Q -- HRSA 340B Prime Vendor Agreement

The contract involves the extension of the HRSA 340B Prime Vendor Agreement for an additional year, from September 10, 2006, through September 9, 2007, under the exercise of Option Year One as outlined in Section VIII of the original agreement dated September 10, 2004. The prime vendor, Health Purchasing Partners International, has effectively served 340B safety-net hospitals and clinics by negotiating significant discounts on over 2200 brand and generic drugs, achieving prices between 1 and 77 percent below the statutory 340B ceiling price, averaging 10.9 percent below. In addition, the vendor secured agreements with 13 national and regional drug distributors, including specialty wholesalers tailored to smaller clinics, resulting in an average 7 percent reduction in distribution costs. Beyond drug pricing, the vendor has enhanced the value offered through negotiations for additional products and services such as vaccines, diabetic supplies, and rapid HIV test kits, supporting the diverse needs of the participating healthcare providers. The announcement clarifies that this is not a solicitation but an extension of the existing agreement. The contracting officer handling this agreement is Francis R Murphy, who can be contacted via email or phone. The contract is associated with NAICS code 446110, reflecting its relevance to retail pharmacies or drug stores.