AMCP Conflict of Interest and Disclosure Policy
AMCP follows a strict conflict of interest and disclosure policy.
2.41 Disclosure of Potential Conflicts of Interest and Bias
(Est. Jan 1994; Rev. Oct 1996; Rev. Jan 1997; Rev. Jan 2000; Edited Nov 2001; Rev. Apr 2005; Rev. Feb 2008; Rev. Mar 2017)
The Academy of Managed Care Pharmacy (“AMCP”) accords special importance to its conflict of interest policy for assuring the integrity and hence the confidence of its membership in the deliberations and decisions of its directors, officers, and members of committees (collectively, “Covered Officials”). Each Covered Official has an affirmative obligation to act at all times in the best interests of AMCP and owes a duty of loyalty to AMCP, which requires the Covered Official, when acting within his or her capacity as a Covered Official, to subordinate personal, business, third-party, and other interests to AMCP’s welfare and best interest.
This policy addresses the above issues by examining the question of potential sources of bias and conflict of interest in the activities of the Board and Academy committees.
Defining "Bias" and "Conflict of Interest”
- Bias - The question of potential sources of "bias" ordinarily relates to views or positions taken that are largely intellectually motivated or that arise from the close identification or association of an individual with a particular point of view or the positions or perspectives of a particular group. Such potential sources of bias are not necessarily disqualifying. Indeed, it often is necessary, in order to ensure that a committee or the Board is fully competent, to have the committees and the Board comprised in such a way as to represent a balance of potentially biasing backgrounds or professional or organizational perspectives.
- Conflict of Interest - It is essential, however, that the work of committees and the Board not be compromised by any significant conflict of interest, or in some circumstances the appearance of a significant conflict of interest, on the part of any Covered Official. A “conflict of interest” may arise when a Covered Official has an existing or potential financial or other material interest which impairs or might appear to impair the individual's objectivity or independence in the discharge of responsibilities and duties to AMCP.
Each Covered Official shall disclose any and all facts that may be construed as a potential source of disqualifying bias or a conflict of interest whenever such actual or potential disqualifying bias or conflict arises.
In addition, on an annual basis, each Covered Official (other than an individual who is a Covered Official solely by reason of serving as a committee member) shall complete and sign a Statement of Disclosure form and submit it to the designated reviewing body or official as directed on the form. Any new
Covered Official (other than an individual who is a Covered Official solely by reason of serving as a committee member) shall also complete and sign a Statement of Disclosure form upon his or her election or appointment. Additionally, any director, officer or committee member candidate shall be notified of this policy in advance of their application to serve as a director, officer or committee member.
Process and Remedy
The Board or its designated reviewing body or official will review submitted disclosures, determine whether or not a conflict of interest or a disqualifying bias exists, and determine whether or not such conflict materially and adversely affects AMCP’s interests. If the reviewing body or official determines that an actual or potential conflict of interest or disqualifying bias exists, the reviewing body or official shall also determine an appropriate remedy. Such remedy may include, for example:
i. Waiver of the conflict of interest or bias as unlikely to affect the Covered Official’s ability to act in the best interest of AMCP;
ii. Recusal of the conflicted Covered Official from participating in certain matters pending before AMCP, the Board, any of its committees, or other AMCP body; or
iii. Resignation or separation of the conflicted Covered Official from his or her position with AMCP (subject to the terms of any pertinent employment agreement).
A Covered Official whose potential conflict or disqualifying bias is under review may not debate, vote, or otherwise participate in such determination except to disclose material facts and to respond to questions, and shall further abstain from participating in any AMCP matter affecting the interest under review pending a determination from the reviewing body or official.
All disclosures, determinations, and actions of the Board or its designated reviewing body or official made pursuant to this policy shall be properly documented in meeting minutes or other appropriate records of AMCP.
The Board may delegate its authority to review and remedy potential disqualifying biases or conflicts of interest to one or more committees of disinterested board members or to one or more disinterested AMCP employees. Such committee or individual shall have access to advice of AMCP legal counsel as necessary in carrying out the delegated responsibilities under this policy. Such committee or individual shall inform the Board of its determination and recommended action. The Board shall retain the right to modify or reverse such determination and action and shall retain the ultimate enforcement authority with respect to the interpretation and application of this policy.
The following examples are provided as an aid to define and identify possible disqualifying biases or conflicts of interest but are not intended to be a comprehensive list of what may constitute a disqualifying bias or conflict of interest.
Economic Impact of AMCP Actions –
- Example 1: A Covered Official, or others with whom the Covered Official is closely associated (e.g., an employer, or a close relative, including a spouse, child, or parent), stands to benefit financially from an AMCP transaction or other action (including a policy recommendation or similar action). Assuming the financial benefit is substantial and material, the Covered Official would generally be unable to act in the best interests of AMCP in connection with the transaction or other AMCP action; the Covered Official should be recused from any deliberation or voting regarding this action, but may be asked to disclose material facts and respond to questions.
- Example 2: As in Example 1, a Covered Official, or others with whom the Covered Official is closely associated (e.g., an employer, or a close relative, including a spouse, child, or parent), stands to benefit financially from an AMCP transaction or other action. However, assuming that the financial benefit is immaterial or indirect and similar to that which would be experienced by other similarly situated persons or enterprises in the industry at large, the Covered Official may be considered to have a bias rather than a conflict. If the bias is determined not to impact the Covered Official’s ability to act in the best interests of AMCP, it will not be disqualifying.
Public Statements or Positions –
- Example 3: A Covered Official has declared a fixed position on an issue through public statements or publications; through a close identification with the positions or perspectives of a particular group; or through other personal or professional activities. This may constitute a potential source of bias rather than a conflict. If the bias is determined not to impact the Covered Official’s ability to act in the best interests of AMCP, it will not be disqualifying.
- Example 4: If the Covered Official described in Example 3 serves as an officer or employee of another organization that espouses a fixed position on the issue, and the issue is under consideration by AMCP or one of its committees, a conflict may arise given the Covered Official’s duties of loyalty to the other organization and to AMCP. If the conflict is determined to impact the Covered Official’s ability to act in the best interests of AMCP, it will be disqualifying.
Procurement of Services or Goods –
- Example 5: AMCP seeks to procure goods or services. A Covered Official has a financial interest in or economic relationship with an organization that submits a proposal to provide such goods or services. The Covered Official will likely be unable to act in the best interests of AMCP; accordingly, the Covered Official should be recused from any deliberation or voting on the proposal but may be asked to disclose material facts and respond to questions.
Reviewing One’s Own Work –
- Example 6: The Board or one of its committees is performing a critical review and evaluation of a publication or work product prepared by a Covered Official or a Covered Official’s employer. The Covered Official should recuse him/herself from any deliberation or voting but may be asked to disclose material facts and respond to questions.
- Example 7: The Board is reviewing a publication or work product of a Covered Official as part of the general activities of the Board or committee on which the Covered Official serves. This will likely not constitute a conflict of interest or a disqualifying bias.
Employment by a Sponsoring Company –
- Example 8: A Covered Official is employed by an organization which is sponsoring a managed care program, study, or other activity which requires review and approval by the Board or one of its committees. The Covered Official should recuse him/herself from any deliberation or voting regarding this review but may be asked to disclose material facts and respond to questions.