Fifth Community Pharmacy Agreement - Governance Arrangements

Page last updated: 10 November 2014

The five year Sixth Community Pharmacy Agreement (6CPA) between the Commonwealth of Australia and the Pharmacy Guild of Australia commenced on 1 July 2015 and is a key element of the PBS Access and Sustainability Package, announced in the 2015-16 Budget. Further information about the 6CPA can be found on the PBS website.


The Fifth Community Pharmacy Agreement has enhanced governance arrangements including revised arrangements for the Agreement Consultative Committee and the establishment of the Programs Reference Group.

Agreement Consultative Committee

Role

The Agreement Consultative Committee operates under clause 5 of the Fifth Community Pharmacy Agreement and is the mechanism for consultation between the Commonwealth of Australia and the Pharmacy Guild of Australia on implementation of all aspects of the Fifth Community Pharmacy Agreement, including issues relating to Approved Pharmacists’ payments, the Community Service Obligation Funding Pool (CSO), Location Rules, Electronic Prescriptions, and Programs, as defined under the Fifth Community Pharmacy Agreement.

It oversees Programs, including, but not limited to, their design, business rules, timelines, outcomes and expenditure; and it may seek advice from the Programs Reference Group (PRG) on the policy dimensions of Programs and their evaluations.

Membership


The Committee has eight (8) members comprising four (4) members from the Pharmacy Guild of Australia and four (4) members from the Department of Health and Ageing.

It is at the discretion of the Department and the Guild to nominate their respective members or replacement Committee members as required. The Department’s nominations are based on position held in the Department, specifically:
  • First Assistant Secretary, Pharmaceutical Benefits Division
  • Assistant Secretary, Pharmaceutical Access Branch, and Principal Pharmacy Advisor, Pharmaceutical Benefits Division
  • Assistant Secretary, Pharmaceutical Policy Branch, Pharmaceutical Benefits Division
  • Director, Program Services Section, Pharmaceutical Access Branch, Pharmaceutical Benefits Division

Agreement Consultative Committee Terms of Reference

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Programs Reference Group

Role

The Programs Reference Group (PRG) operates under clause 6 of the Fifth Community Pharmacy Agreement. Under the Fifth Agreement, the PRG provides advice to the Minister and the Agreement Consultative Committee (ACC), when such advice is requested, on the policy dimensions of new and continuing programs, including, but not limited to, the scope, objectives, target groups (where relevant) and evaluation requirements, taking into account:
    • the findings of any evaluations of programs under the Fourth Community Pharmacy Agreement and the findings of any relevant research, particularly research conducted under the Fourth Community Pharmacy Agreement Research and Development program;
    • the allocation of funds to the programs under the Fifth Community Pharmacy Agreement.
The PRG may also undertake any other function that may be agreed between the Minister or the Department of Health and Ageing and the Pharmacy Guild of Australia.

Meetings

The PRG meets three times per year. Summary statements from each meeting are provided below.

Membership

The PRG has up to 13 members, consisting of:
  • one member of the ACC appointed by, and representing the Department (chair);
  • one member of the ACC appointed by, and representing the Pharmacy Guild of Australia;
  • one member appointed by the Minister to represent the Pharmaceutical Society of Australia;
  • one member appointed by the Minister to represent the Society of Hospital Pharmacists of Australia;
  • three members appointed by the Minister, each having expertise in one of the following areas
- rural pharmacy (practising rural pharmacist)
- health economics
- program evaluation;
  • up to six members appointed by the Minister from an organisation representing any of the following areas:
    - community pharmacy (practising approved pharmacist)
    - pharmacist credentialing
    - consumers
    - Aboriginal and Torres Strait Islander primary health care
    - general practice
    - allied health/nursing.
Members are appointed by the Minister on the basis of their individual skills, knowledge and expertise and hold their appointment at the discretion of Minister. Ministerial appointments are for the duration of the Fifth Agreement, until 30 June 2015.

