What equipment is needed to dispense medications?

A computer/laptop and printer are needed in order use the system and print labels. A barcode scanner for scanning medication bottles is also highly recommended for safety. In states where driver’s licenses have magnetic strips, a mag strip reader can be used to swipe the driver’s license for the patient information. MDScripts is designed to operate with stock equipment, but we do have a list of recommended equipment and reliable vendors. In some states like Florida, there is a minimum set of equipment that must be at each dispensing station, such as electronic scales and other pharmacy tools.

Is physician dispensing legal in my state?

Each state has its own laws in place regarding physician dispensing. Restrictions on physician dispensing are there to protect the business interest of pharmacy store locations in your area. Before you consider dispensing, you should seek legal advice specific to your area and practice. Be sure to cover “fee splitting” issues with your legal counsel if someone other than a repackager/wholesaler is making money from your dispensing. It is also important to consider your practice’s insurance coverage for liability when dispensing medications.

The sales person told me it was ok to do this. Should I listen to him?

As a licensed physician, you will be held directly accountable for any laws you break regardless of what any sales person, repackager, wholesaler or software engineer tells you. If something goes wrong, they will not come to your rescue. Everyone should read the US Department of Justice, Office of Diversion Control’s “Practitioner’s Manual”. It is an informational outline of the Controlled Substances Act (CSA) to assist practitioners. It can found here:

http://www.deadiversion.usdoj.gov/pubs/manuals/pract/index.html

Are there up front fees and contracts to sign?

There are no up front fees. In physician dispensing, and up front fee means you are getting scammed. Contact us before you write that check so we can save you a bunch of money. MDScripts has some basic contracts for patient confidentiality, but practices are free to use or not use MDScripts at anytime. Our clients are happy with our services and we don’t need contracts to hold practices as prisoners.

Is my practice going to make a lot of money from dispensing?

Physician dispensing has been around for decades. Based on the number of physicians dispensing after all these years, common sense indicates that it will not make you rich. Dispensing will supplement your practice’s income and provide convenience to your patients. Although there are a few exceptions to this general observation, generally speaking practices generate income from dispensing generic medications and/or submitting claims to payers based on AWP pricing.

Can MDScripts dispense the medications that I have right now?

MDScripts is not limited to any one repackager’s medications. In a few cases, we have to add some NDC’s to the system when we encounter an unknown medication. Scan your inventory to add it to the MDScripts inventory and you will be able to dispense the medications.

Why are there sales people trying to convince my practice to do dispensing?

There are two types of sales people in physician dispensing. The majority of the sales people are independent contractors that have an agreement with a repackager to promote the sale of the repackager’s medications. They are normally paid a commission based on medications ordered by the practice from the repackager, and some of them earn a small base salary. The second type of salesperson is one that is a direct employee of the repackager. These employees are paid a full salary, health benefits and are treated as employees. Only the more established repackagers can afford to employ their own sales staff. Even when a repackager employees its own sales staff, it may contract with independent sales people since their are so many states to cover.

It’s important to ask which type of sales person you are dealing with. The independent contractor is most likely to recommend the use of the repackager from which they (the sales person) earn the most commission. The sales person who is an employee of the repackager will obviously only promote their employer.

Can my practice save money by not using a sales person?

Sales people perform a value added service for your practice. During the setup of your practice, they will assist to make things go well and answer questions. After setup, they will monitor dispensing activity and some of them may monitor inventory levels. Sales people consume a substantial portion of profits from repackagers, but repackagers are forced to use them because they cannot afford to directly hire 50 employees. Although it’s not likely you will get better pricing initially, a repackager is more likely to extend better pricing to its better clients when there is margin to do so.

Whether or not you should use a sales person depends on whether there is someone at the practice with enough organization skills and time to setup your dispensing station. Physicians rarely have the time to attend to the details and daily operations of a dispensing station therefore, it is important to assign that responsibility to someone at your practice.

Does MDScripts complete prescription drug monitoring program (PDMP) reports?

MDScripts performs automatic controlled substance dispense reporting on a weekly basis for the states listed below. Physicians, their staff, billing companies, and repackagers don’t need to do anything since it is automated. Contact us if you would like to see automation for other states. Automatic PDMP reporting is performed for the following states:

• California CURES
• Alabama PMP
• Tennessee TNRx
• Illinois PMP
• Nevada PMP
• South Carolina PMP
• Michigan MAPS
• Mississippi PMP
• Indiana Inspect
• Oklahoma PMP