2002 DVA Pharmacy Conference

The Development and Cost Justification of a Pharmacoeconomic Pharmacist Specialist Position at the VASDHS

Brian K. Plowman, Pharm.D., MBA, BCPS, San Diego VA Healthcare System, California; Anthony P. Morreale, Pharm.D., MBA, BCPS, San Diego VA Healthcare System, California; Monica Schaefer, Pharm.D., San Diego VA Healthcare System, California; Melissa Delattre, Pharm.D., San Diego VA Healthcare System, California

Statement of Issue

Drug cost containment continues to be a challenge for medical institutions everywhere. In 1999, spending on prescription medications was estimated to be over $112 billion, accounting for greater than 8% of total national health expenditures. The expectation by the year 2008 is that prescription drug expenditure will increase to $243 billion and will consume 12.6% of total health care expenditures. The VA San Diego Healthcare System (VASDHS) has an estimated pharmacy budget of approximately $29.5 million dollars for FY02, representing an increase of approximately $5.7 million dollars from FY01. One way to manage prescription drug cost is by utilizing the resources of a pharmacoeconomic (PE) pharmacist.

Action Plan Implemented

The VASDHS Pharmacy Service developed a proposal for the cost justification of a PE pharmacist to help identify and implement drug conversion programs, manage the formulary, implement adherence to clinical pathways, review appropriateness of non-formulary drug requests, and disseminate drug information to healthcare personnel, all of which help to improve patient outcomes while containing costs. This proposal included several drug cost avoidance and saving projects such as therapeutic drug exchange programs, formulary management projects encompassing drugs/devices that were identified as potential targets for decreasing drug expenditure as these currently make up a large portion of the drug budget, and creation of clinical guidelines to clearly define the criteria for use of these high cost agents. The proposal also concentrated efforts on surrounding issues such as drug education, development of non-formulary drug request templates, academic detailing, and patient safety activities.

Outcomes
The proposal for this PE pharmacist position was approved with an estimated Drug Cost Avoidance/Savings over 1 year of approximately $ 552,500-$ 775,000. With the filling of this PE position, the VASDHS will see an approximate resultant cost savings/benefit ratio of 5 to 7:1.

View Slide Show

Previous | Next

Action Plan Implemented

Outcomes The proposal for this PE pharmacist position was approved with an estimated Drug Cost Avoidance/Savings over 1 year of approximately $ 552,500-$ 775,000. With the filling of this PE position, the VASDHS will see an approximate resultant cost savings/benefit ratio of 5 to 7:1.

Outcomes
The proposal for this PE pharmacist position was approved with an estimated Drug Cost Avoidance/Savings over 1 year of approximately $ 552,500-$ 775,000. With the filling of this PE position, the VASDHS will see an approximate resultant cost savings/benefit ratio of 5 to 7:1.