Willie Penrose (Longford-Westmeath, Labour)
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Question 88: To ask the Minister for Health and Children if her attention has been drawn to the fact that a significant number of pharmacists have been in contact with the Health Service Executive indicating that if the HSE persists in altering the terms and conditions of their contract in regard to the reimbursable medicines dispensed by the pharmacies by 1 May 2008, that they would consider such a change to be a fundamental breach of contract and in such circumstances they would reserve the right to terminate their contracts with effect from 1 May 2008; the position in relation to trying to reach an amicable resolution of this impasse; and if she will make a statement on the matter. [13723/08]

Mary Harney (Dublin Mid West, Progressive Democrats)
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At this point, two individual community pharmacists have given formal notification to the HSE of their intention to cease dispensing to public patients under the terms of the Community Pharmacy Contractor Agreement. Separately, a significant number of community pharmacists have notified the HSE that they either intend to formally withdraw services under their contracts at a future date, or alternatively that they are considering their contractual position with the HSE. In none of these cases has formal notification of cessation of services been received.

The HSE does not accept that it is in breach of contract with community pharmacists and has written to all those pharmacists who have notified it of their intention to withdraw services at some future date pointing out that, under the terms of the Community Pharmacy Contractor Agreement, each pharmacy contractor is required to give three months notice in writing of termination of the agreement.

The HSE also points out that, in the circumstances where the health of participating patients in the GMS and related schemes is of paramount importance, the HSE has no option, in the interests of patient care and safety, but to require pharmacists to abide by the three-month notice period required under the contract and to continue to provide services until the end of that period. This is to ensure that the HSE is in a position to put alternative arrangements in place for public patients who may be affected by the actions of individual pharmacists. In the event of withdrawal, patients are also entitled to retrieve their repeat prescriptions and a copy of their dispensing records to enable them to access the services of another pharmacy.

In response to demands from community pharmacists to address the alleged impact of the new wholesale pricing arrangements on GMS dependent pharmacies, in particular, the HSE has offered a voluntary interim contract with a flat rate dispensing fee of not less than €5 for all dispensing under the GMS and community drugs schemes.

I have also established an Independent Body to assess an interim, fair community pharmacy dispensing fee to be paid for the medical card scheme, the DPS and other community drug schemes. This Body is being chaired by Mr Sean Dorgan, former Head of IDA Ireland. It has been asked to make its recommendations by the end of May 2008.