Q517--PHARMACY BENEFITS SERVICES | WICHITA |

QUESTIONS AND ANSWERS Q: Please clarify whether prescription drug ingredient costs reimbursed to participating retail pharmacies are considered pass-through costs or included in the 50% limitations on subcontracting calculation, and whether pharmacy dispensing fees are treated differently. A: This procurement is a services contract subject to the limitations on subcontracting requirements in VAAR 852.219-75. Prescription drug ingredient costs reimbursed to participating retail pharmacies are considered pass-through/direct reimbursement costs and are not considered service performance costs for purposes of the 50% subcontracting calculation. Pharmacy dispensing fees, however, are compensation for pharmacy services performed and are included in the limitations on subcontracting analysis unless performed by a similarly situated certified SDVOSB subcontractor. Offerors remain responsible for ensuring compliance with all applicable SBA and VA limitations on subcontracting requirements.