The current membership is:

PositionName
Department of Health and AgeingMs Felicity McNeill (Chair)
Pharmacy Guild of AustraliaMs Toni Riley
Pharmaceutical Society of AustraliaDr Alison Roberts
Society of Hospital Pharmacists of AustraliaMs Sue Kirsa
3 members appointed by the Minister and having expertise in:
    Rural pharmacy (a practising rural pharmacist)
Mr Bruce Elliot
    Health economics
Dr Agnes Vitry
    Program evaluation
Ass. Prof Claire Harris
Up to 6 members appointed by the Minister from an organisation representing:
    Community pharmacy (a practising approved pharmacist)
Dr Geoff March
    Pharmacist credentialing
Dr Shane Jackson
    Consumers
Ms Kate Moore
    Aboriginal and Torres Strait Islander primary health care
TBA
    General practice
A/Prof John Gullotta AM
    Allied health/nursing
Ms Julianne Bryce

Terms of Reference

The PRG’s terms of reference are:
      1. The Programs Reference Group (PRG) is responsible to the Agreement Consultative Committee (ACC) and the Minister for Health and Ageing for providing timely advice, when such advice is requested, on the policy dimensions of new and continuing Programs under the Fifth Agreement.
      2. The PRG will seek to provide a consensus view where possible, when providing any advice requested.
      3. Advice to be provided includes, but is not limited to, the scope, objectives, target groups (where relevant) and evaluation requirements of Programs, taking into account:
        1. the findings of any evaluations of programs under the Fourth Community Pharmacy Agreement and the findings of any relevant research, particularly research conducted under the Fourth Community Pharmacy Agreement Research and Development program;
        2. the allocation of Funds to the Programs under this Agreement.
      4. The PRG will also undertake any other function that may be agreed between the Minister or the Department and the Guild, as covered under Clause 6.1(b) of the Fifth Community Pharmacy Agreement. This includes advising the ACC on broader integration of pharmacy Programs into the wider health arena, including ways to increase collaboration with other health providers and promote Program uptake.
      5. The PRG may establish a sub-committee to enable consideration of particular matters referred to it by the ACC or the Minister, when expressly requested by the ACC or Minister to do so.

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The Agreement Consultative Committee Terms of Reference are:

Agreement Consultative Committee Terms of Reference (PDF 17 KB)

The Agreement Consultative Committee (ACC) will provide an ongoing consultation mechanism for all matters pertaining to the implementation of the Fifth Community Pharmacy Agreement (Fifth Agreement). In this context, the ACC’s role includes but is not limited to the following:
  1. Developing and implementing a work program for the ACC, addressing agreed and emerging priorities relating to the Fifth Agreement;
  2. Assisting to ensure the transparent, contestable, merit based allocation of Funds within an accountability framework, as covered under Clauses 5.2 and 16(c) of the Fifth Agreement;
  3. Providing advice on issues pertaining to remuneration arrangements, as covered under Part 2 and Part 3 of the Fifth Agreement;
  4. Overseeing the introduction of the Electronic Prescription Fee and conducting compliance monitoring associated with electronic prescriptions, as per clause 5.1a and clause 12.14 of the Fifth Agreement. As a result of monitoring under clause 12.14, the ACC may make recommendations to the Minister regarding possible changes to the clauses of this Agreement relating to the electronic prescription fees;
  5. Considering and advising on administrative issues relating to the Community Services Obligation Funding Pool;
  6. Considering issues relating to the pharmacy Location Rules, and advising the Minister on whether an amendment to the location rules is required, as covered under clause 23.3 of the Fifth Agreement;
  7. Overseeing Programs as covered under clauses 19 and 20 of the Fifth Agreement. This includes:
      1. setting the objectives of the Programs and timelines for their implementation, as per clause 5.1b of the Fifth Agreement;
      2. the design of Programs and ensuring that their implementation is consistent with the terms of the Fifth Agreement, and the Programs agreed policy intent;
      3. ensuring that business rules established to support Program delivery arrangements are consistent with the terms of the Fifth Agreement, and the Programs’ agreed policy intent;
      4. monitoring outcomes and expenditure of Programs under the Fifth Agreement;
      5. requesting advice as required from the Program Reference Group (PRG), relating to the policy dimensions of Programs funded under the Fifth Agreement and their evaluation as per clause 5.1c of the Fifth Agreement;
      6. providing advice to the PRG on its work program and priorities; and
      7. formally communicating with the PRG on progress with implementation reflecting particularly on PRG advice and progress relating to the overall implementation of Programs under the Fifth Agreement.
  8. Taking into account the findings of reviews and evaluations undertaken under the Fourth Agreement, and implementing or assisting in the implementation of those findings, as covered under Clause 28 of the Fifth Agreement. The Ministers advice should be taken into account, where this advice is provided.
  9. Receive and consider advice from the Program Reference Group and act on it where considered appropriate.
  10. Any other activities or functions relating to the Fifth Community Pharmacy Agreement, as agreed between the Department and the Guild, or at the request of the Minister.
Reports and outcomes of meetings may be reported to the Minister for Health and Ageing on an as needs basis, or as the ACC considers it appropriate for an issue to be referred that would warrant the Minister’s consideration. The Department would undertake responsibility for providing such reports and information, in consultation with the ACC.

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