Compounding Regulations for North Carolina Veterinary Practices

IMPORTANT NOTICE FOR NORTH CAROLINA-BASED VETERINARY PRACTICES: The ability to add handling fees to patient-specific compounded medications through the Covetrus Platform is being discontinued in North Carolina.

Please read on to learn why this adjustment is being made, how this may impact your practice, and the next steps Covetrus is taking. 

Why is this changing?  

Current North Carolina statutes do not allow for the resale of compounded prescription products by a third party, including veterinary products. The Board of Pharmacy’s interpretation is that when a veterinary practice assesses a service or other fees to these products, this is deemed a resale and not allowed under these rules. This decision affects any pharmacy that offers compounded products through veterinary clinic storefronts, and we have been advised that other veterinary-focused pharmacies must discontinue this practice as well.
 

Will this impact your practice? 

If you currently use the Covetrus Platform to prescribe patient-specific compounded medications for your clients, this will impact your ability to add any service or handling fees to these transactions.   

This change only affects the purchase of patient-specific compounded products through the Platform.  Commercial products, medications, preventatives, and diets are not affected.  
 

What is the next step? 

To minimize impact on your practice, a credit card processing fee will continue to be charged. This will be set at 3%, allowing your practice to recoup the expense of credit card transaction fees at a rate consistent with industry averages for such charges. 

This change will eliminate the ability to charge handling or service fees that could be construed as resale of patient-specific compounded products. From October 2, 2020, where the label “handling” is shown on the Platform, in relation to patient-specific compounded products, this will represent only a 3% credit card transaction fee. No action on your part is required at this time. This change will be implemented without interruption of Covetrus Platform services. 


We will continue to work toward more comprehensive solutions to the overall functionality of the 
Covetrus Platform in 2021, to facilitate efficient conduct of your business as well as the health of your veterinary practice and patients. We will keep you updated as further improvements are made.

If you have any questions about this change, please contact your Covetrus Territory Manager.  For help identifying and contacting your Territory Manager, call our Practice Support Team at (888) 280-2221.