New $3.2M Grant Boosts Drug Access for Rural Hospitals in 9 States Including Montana

A $3.2 million grant launches a new drug access program for rural hospitals.

Civica Rx, a non-profit generic pharmaceutical company, and the Helmsley Charitable Trust have initiated the Civica Rural Hospital program to provide reliable access to critical generic drugs during shortages. This pilot program targets rural hospitals across nine states, aiming to alleviate structural challenges in drug availability and pricing.

The program, active since Memorial Day, serves approximately 330 hospitals with about 6,750 beds in Hawaii, Iowa, Minnesota, Montana, Nebraska, Nevada, North Dakota, South Dakota, and Wyoming. Funded by a $3.2 million grant, it eliminates purchase minimums and membership fees for participating rural hospitals. Civica Rx’s membership model and Helmsley’s financial support work together to reduce cost spikes and labor burdens caused by frequent drug shortages, which affect nearly 90% of primary care physicians nationwide. Civica’s vice president, Mike Laffin, emphasized the group’s founding purpose: tackling essential generic drug shortages.

The pilot will run for three years with intentions to expand nationwide.

Montana’s rural hospitals could benefit from this program’s stable drug supply and cost control, given their geographic isolation and limited purchasing power. This model might provide a framework for improving healthcare logistics in similarly situated communities across the state.

Non-Profit Pharmaceutical Manufacturer Delivers Drug Access to Rural Hospitals
By Liz Carey, The Daily Yonder