Altru gets Commission support with drug pricing program

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DEVILS LAKE, N.D. – During the time open to visitors or delegations during the Devils Lake City Commission Meeting on Monday, March 16 at City Hall, Altru Health System Corporate Counsel Brittney Blake was present to discuss a request sent to the City of Devils Lake from Altru Health Director of Pharmacy Services Erin Navarro to support Altru’s participation in the drug discount program established under Section 340B of the federal Public Health Service Act via a Memorandum of Understanding (MOU).

“Before you is a proposed memorandum,” Blake said. “It’s my understanding that there has been a memorandum with Mercy Hospital for the exact same reason in the past.”

According to the memo, a copy of which was included in the meeting agenda, the program enables purchase of certain outpatient drugs at discounted prices as part of their commitment to the provision of free and reduced cost health care services to indigent, uninsured and underinsured residents and doesn’t impact or come from tax dollars in any way.

“This memorandum is just to show our commitment to not only serving patients within the community, but specifically underinsured or uninsured or indigent patients that don’t meet the Medicare/Medicaid criteria, specifically to be in compliance with the 340B drug pricing program,” Blake said.

Altru had first established their 340B Program in 2010 and became a recognized covered entity. Having previously enacted this program at their hospital location in Grand Forks, Altru expressed their wish to continue and maintain this level of programming in Devils Lake and the surrounding communities. According to the memorandum, the provided savings from the program will allow Altru to provide a range of health services to patients and the community.

With their new purchase of the Devils Lake Hospital, Altru expressed their interest in extending their 340B coverage to serve the citizens of Devils Lake. To participate in the 340B program, they are required to have a MOU between the hospital/covered entity and the local government, which in this case is the City of Devils Lake. Altru enclosed materials about the 340B Program as well as a proposed MOU for their review.

“I should also say, this program has nothing to do with tax dollars,” Blake added. “It requires that big drug manufacturers offer discounts for prices for drugs.”

The city commissioners observed that the proposal seemed quite reasonable. City Manager Spencer Halvorson added that City Attorney Jason Sayler had reviewed the MOU and had no comments or concerns.

Mayor Jim Moe offered the City’s official welcome to Altru Health System, which Blake warmly accepted. “We were so looking forward to it, and finally it’s here, and I think it’s going to be great for our community,” Moe said.

Without further discussion, Commissioner Jason Pierce moved to approve the MOU, which was seconded by Vice President Rob Hatch, and the Commission voted unanimously in favor of the memorandum.

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