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Ringgold County board authorizes moving forward with jail pharmacy agreement to enable Medicaid/Medicare billing
Summary
Sheriff Rob Hatey and Chief Deputy Nathan Nickle presented a proposal to switch jail pharmacy services to Diamond Pharmacy Services Medical Supply that would allow billing to Medicaid/Medicare when eligible, guarantee pricing for five years with 3% annual caps, include next-business-day delivery, and permit termination on 120 days' notice; the board approved proceeding unanimously.
The Ringgold County Board of Supervisors on March 3 voted to move forward with a proposed agreement with Diamond Pharmacy Services Medical Supply intended to change how the county fills and pays for jail inmate medications.
Sheriff Rob Hatey and Chief Deputy Nathan Nickle told the board the current vendor, Hy-Vee, does not permit the sheriff’s office to bill Medicaid or Medicare first for inmate medications after incarceration. Chief Deputy Nathan Nickle said the proposed Diamond Pharmacy Services contract would allow medications to be billed to Medicaid or Medicare when eligible; if coverage is denied, the county would be billed at a reduced rate. The board was told the higher volume of recent activity could mean significant cost savings if the new billing approach is implemented.
The proposed agreement, as described to the board, includes a termination clause allowing either party to end the contract with 120 days’ written notice. It also guarantees medication pricing for five years with annual increases capped at 3 percent, and offers next-business-day delivery and individually packaged medications to reduce waste. Unopened medications may be returned and credited back to the county, according to the presentation.
Supervisor Randy Taytor moved to move forward with the agreement; Supervisor Steve Knapp seconded. The board adopted Resolution RC26-39 unanimously.
The transcript records the board’s vote to proceed but does not include a detailed cost estimate, the effective start date of the contract or the full contract text. Those details will be finalized during contract negotiation and implementation by the sheriff’s office.
