MTF-DM Enrollment Begins: Key Details for Pharmaceutical Manufacturers 

MTF-DM Enrollment Begins: Key Details for Pharmaceutical Manufacturers 

Background: Medicare Drug Price Negotiation Program 

The Inflation Reduction Act (IRA) has established a new Medicare Drug Price Negotiation Program(DPNP), aimed at reducing prescription drug costs for Medicare beneficiaries. Under this program, the Centers for Medicare & Medicaid Services (CMS) is empowered to negotiate prices for certain high-expenditure, single-source drugs that do not have generic or biosimilar competition. As a part of the implementation, CMS selected the first 10 drugs to be affected by the program starting in 2026, with a total of 100 drugs anticipated to undergo price negotiation over the next five years. 

Maximum Fair Prices and the MTF Platform 

The results of these negotiations will be known as the Maximum Fair Price (MFP) for each selected drug. These prices will take effect on January 1, 2026. Since dispensing pharmacies may pay more than the MFP, CMS has developed the Medicare Transaction Facilitator (MTF) platform. This system is designed to allow pharmacies to recover excess amounts paid above the MFP through direct refunds from drug manufacturers. 

MTF Modules Overview 

The MTF platform is comprised of two key modules: 

MTF Data Module (MTF-DM): 

Managed by DCCA, this module is responsible for handling data transmission and claims matching processes between pharmacies and manufacturers. 

MTF Payment Module (MTF-PM): 

Administered by NGS, this module facilitates financial transactions and payment processing for applicable refunds. Unlike the MTF-DM, participation in the MTF-PM is optional for manufacturers. 

Enrollment Requirements and Deadlines 

To support the negotiation program and enable refund mechanisms, U.S. pharmaceutical manufacturers of selected drugs are required to enroll in the MTF Data Module (MTF-DM). 

Important dates and obligations 

Enrollment Start Date: 

• Enrollment via the CMS MTF enrollment module began on June 9, 2025. 

Deadline for Agreement Signing: 

• Manufacturers of the first 10 negotiated drugs must electronically sign final MTF agreements no later than June 30, 2025. 

Effective Date for MFPs: 

• Negotiated Maximum Fair Prices for the first set of ten drugs will take effect on January 1, 2026. 

NCODA’s Commitment 

NCODA remains dedicated to supporting partners and pharmacy practices in understanding and responding to major legislative developments. As the DPNP program advances and MFPs become active, NCODA will continue providing updates and strategic insights to help stakeholders comply with new federal requirements and optimize operational readiness.