Wilson Drug’s closure in Hearne echoes industry-wide independent pharmacy struggles

HEARNE, Texas (KBTX) -In the last decade, over 1,000 independent pharmacies in Texas have closed, and more closures are expected next year, including right here in the Brazos Valley.

A pharmacy that has served the Hearne community for decades is set to close its doors for good next week.

Since 1954, Wilson Drug in Downtown Hearne has been dispensing prescriptions and offering personalized customer service. But come next week, this historic, independent pharmacy will join the ranks of hundreds across the state and thousands across the country closing its doors for good.

Leah Allen, the pharmacist and owner of Wilson Drug in Hearne and Duffey Drug in Franklin, cites inadequate reimbursement often falling far below the actual drug costs, the imposition of DIR fees which are the result of a loophole in Medicare regulations, and escalating overhead expenses as key factors leading to the closure.

“I would have loved nothing more than to keep up the level of service for many more years but so many factors are fighting against independent pharmacy owners in this day and age,” said Allen. “Independent pharmacy isn’t long for this world unless some real changes are made that allow a small business to play on the same and level field that the big box pharmacies play on.”

Wilson Drug’s closure in Hearne echoes industry-wide independent pharmacy struggles (Donnie Tuggle/Bryan-College Station)

“This is something that’s probably been in the works for, I would say, probably six to eight months, trying to figure out if there was anything we could do to keep the business open or sustain it,” Allen added.

Experts say the biggest struggle for independent pharmacies is underwater reimbursements, among increasing fees and third-party benefit administrators.

“Pharmacies in general many times don’t get paid what we pay for the drugs. That’s kind of something that’s been going on for a while, is that the payment for them has just become less and less and you can’t sustain a business whenever you’re not making profit that goes into paying employees, paying overhead, paying the things that you need to stay in business and so that’s been a struggle for us and for many independent pharmacies. That’s why the rate of closure has been so high lately,” Allen added.

Brandi Chane is the owner of Davis City Pharmacy in Weatherford, TX, and a member of the nonprofit Pharmacist United for Truth & Transparency, which advocates for the rights of community pharmacies and their patients.

“It’s a daily struggle just to keep the doors open. If I purchase a drug for $50 and a pharmacy benefits manager comes back and reimburses me for less than what I paid for that drug, then it’s a loss for us,” said Chane.

According to data compiled by Pharmacists United for Truth and Transparency from information provided by each State Board of Pharmacy, 263 independent pharmacies went out of business in 2022 and 152 for the first half of 2023.

The pharmacy closure in Hearne is a loss that many say will be deeply felt. Patricia McClenton, the longest-serving store clerk, says that working at Wilson Drug wasn’t just a job but more like being part of a family within the community.

“About six years ago, I got sick and the love from the community in Hearne, Texas, especially from my customers from Wilson Drugs, surrounding cities, they were there for me,” McClenton said.

Wilson Drug’s closure in Hearne echoes industry-wide independent pharmacy struggles (Donnie Tuggle/Bryan-College Station)

The team at Wilson Drug says they’ll miss supporting the community, youth programs like the Angel Tree during Christmas, and the love shown by Hearne and the surrounding areas for nearly seven decades.

“When my office is full of bikes and all the Christmas presents that have come in, it’s just been such a joy to do those things for the community,” said Allen.

“I am so proud of the tradition of quality pharmaceutical care, wonderful customer service, and love for the community that started way back in 1954. Leon Wilson and Steve and Cathy Lazarus passed down a legacy I have tried to uphold for 16 years. I am grateful for their vision and love for Hearne and the surrounding communities. The citizens of Hearne and our patients and customers have given me immense joy, both personally and professionally,” Allen added.

Wilson Drug’s closure in Hearne echoes industry-wide independent pharmacy struggles (Donnie Tuggle/Bryan-College Station)

Wilson’s last day of operation will be January 5, 2024. They say at that time all pharmacy files will transfer to Duffey Drug in Franklin. They say they will continue to provide service to Wilson Drug customers with as seamless a transition as possible.