STARKO v. NEW MEXICO HUMAN SERVICES DEPT.

Nos. 33,382, 33,383, 33,384.

333 P.3d 947 (2014)

2014-NMSC-033

STARKO, INC., d/b/a Medicine Chest # 1, and Jerry Jacobs, d/b/a Pill Box Pharmacy # 4, for and on behalf of themselves and all others similarly situated, Plaintiffs-Respondents and Cross-Petitioners, v. NEW MEXICO HUMAN SERVICES DEPARTMENT and Medical Assistance Division of the New Mexico Human Services Department, Defendants-Petitioners and Cross-Respondents, and Presbyterian Health Plan, Inc., a New Mexico corporation, d/b/a Presbyterian Salud and Cimarron Health Plan, Inc., a New Mexico corporation, d/b/a Cimarron Health Maintenance Organization, a/k/a Cimarron HMO, Defendants, and Starko, Inc., d/b/a Medicine Chest # 1, and Jerry Jacobs, d/b/a Pill Box Pharmacy # 4, for and on behalf of themselves and all others similarly situated, Plaintiffs-Respondents and Cross-Petitioners, v. Presbyterian Health Plan, Inc., a New Mexico corporation, d/b/a Presbyterian Salud, Defendant-Petitioner and Cross-Respondent, and Cimarron Health Plan, Inc., a New Mexico corporation, d/b/a Cimarron Health Maintenance Organization, a/k/a Cimarron HMO and New Mexico Human Services Department and Medical Assistance Division of the New Mexico Human Services Department, Defendants, and Starko, Inc., d/b/a Medicine Chest # 1, and Jerry Jacobs, d/b/a Pill Box Pharmacy # 4, for and on behalf of themselves and all others similarly situated, Plaintiffs-Respondents and Cross-Petitioners, v. Cimarron Health Plan, Inc., a New Mexico corporation, d/b/a Cimarron Health Maintenance Organization, a/k/a Cimarron HMO, Defendant-Petitioner and Cross-Respondent, and Presbyterian Health Plan, Inc., a New Mexico corporation, d/b/a Presbyterian Salud, and New Mexico Human Services Department and Medical Assistance Division of the New Mexico Human Services Department, Defendants.

Supreme Court of New Mexico.

August 25, 2014.


Attorney(s) appearing for the Case

Gary K. King , Attorney General, Jerome Marshak , Special Assistant Attorney General, N.M. Human Services Department, Larry Heyeck , Santa Fe, NM, for Petitioners and Cross-Respondents, New Mexico Human Services Department and Medical Assistance Division of the New Mexico Human Services Department.

John B. Pound, L.L.C., John Bennett Pound , Santa Fe, NM, Rodey, Dickason, Sloan, Akin & Robb, P.A., Edward R. Ricco , Melanie Bret Stambaugh , Albuquerque, NM, for Petitioner and Cross-Respondent, Presbyterian Health Plan, Inc., a New Mexico Corporation, d/b/a Presbyterian Salud.

Modrall, Sperling, Roehl, Harris & Sisk, P.A., Lisa Mann , Jennifer A. Noya , Emil John Kiehne , Anna Elizabeth Indahl , Albuquerque, NM, for Petitioner, Cimarron Health Plan, Inc., a New Mexico Corporation, d/b/a Cimarron Health Maintenance Organization, a/k/a Cimarron HMO.

Peifer, Hanson & Mullins, P.A., Charles R. Peifer , Robert E. Hanson , Lauren Keefe , Elizabeth K. Radosevich , Cavin & Ingram, P.A., Stephen Dean Ingram , Sealy Hutchings Cavin, Jr. , Albuquerque, NM, for Respondents and Cross-Petitioners.


OPINION

MAES, Justice.

{1} In these consolidated appeals, we consider whether pharmacists who dispense prescription drugs to Medicaid recipients must be paid under the formula set forth in NMSA 1978, Section 27-2-16(B) (1984). Section 27-2-16(B) provides that the New Mexico Human Services Department (HSD) pay participating pharmacists the wholesale cost of the generic brand plus a dispensing fee of at least three dollars sixty-five cents ($3...

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