Integrated Community Pharmacy Services Agreement (ICPSA)

There are just over 1000 community pharmacy providers throughout Aotearoa, and each provider has entered into a contract with their local District Health Board for the provision of pharmacy services.

The Integrated Community Pharmacy Services Agreement (ICPSA) came into effect on 1 October 2018. It replaces the previous contract, Community Pharmacy Services Agreement 2012 (CPSA 12). This section contains key information about the new contract.  

Contract Structure

ICPSA is an evergreen contract, and includes a head agreement and three service schedules.

Head agreement
The head agreement (Parts A to E) covers background, service and quality requirements, general terms, payment and claiming terms, and definitions.

Schedule 1: Dispensing and professional advisory services

Dispensing and professional advisory services.

Schedule 2: Additional professional advisory services

DHBs want to recognise the clinical services pharmacists provide to patients that are not specifically linked to dispensing a medicine. This Schedule contains the Additional Professional Advisory Services payment. See the Payments section for more information.

Payments and procedures

Schedule 3: Population services

Schedule 3A – Nationally consistent services, which are:

• Opioid Substitution Treatment Services (3A.1)
• Aseptic Service (3A.2)
• Sterile Manufacturing Services (3A.3)
• Clozapine Services (3A.4)
• Influenza Immunisation Services (3A.5)

Schedule 3B - these are services for which there is a national service specification, but which DHBs may be able to locally commission following the change processes outlined in clauses B27 to B29 and are:

• Long Term Conditions Pharmacy Services (3B.1)
• Community Residential Care Pharmacy Services (3B.2)
• Age-Related Residential Care Pharmacy Services (3B.3)
• Special Foods Services (3B.4)
• Community Pharmacy Anticoagulation Monitoring Service (3B.5)
• Smoking Cessation Services (3B.6) (if relevant).

Schedule 3C - services specific to individual pharmacies.

National Annual Agreement Review 

The Integrated Community Pharmacy Services Agreement provides that, before 1 October each year, there will be a national review of the nationally-consistent parts and service schedules of the Agreement (as well as any Service Schedules in Schedule 3B that the Participants agree to consider as part of the review). It must be complete by July the following year so any changes can be adopted on 1 October, the anniversary of the contract.

The following diagram shows each step of the National Annual Agreement Review cycle.

What is the purpose of the review?

The function of the review is to consider the matters described in the Agreement, and to provide recommendations to the DHBs as required.

Who may participate in the Review?

District Health Boards, Ministry of Health, community pharmacy providers and/or their representatives.

What may be reviewed?

There will be a national review of the nationally-consistent parts and service schedules of the Agreement (as well as any Service Schedules in Schedule 3B that the Participants agree to consider as part of the review). It may also include a review of cost pressures and funding adjustments.

Terms of Reference

Here is a link to the National Annual Agreement Review Terms of Reference.

National Annual Agreement Review 2020-2021

National Annual Agreement Review 2019-2020

National Annual Agreement Review 2018-2019

All contract-holders have the opportunity to represent themselves, or be represented by a person or organisation other than the five existing sector representatives. 

Please send any queries to us at:

Email: pharmacy@tas.health.nz

Schedule 1 Review

The Integrated Community Pharmacy Services Agreement (clause B.26) requires DHBs to undertake a review of  the services described in Schedule 1 of the Agreement, to determine whether, and if so how, the Dispensing Services and Professional Advisory Services described in Schedule 1 could be provided by different entities.

ICPSA Clause B26 

The Schedule 1 Review has been incorporated into the Services and Funding Model Review, which DHBs commissioned in September 2020.

More information about the Services and Funding Model Review

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