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HomeMy WebLinkAboutMINUTES - 06282011 - C.82RECOMMENDATION(S): APPROVE and AUTHORIZE the Purchasing Agent, on behalf of Health Services Department, to execute a Purchase Order with McKesson Corporation, in an amount not to exceed $2,000,000 for the purchase of pharmaceuticals designated as 340B replenishment inventories dispensed through ten (10) Rite Aid pharmacies and one (1) City Center pharmacy located within Contra Costa County, for the period from July 1, 2011 through June 30, 2013. FISCAL IMPACT: This Contract is budgeted and funded in the Enterprise Fund and is cost neutral. The Program with ten (10) local Rite Aid pharmacies and one (1) City Center pharmacy will allow the Plan to maximize savings under the 340B program. BACKGROUND: Contra Costa Health Plan (CCHP) has entered into a special 340B pharmacy program through the Federal government’s Office of Pharmacy Affairs (OPA). CCHP received OPA approval to contract with ten (10) local Rite Aid pharmacies and one (1) City Center pharmacy in the 340B program. This program supplies prescription medications to CCHP APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 06/28/2011 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Gayle B. Uilkema, District II Supervisor Mary N. Piepho, District III Supervisor Karen Mitchoff, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Patricia Tanquary, 313-6004 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: June 28, 2011 David Twa, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: Tasha Scott, Demetria Gary, Deborah Britto C. 82 To:Board of Supervisors From:William Walker, M.D., Health Services Director Date:June 28, 2011 Contra Costa County Subject:Purchase Order with McKesson Corporation members at a significantly reduced price structure governed by the OPA. CONSEQUENCE OF NEGATIVE ACTION: If this contract is not approved, the County will pay a higher reimbursement rate on pharmacy claims to Rite Aid and City Center. Currently 340B savings are approximately 50-60% lower than traditional pharmacy reimbursement. CHILDREN'S IMPACT STATEMENT: Not applicable.