ADOPTED - MAY 27, 2003

AGENDA ITEM NO. 19

Introduced by the Human Services and Finance Committees of the:

INGHAM COUNTY BOARD OF COMMISSIONERS

RESOLUTION TO AUTHORIZE CONTRACTS TO IMPLEMENT A 340b PHARMACY PLAN

RESOLUTION #03-140

WHEREAS, Ingham County operates a network of community health centers, serving about 20,000 individuals in managed care arrangements and 10,000 to 15,000 through categorical health programs each year; and

WHEREAS, the Health Department is designated by the Health Resources and Services Administration (HRSA) of the United States Department of Health and Human Services as a Federally Qualified Health Center (FQHC); and

WHEREAS, HRSA has established a system for purchasing prescription drugs for persons served by FQHCs that reduces the cost of such drugs through a negotiated pricing system established in Section 340b of the Public Health Services Act; and

WHEREAS, HRSA requires that FQHCs implement mechanisms to take advantage of the special prescription drug purchasing arrangements; and

WHEREAS, the Ingham County Health Department has worked with Health Management Associates, PC to develop the mechanisms for implementing the special prescription drug purchasing plan (known as the 340b Pharmacy Program) within the County's network of health centers; and

WHEREAS, the Board of Commissioners authorized agreements to implement the 340b prescription drug purchasing arrangement in Resolution # 01-59 and # 01-252, an agreement with Rite Aid Corporation was executed, but the arrangement was never implemented and the agreement has now expired; and

WHEREAS, the Health Officer has recommended that the Board of Commissioners provide new authorization for a contract with Rite Aid Corporation to implement the 340b Pharmacy Program within the County's network of community health centers.

THEREFORE BE IT RESOLVED, that the Ingham County Board of Commissioners supports the implementation of a special prescription drug purchasing plan required of Federally Qualified Health Centers (FQHC) by the Health Resources and Services Administration (HRSA) of the United States Department of Health and Human Services.

BE IT FURTHER RESOLVED, that the Board authorizes an agreement with Rite Aid Corporation for services through its pharmacies located at:

5032 S. Cedar Street, Lansing

3700 W. Saginaw, Lansing

1004 E. Michigan Avenue, Lansing

ADOPTED - MAY 27, 2003

AGENDA ITEM NO. 19

RESOLUTION #03-140

BE IT FURTHER RESOLVED, that the Board of Commissioners authorizes an agreement with a pharmacy wholesaler recognized by the U.S. Department of Health and Human Services as having authority to participate in the 340b pharmacy program.

BE IT FURTHER RESOLVED, that these agreements shall be for a period of one year from the date of full execution and shall automatically renew for up to three one year periods unless terminated by one of the parties.

BE IT FURTHER RESOLVED, that the agreement shall provide the County the right to terminate the agreement at any time according to terms set out in the agreement.

BE IT FURTHER RESOLVED, that the Board Chairperson is authorized to sign the agreements authorized in this resolution after review by the County Attorney.

HUMAN SERVICES: Yeas: Dedden, Weatherwax-Grant, Celentino, Swope, Hertel, Severino

Nays: None Absent: None Approved 5/19/03

FINANCE: Yeas: Grebner, Swope, Dedden, Hertel, Thomas, Minter

Nays: None Absent: None Approved 5/21/03