DpRx.com offers a highly unique PBM (Pharmacy Benefit Manager) approach for Managed Care organizations. This copyrighted approach offers the following features:

     PBMs like PCS of Arizona or Express Scripts of St.Louis are for-profit corporations that generate before-tax profits of 8% to 20% in order to provide satisfactory return to their shareholders as they should. Using the same criteria of fees and management, it follows that an MCO could retrieve these profits for their own benefit without increasing their drug benefit costs if the PBM is owned by the MCO.

     For-profit and Non-profit MCO are both served well by the proposed strategy and organizational plan. In the case of the For-Profit MCO the profit recovery can flow back to the corporation or any other entity that serves the agenda of the shareholders.

     Using an entirely legal and ethical formula for distribution of these profits, the MCO management may elect to channel these profits to their own ESOP or 401K programs. DpRx’s estimates that a PBM with 100,000 lives serviced by a drug benefit program can distribute over a $1,000,000 per year to the MCO’s designated recipient (e.g. -retirement or pension program). All this with only a token financial investment!

     Alternatively, an MCO may divert these profits to research and development, improving their own bottom line, purchase of equipment and special medical resources, or a profit sharing or bonus program for management

     This computer-based PBM management represents a lion’s share of the cost of PBM operations. The DpRx.com’s leading-edge online, real-time processor incorporates Internet technology to save costs in data transmission as well. DpRx.com owns the computers and the software and is free of leases, rentals and the ordinary costs of computer operations.

     The only costs borne by DpRx.com are for the limited labor expense of computer operations and the data communications required.

     The MCO’s PBM-Nevada will be operated by selected management dedicated solely to the owner-MCO’s Drug Benefit programs.

      DpRx.com will supply all resources to the PBM-Nevada operations for the owner MCO. There is no investment in personnel, equipment, facilities or anything else for the owner MCO. DpRx.com performs, what has been historically called, a Facilities Management contract for the PBM-Nevada, LLC.

      The new PBM would have separate management offices and be in close proximity to the DpRx.com professional pharmacy managers and technicians and their dedicated computer center operations.

     The MCO will construct its PBM contract with DpRx.com, arms-length, and provide fair and balanced consideration for the services rendered. At the outset, the contract’s terms and conditions will closely match the current costs charged by your PBM.

     The software used, called TeleCLAIM, is a very mature system that has evolved since 1987. It was first employed with the then very large HMOs of FHP of Fountain valley, California and Maxicare of Los Angeles. This system was one of the first real-time, online systems that processed pharmacy claims using the NDC, ENVOY and MedeAmerica communication networks.

     This system is today an Internet capable system with simultaneous availability of TCP/IP and X.25 data communications functionality. The latter protocol is common to most pharmacies and chains at this time. This system is now operative in South America under Internet communications and is ready for the US migration to this more efficient technology

     The TeleCLAIM system features adjudication functionality that is a culmination of many years of varied techniques. During the decade of the system’s evolution there was an aggressive accommodation of many individual requests for special approaches to cost containment and therapy compliance. These techniques are all easily employed by the use of the system module called "PlanBuilder". This system program module is a 12 page "book" of fill-in-the-blanks adjudication options that provides hundreds of algorithms for control of formulary, AWP/MAC pricing, tiered co-pays, deductible/maximum strategies, refill limitations and may other control factors that are extended by 15 Appendices of long parameter lists.

     In one recent comparative situation, the DpRx.com software converted a PBM client of DPS, Minneapolis and in the first quarter of use, the PMPM was reduced 25% by the DpRx.com software techniques of cost containment. The major contributor to the reduction appeared to be improved Refill-too-soon containment.

     The State of Nevada is well known for its gaming industry. Las Vegas and Reno are well known as the virtual capitals of entertainment and gambling. The taxes collected from gaming have provided an enormous tax base for the state. It fosters a robust number of programs by the government in support of population and business growth. Nevada is at this time the fastest growing state in the USA.

     Nevada does have a sales or consumption tax that is primarily borne by residents and local businesses but even this tax rate is lower than most other state sales’ taxes and does not impact the bottom line of business.

     Privacy is a major benefit of Nevada business operations. The state only requires the name of the President, Treasurer, Secretary and an agent for its public records. It is usual and customary to pay a small fee to specialty organizations in the state who provide individuals who may be named as nominee officers.

     Las Vegas also has some very special advantages for the PBM. Proximity to an International Airport – McCarron Field that one can reach in fifteen minutes from the PBM offices. This airport is the hub for at least two airlines which enables frequent and regular flights from all over the country. Hotels and lodgings are the superior to most cities and the most economical in the country. Rates as low as $29 per night and buffets for a low as $7.00 per person. Your employees and clients all would desire to travel to Las Vegas for business.

     Clients of major PBMs commonly complain about the lack of very special attention to their problems. This ordinarily is a result of the large number clients and the size of a PBM’s business. The DpRx plan puts the client MCO in the number one position where there is no number two position. The MCO owns the company and has the power to place high priority on any task and expect that it gets the attention it deserves. In many instances a change in Benefit Plan may take several days or several weeks. With the DpRx program any Benefit Plan may be made immediately.

     For the MCO, there clearly are financial benefits that can inure to the management, to the pharmacy department employees and to the patients of the MCO that otherwise are not available by the current approach with an independent PBM.

     Assuming that the PBM operates at the same level of cost as the present PBM provides, then their profitability plus efficiencies of independence from manufacturers will deliver hard cash to individuals or entities designated by the MCO. These dollar benefits can be exceptional or at least meaningful based on the number participating. With such a program, employee turnover may be dramatically reduced or provide a deterrent to increasing regular compensation demands.

     These dollar benefits may even escape immediate income taxes and this will be explained by the DpRx representative upon an expression of interest. Of course, the savings might simply be applied to reducing the PMPM for the overall benefit of the sponsoring MCO.

     Other employee benefit programs can be subsidized by the profits saved by the PBM. Funds that are used for employee and employee-family education can be organized as the beneficiaries.

     These funds can be allocated to reserves that can be used for coverage of special experimental medical therapies not covered by the MCO’s regular benefit plans. Such subsidies can go very far in ameliorating complaints charged by the press and others about patients with terminal conditions that request experimental treatment that may be in progress at other institutions.

     Consider the acquisition of highly sought-after pharmacy personnel to improve the expertise available to improve outcome results or PMPM performance for the MCO. Recruitment of such personnel can be performed without direct reflection on the parent MCO. These highly rated personnel may be recruited from very close competitors without a valid accusation of pirating lodged by the competitor (they would be employed by DpRx, a third party)

      For your members, the PBM will provide discount passes to selective entertainment programs offered at the time of their visits to Las Vegas. Most importantly, their ID cards can be arranged to be honored by local pharmacies while they are in Las Vegas. A call to our Help Desk can provide referrals to local Las Vegas Doctors in case of minor emergencies.

     Employee morale certainly could be enhanced by the opportunity to attend company business in Las Vegas. The after hours fare of Las Vegas is unparalleled in the world and at the lowest costs.