MedicaidAdministrativeMedium impact
Newsletter Vol. 21, No.03
New Jersey Medicaid·NJ · Pharmacy·Pharmacy
Effective date
Feb 1, 2011
We identified it
Jun 20, 2026
Summary
New Jersey Medicaid is changing how it processes National Drug Code (NDC) obsolescence dates. Effective immediately, the state will no longer extend obsolete dates by 12 months and will instead use Centers for Medicare and Medicaid Services (CMS) termination dates. Pharmacies must ensure they report valid NDCs on all claims; claims denied with Edit 551 must be resubmitted with a current NDC for reimbursement.
Action Required
Immediately: Pharmacy billing staff must update validation procedures to check NDC validity against CMS termination dates rather than FDB extended dates. When claims are denied with Edit 551 ('NDC probably obsolete, check label/computer'), pharmacists must identify and submit replacement claims with valid current NDCs. Update pharmacy management system rules to flag NDCs approaching CMS termination dates before claim submission. Contact Molina Medicaid Solutions Provider Services at 1-800-776-6334 with questions about specific NDC status or termination dates.