Agenda 10/14/2025 Item #16E11 (7th Amendment to Agreement #20-045-NS Pharmacy Benefit Management Services Agreement w/Navitus Health Solutions, LLC)10/14/2025
Item # 16.E.11
ID# 2025-3717
Executive Summary
Recommendation to approve the Seventh Amendment to Agreement No. 20-045-NS Pharmacy Benefit Management
Services Agreement with Navitus Health Solutions, LLC, extending the agreement for an additional year through
December 31, 2026, resulting in an estimated savings of $67,000, and to incorporate the BioSimilar Program into the
agreement, resulting in additional estimated savings of $1,680,000.
OBJECTIVE: To approve the Seventh Amendment to the County’s Pharmacy Benefit Management Services
Agreement for the purpose of providing prescription drug coverage to members of the Collier County Group Health
Plan through the procurement of a Pharmacy Benefit Management Program.
CONSIDERATIONS: The County, through its Human Resources Division, administers a partially self-funded Group
Health Insurance Plan (“the Plan”) for eligible employees and covered dependents across five constitutional officer
agencies including the Board of County Commissioners, Clerk of the Circuit Court, Property Appraiser, Supervisor of
Elections, and Tax Collector. A key component of the Plan is prescription drug coverage, provided through a Pharmacy
Benefit Manager (“PBM”). PBMs leverage large populations of covered members to negotiate favorable pricing from
drug manufacturers and retail pharmacies on behalf of the plans they manage. The County currently has an approved
contract with Navitus Health Solutions, LLC (“Navitus”) to serve as the PBM.
The County entered into Agreement No. 20-045-NS (the “Agreement”) with Navitus on June 23, 2020, with an effective
date of January 1, 2021, that was to originally run through December 31, 2024. On December 26, 2024, the parties
entered into a Sixth Amendment to the Agreement that extended the Agreement for one additional year through
December 31, 2025.
In collaboration with the County’s benefits consultant, Willis Towers Watson Midwest, Inc., staff is recommending an
additional one-year extension beginning January 1, 2026. This recommendation reflects a strategic decision grounded in
the following key considerations:
1. Favorable Terms and Deeper Discounts
Navitus continues to offer highly competitive terms, including improved discount structures that result in
measurable cost savings. Under the proposed extension, the County is projected to save approximately
$57,000 in the 2026 calendar year.
2. Lower Overall Drug Costs
Navitus’ transparent pricing model and effective formulary management contribute to reduced pharmacy
costs without compromising access to essential medications. The upcoming extension is expected to lower
drug costs by more than $10,000 in 2026.
3. Consistently High Service Performance
Navitus has demonstrated strong operational performance through proactive account management, timely
claims processing, and responsive support for both County staff and plan members. Their service delivery has
supported reliable and efficient plan administration.
4. Continuity Amidst Market Volatility
In light of national attention on the cost of prescription medications, and the Federal government’s focus on
advancing reforms related to PBMs, the industry continues to experience regulatory, pricing, and structural
shifts. Maintaining an established partner like Navitus provides continuity to covered members and strategic
flexibility as the market evolves in the coming calendar year, minimizing risk and disruption to the Plan.
5. Value-Added Programs Driving Additional Savings
Navitus has introduced innovative programs in 2025 that further enhance cost savings and plan value. Their
Biosimilar Program ensures optimal use of clinically appropriate, lower-cost alternatives to high-cost
biologics, contributing to significant reductions in overall spend. In addition, their GLP-1 Co-Pay Assistance
Program secures manufacturer support to offset member cost-sharing while guaranteeing the lowest net cost
to the Plan. These targeted solutions reflect Navitus’ proactive approach to cost management and member
affordability.
To ensure a timely and competitive procurement process, staff is actively working with the Procurement Services
Division to develop and release a comprehensive Request for Proposal for Pharmacy Benefit Management Services for
Page 3678 of 6526
10/14/2025
Item # 16.E.11
ID# 2025-3717
the 2027 calendar year. The RFP will be issued in late 2025, with the intent to bring forward a new contract
recommendation for Board consideration in 2026, in advance of a January 1, 2027, effective date.
This item supports the strategic plan by promoting fiscal stewardship and sound budget oversight.
FISCAL IMPACT: The total estimated annual cost to provide pharmacy products and services is approximately
$15,000,000 per calendar year, based on previous claims history and member count. Sufficient funds have been
budgeted in Fund 5017, Group Health and Life, for this purpose.
GROWTH MANAGEMENT IMPACT: There is no growth management impact associated with this item.
LEGAL CONSIDERATIONS: This item is approved as to form and legality and requires majority vote for Board
approval. —SRT
RECOMMENDATIONS: To approve the Seventh Amendment to Agreement No. 20-045-NS Pharmacy Benefit
Management Services with Navitus Health Solutions, LLC, which will extend the agreement through December 31,
2026, and will result in an estimated savings of $67,000, and to incorporate the BioSimilar Program into the agreement,
resulting in additional estimated savings of $1,680,000, and authorize the Chairman to sign the attached amendment.
PREPARED BY: Sonja Sweet, Risk Manager, Human Resources
ATTACHMENTS:
1. 20-045-NS Navitus SeventhAmendment VS
2. 20-045-NS_SixthAmendFE_Navitus
3. 20-045-NS Fifth AmendmentFE_Navitus
4. 20-045-NS_4thAmendFE_Navitus
5. 20-045-NSAmend#3_NavitusHealthSolutions_FullyExecuted
6. 20-045-NS_Fully Executed #2 Amendment_NavitusHealthSolutionsLLC
7. 20-045-NS_ Amend#1_FullyExecuted
8. 20-45-NS NavitusHealthSolutions_FullyExecuted-
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DocuSign Envelope ID: FCD86B47-85D0-4E71-8802-63DC0121AA50President & CEODavid Fields1/17/2022President & CEO1/17/2022David FieldsXAuthorized SignatoryProcurement Director -1/18/20221/18/2022Page 3730 of 6526
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