Contract Pharmacies for the 340B Program- Revenue Contract

SUNY Upstate Medical University Hospital is soliciting proposals

from pharmacies which have a valid New York State Pharmacy License to enter

into contract pharmacy relationships with the Hospital to expand their 340B

program. Section 602 of Public Health Law 102-585 (the "Veterans Health Care

Act of 1992") enacted section 340B of the Public Health Service (PHS) Act.

Section 340B implements a drug pricing program by which manufacturers who

sell covered outpatient drugs to particular 340B eligible covered entities must

agree to charge a price that will not exceed the amount determined under a

statutory formula. Hospitals such as SUNY Upstate are 340B eligible covered

entities under section 340B based on their status as Disproportionate Share

Hospitals (DSH). SUNY Upstate is seeking to enter into revenue contracts with

pharmacies that will help SUNY Upstate expand its 340B access to outpatient

prescriptions. While assisting SUNY Upstate in supporting your community's

uninsured and/or under-insured, your business benefits by a favorable

dispensing fee, timely stock replenishment, and an improved relation with one of

New York's tertiary care academic hospitals. SUNY Upstate intends to award

contracts to pharmacies offering a positive annual return and are deemed to

maximize revenue.

Mandatory Requirements:

1. Each pharmacy location must have a Pharmacy License. Each

pharmacy location must have a computerized pharmacy information system and

be willing to accommodate an interface with a third-party 340B plan

administrator.

2. Each pharmacy location must agree to a "ship to / bill to" arrangement with

the pharmaceutical wholesaler for the replenishment of dispensed 340B drugs

whereby the pharmacy is the "ship to" and SUNY Upstate is the "bill to".

3. Each pharmacy location must agree to include all of their costs associated

with any agreement that may result from this solicitation in their dispensing fee.

4. Each pharmacy location must agree to pay invoices from SUNY Upstate in a

timely manner.

5. Interested pharmacies that would like to participate in this revenue contract

should contact SUNY Upstate Medical University's Hospital

Purchasing Department as shown below.