Sponsored by Oregon Business

Independent pharmacies struggle

| Print |  Email
Articles - August 2011
Wednesday, July 20, 2011
0811_Pharmacies_05
About 1% of Paulsen’s business comes from compounding custom prescription drug preparations. // Photo by Eric Näslund

In Oregon, independent pharmacies are tackling other political and economic issues with varying degrees of success. The sector scored a big win in 2009 with the creation of a “critical access” pharmacy category under the Oregon Prescription Drug Program, which provides coverage to people without insurance, as well as thousands of teachers through the Oregon Educator Benefits Board. After community pharmacists in rural counties complained the program’s reimbursement rates were too low, Rep. Greg Smith (R-Heppner) helped lobby for the new category, defined as the “sole pharmacy in a community within a 10-mile radius of other pharmacies.” Such pharmacies, including Murray’s Drug in Condon — the only store within a 90-minute drive — receive a higher dispensing fee.

People in rural areas often have to drive 20-30 miles or rely on mail order, says Scott Eklad, director of the Oregon Office of Rural Health. “Particularly for emergent conditions, that is not good health care.” The critical access program, Eklad says, recognizes the value of rural pharmacies and the importance of helping them become financially viable.

The budding “Entrepreneurial Academy” at Oregon State University’s College of Pharmacy is another effort to shore up the struggling sector. The program aims to get a new generation of students excited about working in non-hospital settings, says Courtney, who is helping organize the curriculum. The academy will “focus on the business and marketing knowledge” needed to run a stand-alone pharmacy, instead of working as an employee, Courtney says.

Whether these initiatives will compensate for health care reform efforts is unclear. In January, for example, Oregon adopted a new benchmark for Medicaid pharmacy reimbursement, a move experts agree will lower reimbursement rates and profitability for independent drug stores. Community pharmacists also oppose a bill that would allow physicians’ assistants under certain circumstances to dispense medications, a policy shift favored by one-stop medical and urgent care clinics such as ZoomCare, a Hillsboro-based company. “We want to make sure we’re not being kept out of the loop,” says Courtney.

 



 

Comments   

 
James
0 #1 Oregon bought into an invalid method to calculate Acquisition costJames 2011-09-23 09:53:28
Myers & Stauffer conducts a survey approach to determine pharmacist acquisition cost which is invalid by the time the information is collected, compiled and reported. It is skewed in the direction of the chain pharmacies because they report 2/3 of the data. Why not use a real-time system that costs the state almost nothing. Just go to www.pharmabayonline.com
Quote | Report to administrator
 

More Articles

Are wolves good for business?

Contributed Blogs
Friday, March 06, 2015
030615-wolf-thumbBY JEFF DELKIN | OP-ED CONTRIBUTOR

As a local business owner, I believe it’s important to build our economy on a platform of conservation values.  


Read more...

Party Like It’s 1999

Contributed Blogs
Wednesday, February 25, 2015
pets-com-sock-puppetBY JASON NORRIS, CFA | OB GUEST BLOGGER

Pets.com, GeoCities, eToys, and WorldCom … blasts-from-the-past that all signify the late 1990s Internet bubble. Yet we believe the dynamics of the market, specifically in technology stocks, are much different today than it was during the late 1990s.


Read more...

Carbon Power

February 2015
Tuesday, January 27, 2015
BY LINDA BAKER

Researchers in a multitude of disciplines are searching for ways to soak up excess carbon dioxide, the compound that contributes to global warming.


Read more...

Imperial Palate

February 2015
Tuesday, January 27, 2015

Power Lunch at the Imperial.


Read more...

Finding a Balance

Contributed Blogs
Thursday, January 29, 2015
012915-passinvst-thumbBY JASON NORRIS | OB GUEST BLOGGER

Active vs. passive investing: what you need to know.


Read more...

Help Wanted: Poached Jobs aids restaurateurs

March 2015
Friday, February 20, 2015
BY JACOB PALMER | OB DIGITAL NEWS EDITOR

“We thought there was room for something new.”


Read more...

Money Talks

March 2015
Saturday, February 21, 2015
BY LINDA BAKER | OB EDITOR

Will community banks survive the digital age? Three CEOs peer into banking's crystal ball.


Read more...
Oregon Business magazinetitle-sponsored-links-02
SPONSORED LINKS