Average Acquisition Cost (AAC) Reimbursement

The purpose of the Average Acquisition Cost (AAC) Program is to establish a transparent, timely and accurate pharmacy reimbursement system based on actual acquisition cost (invoice) data and a statistically validated cost of dispensing survey, and do so with all stakeholder involvement and support. CMS approved implementation of the AAC/COD reimbursement method effective September 22, 2010.

• AAC Website - Link to the Alabama Medicaid Pharmacy Average Acquisition Cost (AAC) / Myers and Stauffer web page - 8/24/16

• Issue Summary - 5/10
• ALERT - Average Acquisition Cost (AAC) Reimbursement for Drug Ingredient Cost - 9/17/10
• Article - CMS approves implementation of AAC
• Approved State Plan Amendment - Updated 9/17/10
• Administrative Code Change - Updated 9/17/10
• Memo - Manufacturers urged to report WAC to First Data Bank -  8/13/10
• Cost of Dispensing Report - Issued 1/6/10
• WAC Reimbursement Modification
  • Click here for the 9/26/19 presentation, "Medicaid Pharmacy Reimbursement"
  • Click here for a list of drugs with no current AAC rate
  • Questions and Answers from the Medicaid Pharmacy Reimbursement Stakeholder Meeting