Title
Amendment to the Agreement with the National Association of Counties (NACO).
Body
Recommended Action: Approve the amendment, authorize the Chairman to sign the amendment and Exhibit B, and authorize the necessary budget authority.
Background: The National Association of Counties (NACo) has renewed their contract with CVS Caremark to continue providing the NACo Prescription Discount Card program for member counties, which includes Sedgwick County. Exhibit B renews the Prescription Discount Card program agreement between NACo, CVS Caremark, and Sedgwick County for an additional three years, at which point the contract will renew automatically unless one of the parties moves to terminate it. Additionally, the amendment includes a new "transaction revenue sharing fee model," which offers member counties the opportunity to receive $1 per prescription filled using the NACo discount card. In January 2012, 564 residents in Sedgwick County were using the Prescription Discount Card, with average savings of 23% on their medications. It is estimated the new transaction revenue sharing fee model could generate an additional $5,000.00 in revenue during the year for the County.
All other terms and conditions of the original agreement remain in effect.
Alternatives: Should the amendment not be approved, the current NACo Prescription Discount Card program would continue at the status quo without disruption, and Sedgwick County would not receive any revenue from this program.
Financial Considerations:
Revenue: $5,000.00
Funding Source: 300018-12
The necessary budget adjustment authority should be authorized so that funds generated through this agreement can be managed through 300018-12.
Legal Considerations: The authority for this action is K.S.A. 19-101. A simple majority vote is required.
Policy Considerations: All Sedgwick County policies were followed in the review of this amendment.