Results show predicted growth for on-site community health center pharmacies
AMARILLO, TX, May 18, 2022 /PRNewswire/ — The already complex process of managing 340B pharmacies has become even more difficult for community health centers (CHCs) with 16 drugmakers limiting discounts to contracted pharmacies, including some extending to federal beneficiaries, and a growing shortage of pharmacy staff. The federal 340B The drug rebate program allows CHCs, among other safety net providers, to save on drug costs through mandatory manufacturer rebates. the 340B The program has seen seismic changes over the past two years, with manufacturers increasingly restricting access to rebates and clarity on the legality of the restrictions remains stalled in court.
CSC’ 340B pain points are highlighted in a new report published today by Maxor 340Ban industry leader in pharmaceutical management and comprehensive management 340B solutions. The report, titled “The State of Community Health Center Pharmacies Today,” is based on an independent survey of CHC leaders who are actively involved in managing 340B programs.
Healthcare consultancy Sage Growth Partners conducted the survey to examine pharmacy-related CHC challenges, needs, preferences and plans. The report reveals what CHCs expect from their 340B partner pharmacies, as well as the characteristics of their preferred suppliers.
“This survey confirms that the management of pharmacies and 340B Programs have become even more complex and challenging in recent years, due to the impact of the pandemic, changing compliance requirements, and uncertainty about drugmaker participation. CHCs can increasingly turn to external partners to help manage this complexity,” said mike ellis, CEO of Maxor National Pharmacy Services. “CHCs are looking for complete solutions, good service, easy-to-use technology, transparent and innovative rate structures, compliance expertise and excellent overall value.”
“Our research shows that those who can offer a transparent and responsive partnership to help CHC leaders simplify 340B will have the upper hand in the future,” said Dan D’Orazio, CEO of Sage Growth Partners.
Highlights of the survey include:
- On-site CHC pharmacies are popular and growing. Just over half (56%) of respondents currently operate on-site pharmacies while another third plan to open one within the next three years.
- Staffing is at the top of the long list of operational challenges. Some 38% of respondents say their biggest challenge today is staffing, while 19% say it’s contracting with the payer, and 17% cite managing drug referrals and authorizations specialized.
- Nearly a third use third parties to manage their on-site or specialty pharmacies. As the complexity of 340B pharmacies continues to grow, more health centers will likely need outside expertise to ensure their success.
- CSCs want partners who can deliver comprehensive services, deliver holistic value and ensure compliance. Respondents say their top issues with vendors are the lack of tailored solutions, pricing structures, and managing multiple vendors. The ability to work with a single vendor who can support multiple needs, such as contract pharmacy administration and referral capture, in addition to on-site pharmacy management, is valued by 79% respondents.
The survey, which was conducted in the first quarter of 2022, collected responses from 75 top CSC leaders, influencers and decision makers. 340B programs. Their characteristics included:
- 39% were CEOs and 29% were VPs/Directors of Pharmacy
- 68% are decision makers and 31% are key influencers for 340B programs
- 88% operate multiple health centers (69% operate 2-15 clinics)
The full market report can be found here. Additional information about Maxor’s 340B services can be found at maxor340B.com.
About Maxor 340B
Maxor 340B leverages its deep pharmacy expertise to consistently deliver transparency, simplicity and value to healthcare organizations, patients and communities. As global 340B and pharmacy management partner, we tailor our solutions to meet the needs of each covered entity, so they can save time, reduce costs, and realize the full potential of their pharmacy programs. For more information, visit maxor340B.com.
About Sage Growth Partners
Sage Growth Partners accelerates the business success of healthcare organizations with a focus on growth. The company helps clients thrive in the complexities of a rapidly changing market through deep domain expertise and an integrated application of research, strategy and marketing. For more information, visit sage-growth.com.
For more information