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Mark C. Poloncarz, Comptroller
04/16/09
COUNTY ISSUES RFP FOR PRESCRIPTION DRUG DISCOUNT CARD PROGRAM

Comptroller Analysis Leads Collins Administration to Pursue Money-Saving Program for County Residents

Erie County Comptroller Mark C. Poloncarz today announced that following his office's December 2008 report recommending that Erie County ("County") create or endorse a prescription drug discount card program, the County's Department of Social Services ("DSS") today issued a request for proposals ("RFP") for a potential administrator of a program.

Poloncarz's intentions in producing his December 10, 2008 report include helping county residents save money while ensuring they have access to prescription medications to meet their medical and healthcare needs. The report notes that more than 120 million Americans regularly use one or more prescription medications, with one estimate reporting that in 2007 the cost of pharmaceutical drugs was $286.5 billion. A study reported in the New York Times on January 23, 2009 noted that in 2007 one in seven Americans who needed and were prescribed prescription drugs went without them due to the expense.

Poloncarz said, "Increasingly more Americans are relying on prescription drugs to maintain their health at a time when drug prices are rising rapidly, making needed drugs financially unaffordable. Government can and should help to make these pharmaceuticals available to individuals and families who need them, especially when there are programs available which provide these drugs at a reduced cost to the consumer with no underlying cost to the sponsoring government for participating in the program."

In winter 2009 Poloncarz's office contacted DSS and offered to work with the administration to develop an RFP and identify potential vendors that can effectively administer a discount prescription program. DSS Commissioner Michael Weiner was immediately supportive and Deputy County Comptroller Lorne Steinhart, who formerly worked in the healthcare industry, collaborated with DSS officials to develop the RFP and distribute the proposal to various national and regional prescription/pharmacy benefit management organizations.

Citing potential savings, Nassau County's discount card program, initiated by its county comptroller, has reportedly saved its county residents more than $9 million since its inception in July 2004.

"Our analysis of the range of government, pharmaceutical industry, private, and non-profit prescription drug discount card programs strongly suggests that Erie County's residents and taxpayers will benefit, both medically and financially, from the county's establishment of a program similar to Nassau County's program," Poloncarz said.

Poloncarz concluded, "I appreciate Commissioner Weiner and his staff's efforts and cooperation. I am delighted that our offices have collaboratively worked together, and I look forward to seeing prospective vendors' responses to the RFP followed by the expeditious development of the program. This undertaking demonstrates that when offices work together, Erie County's citizens will benefit."

A copy of the Comptroller's report on prescription drug discount cards can be found on the Internet at http://www.erie.gov/comptroller/pdfs/prescription_drug_card_report_11-08.pdf.