1 Overview of DOC Pharmaceutical Repackaging Efforts Senate Criminal & Civil Justice Appropriations January 14, 2010.

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Presentation transcript:

1 Overview of DOC Pharmaceutical Repackaging Efforts Senate Criminal & Civil Justice Appropriations January 14, 2010

What is Repackaging? 93,000 DOC inmates, $70 million drug budget, 2 million prescriptions in Department purchases pills in large bottles. Mail bottles to repackager to divide into small bingo type cards. Usually 30 pills. Cards are mailed back to four DC Pharmacies, then used to dispense Rx to inmates. Purpose is so inmates have medications in transparent packages for security reasons when they carry their own medication. Decreases the work load for nursing staff who administer many medications at pill lines Has allowed consolidation of pharmacy services and a decrease in the number of pharmacy staff.

Improvements in OHS Repackaging Operations Where We Started: 3 –year repackaging contract with Private Vendor from 7/1/2006 – 6/30/2009 Cost - $1.85 per card Total of about 1,400,000 cards annually Paid $2.7 million in

Efficiencies in Contracts Legislature has mandated greater efficiencies in contracts. Makes sense to look at options. DOH already doing repackaging for county health departments. Get the same quality for much reduced price.

Improvements in OHS Repackaging Operations Where Weve Gone: On July 1, 2009, formed interagency agreement with Dept. of Health - Statewide Pharmacy for repackaging services. Plan was to move all business over on July 1, However, only moved one-third of business, with understanding we would fully convert after 6 months. Cost - $.60 per card. Two-thirds remained with vendor for another 6 months, until December 31, Vendor reduced cost to $.89 per card Transfer delayed 30 days until January 31, 2010

Improvements in OHS Repackaging Operations Cost Avoidance of $454,000 for FY through November 30 Estimated cost avoidance of $542,000 if we were paying $.60 for all cards Difference of $88,000 ($18,000 monthly)

Other OHS Pharmacy-Related Cost Savings May 2008 De-Privatized Region IV Contract Pharmacy (South Florida) – $2 Million Savings - Workload Absorbed by current 3 Regional Pharmacies with minimal staff increase July 2008 – Changed Drug Courier from Same Day to Overnight - $700,000 Savings

Conclusion We have been pleased with the quality of services and savings by partnering with DOH. DOH has been a good partner. Plan is to move forward with converting remaining pharmacies to DOH on February 1.