Montgomery, Ala. – Two blocks from the state of Alabama, a black crown hung on the Adams drug door, a symbol to attract attention to the number of pharmacies of the neighborhood they have closed, or are in danger of closing, throughout the state.
Dozens of independent pharmacies have been closed in Alabama in the last two years, according to the Alabama Independent Pharmacy Alliance. Pharmacists said that it is due to financial pressures, in part, because it can often cost a medicine than pharmacy benefits managers.
“We are losing almost a pharmacy per week that leaves the business because they are paid such a small amount of the PBM industry to fill recipes for their patients in their pharmacy,” said Senator Billy Beasley, a retired Democratic and Pharmaceutical Senator.
Alabama is one of several states that consider new regulations on pharmacy benefits managers, intermediaries between health insurance companies, pharmaceutical companies and pharmacies. Alabama Senate voted 32-0 on Thursday To advance legislation to require minimal reimbursement rates to community pharmacists. The bill now moves to the Chamber of Representatives of Alabama.
Legislation that seeks regulations on benefits managers have also been proposed In MississippiArkansas and other states. Both large retail and independent pharmacists have closed Stores throughout the country such as pharmacies face reimbursement problems, increased costs and other challenges.
Pharmacy benefits managers take advantage of purchasing power with pharmaceutical companies with the aim of reducing the costs of consumer medications. However, independent pharmacists say that the commercial practices of benefits managers make money in approximately 20% of recipes.
“The biggest problem is that they do not pay us what it really costs to fill a recipe, including labor,” Trent Mclemore, a pharmacist with Star discount pharmacy.
Alabama’s bill would require PBMS to reimburse community pharmacies at the Alabama Medicaid Agency Refund rate. It would also prohibit the practice of “pricing” where a benefits manager charges more health plans for drugs than pharmacies.
The groups opposed to the bill have said that it would effectively put a new rate of $ 10.64 in the recipes under the requirement to match the state rates of Medicaid, which include a dispensing rate of $ 10.64. They argued that this rate will eventually be transmitted to consumers and companies.
Helena Duncan, president of the Alabama Business Council, on Wednesday said a legislative committee that small businesses, who are already struggling to provide insurance to their workers, will have to absorb the higher cost or pass it to employees through premium increases.
“Changing the financial charges of pharmacies to Alabama employers is fundamentally unfair,” Duncan told a legislative committee on Wednesday.
Republican senator Andrew Jones, a copatrocator of the bill, said Thursday that other states have seen drug prices lower. Jones said it is important to protect neighborhood pharmacies because they play a vital role in communities.
“You’re not going to get a large box shop to open in the middle of the night to get the medication you need,” Jones said.
