OWCP Starts Reining in Compound-Drug Spending

Spending on compound drugs within the Federal Employees’ Compensation Act program has plummeted by 90% — from $20 million a month down to $2 million a month — after a preauthorization requirement was put in place last year. But the program still has a long way to go in controlling drug costs, according to a May 23 report from the Department of Labor inspector general’s office. For example, the Office of Workers’ Compensation Programs, which administers the FECA program, has authority to change the amount paid for drugs based on a percentage of a drug’s ave...