APCI, a member-owned group purchasing organization, said the Kentucky community will lose pharmacy access when its longtime pharmacist retires after 50 years, with no replacement found, as PBMs have already forced the closure of another independent pharmacy in the same town.
According to APCI, "PBMs already closed another independent pharmacy in the community and now another pharmacy will close."
Steve Dean, owner of Dean's Pharmacy in Brooksville, Kentucky, will retire on August 31 after more than 50 years serving Bracken County families. Dean opened his pharmacy on January 1, 1976, in a town that previously had no drugstore. He has not found anyone to take over the business, meaning Brooksville will be without a pharmacy once he closes. When asked about his biggest obstacle over five decades, Dean pointed to insurance companies, saying it "can be hard to get around them," according to the Ledger Independent.
Dean's Pharmacy is the latest in a wave of rural pharmacy closures in the region. Reynolds Pharmacy in nearby Augusta closed in May 2024 after its owners said PBM reimbursements began declining in 2016 until they could no longer sustain losses. The community pharmacies model relies on insurer reimbursements, but PBMs have aggressively cut reimbursement rates, often forcing pharmacies to dispense prescription drugs at very low margins or at a loss, according to the Ledger Independent.
A national survey by the National Community Pharmacists Association found that 96.5 percent of independent pharmacists said PBM reimbursement for Medicare Part D threatens their business viability; nearly half reported significant financial decline in 2024. More than half of independent owners are now losing money on over 60 percent of Part D prescriptions they fill, according to EcoPharma.
APCI is a member-owned group purchasing organization serving independent pharmacies in 31 states and aims to help these businesses compete through collective purchasing power and advocacy efforts. According to APCI, it provides operational support for independent pharmacies.
