Number
081653
Version
ORIGINAL
Reference
Sponsor
ALD. DAVIS
Title
Resolution authorizing participation in the National League of Cities’ Prescription Discount Card Program administered and managed by CVS Caremark Corporation.
Analysis
This resolution makes the City of Milwaukee a participant in the National League of Cities’ Prescription Discount Card Program administered and managed by CVS Caremark Corporation. This program is designed to provide discounts averaging 20% off regular, retail prescription costs for residents who do not have health insurance coverage for medications or who wish to buy medications not covered by their health insurance.
Body
Whereas, 57,000 Milwaukee city residents may be without health insurance coverage (“uninsured”) based on Wisconsin Department of Health Services survey estimates; many are likely “working uninsured”, residents working for employers that do not provide health insurance coverage and earning too much to qualify for Wisconsin’s BadgerCare program, yet unable to afford health insurance coverage on their own; and
Whereas, The sudden and severe decline in the U.S. and Milwaukee economies has likely increased significantly the number of uninsured as city residents lose their jobs, do not qualify for Wisconsin’s BadgerCare program and yet cannot afford Consolidated Omnibus Budget Reconciliation Act of 1985 (COBRA) premiums or other health insurance; and
Whereas, More residents may become uninsured as the weak economy forces them to accept jobs without health insurance benefits at wages that make affording health insurance on their own impossible, or as employers battered by falling revenues eliminate employee health insurance benefit plans to save money or shift costs to employees who cannot afford them; and
Whereas, The cost of prescription medications, which have become crucial for maintaining good health, has increased dramatically in recent years and is an onerous burden on the uninsured creating economic hardship and potentially jeopardizing health as uninsured residents forgo filling needed prescriptions because they cannot afford them; and
Whereas, The National League of Cities (“NLC”) launched a Prescription Discount Card Program in October, 2008, created, administered and managed by the CVS Caremark Corporation to benefit residents of participating cities and used by several other national organizations including the National Association of Counties (“NACo”); and
Whereas, The NLC Prescription Discount Cards are free to participating cities and there are no fees or limits on use for cardholders; and
Whereas, Cardholders receive discounts on prescriptions not covered by insurance averaging 20% off regular, retail prices at 59,000 participating pharmacies (over 80 Milwaukee city locations) including CVS, Walgreens, Pick ’n Save, Target, Wal-Mart, local hospitals and independent pharmacies; and
Whereas, Residents of Milwaukee, Jefferson and Ozaukee counties have access to a similar Prescription Discount Card offered by the NLC through an identical program with the National Association of Counties; and
Whereas, Program participation has been growing rapidly since its launch with 48 cities participating by the end of February, 2009, 78 cities signed up as of March 23, 2009, with another 150 cities expressing interest in participating, including San Jose, CA, Colorado Springs, CO, Columbus, OH, and Los Angeles; and
Whereas, Information on the use of the NLC Prescription Discount Card by residents is limited because of the program’s short history, but data shows 973 residents saved over $20,000 through the program during February, 2009, in 48 cities; and
Whereas, The NLC and CVS will provide all necessary materials to promote the program at no cost including approximately 50,000 discount cards pre-printed with the City of Milwaukee logo, a co-branded website (www.caremark.com/nlc <http://www.caremark.com/nlc>) where residents can learn about the program and other ways to save on prescription medications, locate participating pharmacies and print discount cards as needed, and counter displays for the 50,000 pre-printed discount cards for use at distribution points chosen by the city (e.g. City Hall, libraries, city housing and recreation centers, health clinics, etc.); and
Whereas, A sample of participating communities indicates use of the NLC Prescription Drug Discount Program has been higher than expected while program set-up was easy and there are virtually no demands on city resources for ongoing maintenance; and
Whereas, City residents will benefit through the City’s participation in the National League of Cities’ Prescription Discount Card Program at no cost to the City; now, therefore, be it
Resolved, By the Common Council of the City of Milwaukee, that the Health Department is directed to make the City of Milwaukee a participant in the National League of Cities’ Prescription Discount Card Program by completing tasks and providing reasonable assistance as requested by the NLC and CVS Caremark to initiate and maintain this participation for the benefit of city residents; and, be it
Further Resolved, The Health Department will make reasonable efforts to make residents aware of this program, assign personnel to oversee set-up and ongoing operations as needed, and provide Council members with NLC generated reports of aggregate use of the program by residents as requested.
Requestor
Drafter
LRB 09126-1
ANC
03/24/09