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FROM: Suzanne Boyll <br />4"16 - <br />Human Resources Director <br />DATE: January 26, 2023 <br />SUBJECT: April 1, 2022 Addendum to RX Benefits Administrative Services Agreement dated <br />October 1, 2021— Removing Per Claim Fee of $0.40 for Out of Pocket Protection <br />+ SaveOnSP Program <br />BACKGROUND: <br />Effective May 1, 2018, Indian River County Board of County Commissioners approved a <br />recommendation to carve -out the pharmacy benefit under the County's group health insurance <br />program from Florida Blue and select Express Scripts as the pharmacy benefit manager. <br />Administrative services for the pharmacy benefit are provided by RX Benefits. Pricing and <br />rebates are updated annually (usually in January of each year) and approved by the BOCC. The <br />initial term of our agreement with RX Benefits was May 1, 2018 through April 30, 2019. The <br />agreement has renewed annually thereafter. <br />In April 2022, we aligned the agreement with RX Benefits to coincide with our benefit plan year <br />beginning October 11t of each year and ending on September 30th, and subsequent 12 month <br />renewal periods would begin on October 1st and end on September 30th (2023 ASA addendum <br />effective April 30, 2022). Following the last addendum, an additional cost reduction was <br />implemented which removed the $0.40 per claim fee under the Manufacturer Copay Assistance <br />Program Section of Table 2.1 of Exhibit A effective as of April 1, 2022. This results in an annual <br />savings of approximately $17,600 per year. All pricing and rebate guarantees remain consistent <br />with the in force pricing agreements. The attached 2023 administrative service agreement <br />addendum reflects this change. <br />1101011 kirec <br />Funding for the pharmacy benefit is included in the Health Insurance Fund. This addendum <br />results in a savings of approximately $17,600 per year. <br />RECOMMENDATION: <br />Staff respectfully requests the Board of County Commissioners approve and authorize the Board <br />Chairman to sign the 2023 administrative services agreement addendum with RX Benefits after <br />review and approval by the County Attorney. <br />51 <br />