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Lewes, Delaware
Jim's Towing Service
December 6, 2002     Cape Gazette
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December 6, 2002
 

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20 - CAPE GAZETTE, Friday, Dec. 6 - Dec. 12, 2002 Medicaid Continued from page 19 la of the average wholesale price (AWP) minus a set percentage plus a dispensing fee. Delaware's new plan is to increase the current 12.9 percent to 16.32 percent for brand name drugs. Generic drugs, with Delaware's new rates, are based on a different formula: average of the average wholesale price minus 58 percent, plus $3.65 dispensing costs. Wright said anything beyond 10 percent is encroaching on the business' profit margin. Delaware, she said, "is one of the - lowest in the Country; it's one of the worst." Levine said Delaware's deci- sion arose after reviewing an in- dependent actual acquisition cost audit conducted over a three- month period. The state's cost for the auditors, Heritage Information Systems Inc., was $90,000. "The auditor...found we have been overpaying pharmacies, re- imbursing them too much, so we are going to lower the reimburse- ment rate," said Levine. "Over 95 percent of prescrip- tion drug costs is the cost the manufacturer charges for the Code Adam Alert System coming to Delaware Code Adam, one of the nation's largest child-safety programs, is de- signed to locate children who disappear, whether by straying or abduc- tion, while in facilities such as retail stores and government buildings. Attorney General M. Jane Brady is spearheading an effort in Delaware to implement Code Adam in government buildings in which there is public access. Code Adam was created and promoted by the Wal-Mart retail stores and named in memory of 6-year-old Adam Walsh, whose abduction from a Florida shopping mall and murder in 1981 brought the horror of child abduction to national attention. When a customer reports a missing child to a store employee, a Code Adam alert is an- notmced over the public-address system. A brief description of the child is obtained and provided to all designated employees who imme- diately stop their normal work to search for the child and monitor all exits to help prevent the child from leaving the store. Training for the Delaware government buildings program wiU begin Dec. 12. medication," said Wright. "Phar- macies get only between 1 and 2 percent net profit on prescrip- tions, which barely covers the costs for dispensing prescriptions. "Compared to other industries, the pharmaceutical industry earns the highest profit margins - 18.6 percent - nearly five times higher than the average profit of Fortune 500 firms. In 2000, the drug in- dustry spent $16 million on ad- vertising and promotion. In 2001, the United States spent $164 bil- lion on prescriptions - about one- tenth of all health-care costs. Thirty-nine percent of that was due to increased prescription drug use. Drug companies should bear their fair share of soaring state Medicaid costs because they are driving up drug use." Among the options for states, explained Wright, is passing sup- plemental rebate legislation that would allow states to collect more money from drug companies. "Our goal was to move this thing off its mark," said Levin, "The state was very firm in its po- sition. We're hopeful we can turn this thing around. It's our hope they'll listen to alternative means to lowering the costs of doing busifiess." Levine said the state is amenable to meeting with Happy Harry's and intends to do so, but no meeting date has yet been scheduled. Thistles Gallery o/Limited Edition Graphics, original oils, art glass & jewelry 203 2nd. St. 644-2323 Lewes, De Open Daily GRAND OP NING Saturday, December 7th at lpm (doors open at 12:30pm) Special visR by Grand Master Sung Hong Park (Founder of Park's Martial Arts and Delaware State USTU President) Meet the instructors Martial Arts demonstrations Adult and child classes still available (sign up Saturday and start Monday night!) Located above Abizak's on the highway at 4120 Highway One, Rehoboth Beach, 226-5853 (just south of the 1A exit for Rehoboth Ave, make the next left when you see the big purple and green building) cool co,tomporary tuff" PARK'S MARTIAL ARTS