Local pharmacy closes due to financial strain from pharmacy benefit managers

In the United States, Sacramento's Ten Acres Pharmacy announced its closure after operating for five years. The closure is attributed to significant financial pressures faced by the pharmacy, particularly from Pharmacy Benefit Managers (PBMs), which have negatively impacted reimbursements for local pharmacies. Sonya Frausto, the owner and pharmacist, stated that the financial strain has made it nearly impossible for her to continue offering essential care to her community. Customers have expressed heartfelt sentiments about the loss, particularly citing the personal relationships built over years of service. Frausto indicated that she has seen a steady increase in drug costs, with expenses rising by 3 to 25 percent, while reimbursements from insurance companies remained unchanged. This discrepancy has created a chasm that ultimately rendered the business unsustainable. State Senator Scott Wiener, who represents San Francisco, highlighted the concerning trend of neighborhood pharmacies declining due to similar financial pressures. He is advocating for legislative reforms aimed at rectifying the reimbursement structure. Wiener has proposed a bill intended to create equitable reimbursement rates across PBMs and restrict their practices that force patients toward mail-order services. He believes that such measures are essential to preserve critical health services in local communities. Currently, the bill appears to be gaining traction and has bipartisan support, with the governor reportedly backing it as well. The impending closure of Ten Acres Pharmacy will affect many locals, including those who have built long-term relationships with Frausto and her team. The pharmacy had become a staple for many in the Curtis Park/Land Park area, providing personalized care to customers, including those who have had their families grow up over the years. The emotional toll on Frausto is evident as she reflects on her inability to continue serving her community due to factors outside her control.