTLEY, Maryland
JIM LIGHTFOOT, Iowa

HARRIS W. FAWELL, Illinois

JAN MEYERS, Kansas

BEN BLAZ, Guam

PAUL B. HENRY, Michigan

BILL SCHUETTE, Michigan

FLOYD SPENCE, South Carolina

WILLIAM F. CLINGER, JR., Pennsylvania
CONSTANCE A. MORELLA, Maryland
PATRICIA F. SAIKI, Hawaii

JOHN EDWARD PORTER, Illinois
JOHN J. DUNCAN, JR., Tennessee
CLIFF STEARNS, Florida

CRAIG T. JAMES, Florida

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Appendix 4. Letter to the Hon. Charles A. Bowsher, Comptroller General of
the United States, U.S General Accounting Office, from Chairman Downey
and Representative Snowe, Ranking Minority Member......
Appendix 5. "Benefits Analysis of the Tripharm System," a report prepared
for TRIMIS Program Office, Bethesda, MD..

236

238

361

Mark L. Braunstein, M.D., President and Chief Operating Officer, Nation-

al Data Corportation, Atlanta, GA, letter and attachment

Paul G. Cano, Director, Government Affairs, Society of Consultant Prar-
macists, Arlington, VA, news articles....

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DRUG UTILIZATION REVIEW: IS HCFA
FOLLOWING CONGRESSIONAL INTENT?

TUESDAY, AUGUST 1, 1989

U.S. HOUSE OF REPRESENTATIVES,

SELECT COMMITTEE ON AGING, SUBCOMMITTEE ON HUMAN SERVICES, Washington, DC.

The subcommittee met, pursuant to notice, at 9:30 a.m., in Room 2226, Rayburn House Office Building, Hon. Thomas J. Downey (chairman of the subcommittee) presiding.

Members present: Representatives Downey, Hughes, Slaughter, Pallone, Snowe, Morella and Saiki.

Staff present: John Olinger, Majority Staff Director; Moya Benoit, Majority Research Assistant; Steven Stern, Majority Staff Assistant; Natalie Cannon, Minority Staff Director; Daryce Minzner, Minority Research Assistant; Ron Lambson, Fellow; and Grace Park, Minority Staff Assistant.

OPENING STATEMENT OF CHAIRMAN THOMAS J. DOWNEY

Mr. DOWNEY. The subcommittee will come to order.

I have an opening statement and before I make that, before Senator Wilson arrives, I just want to make an announcement that we are switching panel 3 with panel 2. Please make note of that.

I am happy to convene this hearing and to welcome our distinguished witnesses. This hearing is the second in a series of hearings we have held this year on the subject of drugs and the elderly. Our first hearing, held on April 19th, focused attention on the growing problem of drug misuse among the elderly, the need for normal FDA guidelines in the testing of drugs upon the elderly and the impact of this problem on community-based care.

We plan to focus today's hearing solely on the recently released GAO report, entitled, "HCFA's Proposed Drug Utilization Review System Ignores Quality of Care Issues" and whether or not the Health Care Financing Administration plans for the Drug Utilization Review are the best possible ones for a program of this magnitude.

We recognize that we are entering new territory by holding a hearing on this subject and we recognize that the scope of what we are trying to accomplish, a comprehensive DUR, is larger than anything that has ever been tried before, and we also recognize that there are great expectations, but there are equally great and legitimate concerns. It is our responsibility to address them.

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