Audit of the State Office of Pharmacy Services (March 20, 2025)
March 20, 2025 · State Office of Pharmacy Services · Read the full official report on mass.gov ↗
Published March 20, 2025 Audit covers July 1, 2021 – June 30, 2023 Under Diana DiZoglio · 2023–present
source
“SOPS did not establish or implement policies, procedures, or related internal controls to ensure that it submitted required reports to the House and Senate Committees on Ways and Means.”
Read the plain-English breakdown
This is a state performance audit of the State Office of Pharmacy Services, covering July 1, 2021 through June 30, 2023.
“In accordance with Section 12 of Chapter 11 of the Massachusetts General Laws, the Office of the State Auditor has conducted a performance audit of the State Office of Pharmacy Services (SOPS) during the period July 1, 2021 through June 30, 2023.”
Auditors checked whether SOPS had proper pharmacy procedures, followed contract and safety rules, and sent required reports to lawmakers.
“The purpose of our audit was to determine the following:”
The missing reports matter because they are required by law and could help other public agencies learn about possible drug cost savings.
“If SOPS does not submit these reports to the Legislature as required, then it is failing to comply with the law.”
For ordinary residents, the key issue is whether state agencies are using pharmacy services that may save public money.
“Also, agencies in the Commonwealth that could be served by SOPS may not know that they have access to pharmaceutical cost savings through SOPS.”
The audit’s bottom line is that SOPS needs a clear process to make sure required annual reports are filed, complete, and signed.
“SOPS should establish and implement the necessary policies, procedures, and related internal controls to ensure that it annually submits required reports to the House and Senate Committees on Ways and Means and that the reports contain all required information and are signed by the executive director.”
SOPS says it will create an internal policy, and the auditor plans to check back in about six months.
“As part of our post-audit review process, we will follow up on this matter in approximately six months.”
This is significant because the same reporting issue had been raised before, and the required reports still were not submitted during this audit period.
“Furthermore, we determined that SOPS did not submit both required reports during the audit period.”
“Internal controls” means the written steps, checks, and assigned responsibilities that make sure required reports actually get sent correctly and on time.
“Despite the recommendation in a previous audit by the Office of the State Auditor, issued in 2014, SOPS did not establish or implement policies, procedures, or related internal controls to ensure that it submitted required reports to the House and Senate Committees on Ways and Means and that those reports were signed by the executive director.”
What the Auditor checked
- Complied Did SOPS have policies and procedures in place to standardize operations and monitor all prescription functions at facilities across the Commonwealth?
- Complied Did SOPS comply with its internal Policy 2.08 Vendor Contract Overhead Fees?
- Complied Did SOPS comply with General Chapter 797 from the United States Pharmacopeia safety standards and its own Policies 3.01 through 3.04?
- Did not comply In response to our previous recommendation (from Audit No. 2012-0293-3S) did SOPS establish and implement necessary policies, procedures, and related internal controls to ensure that SOPS appropriately sent required reports to the House and Senate Committees on Ways and Means and that the reports were signed by the executive director, as required in Chapter 24 of the Acts of 2021 and Chapter 126 of the Acts of 2022?
What the Auditor found
Why it matters: SOPS failed to comply with reporting laws, and eligible Commonwealth agencies may not know they can access pharmaceutical cost savings through SOPS.
Standard: Chapter 24 of the Acts of 2021 and Chapter 126 of the Acts of 2022 required SOPS to submit reports to the House and Senate Committees on Ways and Means. ( Chapter 24 of the Acts of 2021; Chapter 126 of the Acts of 2022 )
1 recommendation
- SOPS should establish and implement policies, procedures, and related internal controls to ensure annual required legislative reports are submitted, contain all required information, and are signed by the executive director.agency: agreed
Agency response & Auditor reply
Agency: "[The Department of Public Health (DPH)] and SOPS recognize and agree with this finding and the Auditor’s recommendation."
Auditor: "Based on its response, SOPS is taking measures to address our concerns regarding this matter."
Prior findings revisited
"Despite the recommendation in a previous audit by the Office of the State Auditor, issued in 2014, SOPS did not establish or implement policies, procedures, or related internal controls to ensure that it submitted required reports to the House and Senate Committees on Ways and Means and that those reports were signed by the executive director."