The program was developed by The Abacus Group, of Cranston, RI, and is accessed via the internet. Currently, the main focus is to offer substantial discounts for maintenance drugs, both name brand and generic categories.

Members, insured in the city's Blue Choice or Master Medical plans, will have all prescription copayments waived for drugs purchased through the discount program. For those retirees insured under Medex, the normal $250 annual prescription drug deductible is waived. Medex retirees would then have to pay $5 or $10 for a 90 supply purchased through the program.

Last year, the City saw its annual healthcare costs increase by over 20%, to a high of $64 million for FY05. Instead of cutting benefits or passing the increase on to its retirees and survivors, Worcester opted to try the new program.

One of the key elements of the program is the reimportation of prescription drugs from Canada. Under the program being used by Worcester, retirees can purchase name brand drugs through Canusa Health of Windsor, Ontario. Generic drugs are supplied through Immediate Pharmacutical Services of Ohio.

"We applaud Worcester's city officials for taking these bold steps to control the cost of prescription drugs in a way that does not raise prices or endanger our members. This is a voluntary program, in which retirees have complete discretion in choosing to join or not join," said Association Legislative Liaison Shawn Duhamel.