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93.786 STATE PHARMACEUTICAL ASSISTANCE PROGRAMS

(SPAP(s))

FEDERAL AGENCY
CENTERS FOR MEDICARE AND MEDICAID SERVICES, DEPARTMENT OF HEALTH AND HUMAN SERVICES ADMINISTRATION

AUTHORIZATION
Medicare Prescription Drug, Improvement and Modernization Act of 2003, Section 1860D-23(d) of the Social Security Act as established by Public Law 108-173.

OBJECTIVES
To provide Federal funding for grants to States with State Pharmaceutical Assistance Programs (SPAPs) for the purpose of educating SPAP participants about Medicare Part D coverage. These funds may also be used to provide technical assistance, phone support, and counseling in order to help SPAP participants eligible for the Medicare Part D benefit select and enroll in Part D plans.

TYPES OF ASSISTANCE
Formula Grants.

USES AND USE RESTRICTIONS
Grants will be awarded to States in accordance with the requirements of 1860D-23 of the Act and 45 CFR Part 92 and in accordance with their application as approved by the Centers for Medicare and Medicaid Services (CMS).

Applicant Eligibility
States with approved applications for transitional grants for their State Pharmaceutical Assistance Programs, under Section 1860D-23 (d) of the Social Security Act. Excludes Commonwealths and Territories.

Beneficiary Eligibility
States with approved applications for transitional grants for their State Pharmaceutical Assistance Programs, under Section 1860D-23 (d) of the Social Security Act. Excludes Commonwealths and Territories.

Credentials/Documentation
Federal funds must go to a designated State Agency that will meet State requirements.

Preapplication Coordination
This program is excluded from coverage under E.O. 12372.

Application Procedure
Submission of grant application to CMS by August 9, 2004. States with SPAPs that qualify for the transitional grant will be notified of application approval and the amount of approval no later than September 30, 2004.

Award Procedure
Following approval of the grant application by CMS, an award will be issued to the State in the amount as determined by the number of Medicare beneficiaries enrolled in the program as of October 1, 2003.

Deadlines
Issue funding October 1, 2004.

Range of Approval/Disapproval Time
Three months.

Appeals
None.

Renewals
None.

Formula and Matching Requirements
This program has no matching requirements. The amount for each State is determined based on the number of Medicare beneficiaries enrolled in the program as of October 1, 2003.

Length and Time Phasing of Assistance
Project Period: 10/1/04 through 9/30/06. CMS will issue grant awards to the approved States annually at the beginning of FY 05 and FY 06.

Reports
Final financial reports are due to CMS in accordance with the timeframes established by CMS after the end of the project period.

Audits
Payment transactions may be audited by the Secretary or his/her agent.

Records
Financial records, supporting documents, statistical records, and all other records pertinent to the project shall be retained for at least 3 years or until resolution of any audit questions. Property records must be retained in accordance with CMS Grants Policy Statement requirements.

Account Identification
75-0516-0-1-551.

Obligations
FY 07 est. not available; FY 08 est. not available; and FY 09 est est. not available.

Range and Average of Financial Assistance
None.

PROGRAM ACCOMPLISHMENTS
This program was developed under the Medicare Modernization Act and initiated by Public Law 108-173. Authority to provide funding was for 2 years (FY 2005 and FY 2006). State Pharmaceutical Assistance Program awards were made according to the provisions of the statute with 21 States approved during 2005 for FY 2006.

REGULATIONS, GUIDELINES, AND LITERATURE
Regulations governing this program were authorized under Section 1860D-23 of the Social Security Act, as enacted under Public Law 108-173, were published on December 15, 2003.

Regional or Local Office
None.

Headquarters Office
Deborah Abshire, Center for Medicaid and State Operations, Division of Financial Management, 7500 Security Boulevard, Baltimore, MD 21224. Telephone: (410) 786-9291. E-mail: dabshire@cms.hhs.gov.

Web Site Address
http://www.cms.hhs.gov

RELATED PROGRAMS
None.

EXAMPLES OF FUNDED PROJECTS
None.

CRITERIA FOR SELECTING PROPOSALS
None.


General Services Administration
Office of Chief Acquisition Officer
Regulatory and Federal Assistance Division (VIR)