Category:
Business
Region:
USA
State:
North Carolina
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COUNTY LOOKS TO START OWN PHARMACY
Date: 19-Feb-2007
Author: Ilin Chen
FAYETTEVILLE -- Healthcare costs have been on the rise, and pharmacists like John Calhoun say they are frustrated with the increasing cost of prescription drugs.
"The trend has been more, more, more," said Calhoun, who's the owner of Cape Fear Discount Drugs. He adds that drug manufacturers raise their prices about twice a year.
In an effort to curb rising costs, Cumberland County is looking at a plan to run their own pharmacy for their employees.
"We can buy the medications at what we think will be a lesser price," said Eddie Beale, who's the chief financial officer for the health department.
Because the county is self-insured, lower prices mean the savings are passed along to taxpayers. Officials hope to save up to a $1 million a year. Cumberland County spent $2.5 million last year in prescription drug benefits.
The county has about 3,200 retired and working employees covered by their healthcare plan. Beale says the program would save them money as well because it would probably mean lower co-pays.
Beale says the idea for the program started two years ago when he also heard about how Cape Fear Valley Health System started its own pharmacy. Hospital officials say drug prices have increased at a 15 to 20 percent rate nationwide, but they have kept their rate down to about 2.5 percent.
County officials are also studying how Cleveland County has cut their prescription drug costs in half since they implemented a similar program. Beale adds that the county is only in the information gathering stage right now, and despite the fact that they hope a program like this would save the county $1 million or more, it is still too early to accurately predict how much money could be saved.
Wayne Raynor, the county's health director says the program is a "win-win," and so far, they seem to have support for it.
"We haven't gotten any resistance, if you will, from our partners in the community and we certainly want to work collaboratively with them," Raynor added.
Pharmacists like Calhoun say it's a great idea if it does cut costs in half, and they would like to see it on a national level.
"I wish Congress would take a look at what can be done when you try to save the people money," he added.
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