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Transparency Fight Over CVS Caremark Contracting Practices Escalates With Lawsuit for Release of Univ. Drug Benefit Contract
Change to Win, Public Citizen Seek Records From Michigan School to Shine Light On Prescription Drug Costs, Increase Transparency in Government Spending
WASHINGTON
Change to Win today sued Ferris State University, seeking the
release of a government contract between the university and CVS
Caremark, a pharmacy benefit management (PBM) company, among other
documents. Change to Win is represented by Margaret Kwoka, an attorney
at Public Citizen, a nonprofit organization with a history of fighting
for government transparency, and by attorney Ted Iorio of the Michigan
firm Kalniz, Iorio & Feldstein. The case was brought under the
Michigan Freedom of Information Act (FOIA) in Mecosta County Circuit
Court.
"CVS Caremark's lack of transparency is driving up prescription
drug costs for consumers and health plans alike," said Chris Chafe,
executive director of Change to Win. "Michigan law protects the
people's right to know, in this case, what CVS Caremark is charging the
university for prescription drug benefits, but also what compensation
CVS Caremark may be receiving in the form of undisclosed agreements
with drug manufacturers and pharmacies at taxpayers' expense."
Change to Win filed the suit after Ferris State University, a public
college based in Big Rapids, Mich., partially denied a request for a
copy of the CVS Caremark contract. The school released part of the
contract but refused to release key portions such as pricing
information. Public Citizen and Change to Win assert that the redacted
information, such as prices, should also be disclosed. Change to Win is
engaged in an effort to increase the public accountability and
transparency of drug middlemen, such as CVS Caremark, to allow for
public scrutiny of drug benefits and drug pricing practices.
CVS Caremark Resists Transparency
CVS Caremark is enormously resistant to transparency. The company
has taken extraordinary measures to prevent greater disclosure of its
practices, including allegedly interfering with audits by its clients,
opting out of contract opportunities to avoid greater disclosure and
vigorously opposing legislative and other measures to increase
transparency in the PBM industry. Last year, CVS Caremark sued the
Texas Attorney General to prevent disclosure of a public contract in
Texas but dropped its suit on the day of trial last September. The
contract has since been made public. A recent study by the Texas State
Auditor's Office found that CVS Caremark's prices were significantly
higher than some competing PBMs, and called on Texas agencies to
educate themselves about PBM contracting practices before entering into
drug benefit contracts.
"Ferris State University is unlawfully withholding information about
its contract with CVS Caremark," said Kwoka. "Under Michigan law, the
full contract, including the prices, should have been released to our
client. Michigan FOIA law does not allow the university to withhold
information such as prices that are a necessary part of the terms of a
government contract. This suit will ensure that Michigan FOIA laws
serve the purposes they were meant to, permitting public scrutiny of
government practices such as contracting."
Right to Know in Michigan
Under well-established Michigan law, the people have a right to know
how government spends tax dollars through government contracts. The
Michigan FOIA provides that information submitted to gain a government
contract or other governmental benefit must be released upon public
request. The law reflects the public interest in the public
availability of basic information that allows for citizen debate and
oversight regarding the expenditure of government funds.
CVS Caremark is the country's second-largest PBM and has contracts
with many state entities across the country, including several in
Michigan. In 2005, the University of Michigan stopped contracting with
Caremark, citing concerns that its pricing practices were not
transparent. Many PBM contracts with government agencies, including
several Caremark contracts, have been made public in Michigan and other
states under Freedom of Information laws.
Public Citizen is representing Change to Win as part of its Public Interest FOIA Clinic,
which was launched last year and is designed to give comprehensive
assistance to other nonprofit organizations seeking government-held
information. Through the clinic, Public Citizen provides direct FOIA
litigation assistance to public interest organizations. Public Citizen
lawyers also collect and analyze information about recent FOIA
litigation conducted by public interest organizations to identify and
address common FOIA problems.
For backgroundand more information, visit: www.AlarmedAboutCVSCaremark.org.
To read the lawsuit, go to: https://www.citizen.org/documents/ferrisstatefoiacomplaint.pdf
Alarmed About CVS Caremark is a Change to Win initiative to
educate health plan managers and trustees as well as consumers about
the newly merged CVS Caremark, now the country's second largest
pharmacy benefits manager (PBM) and largest retail pharmacy chain.
Change to Win represents workers in CVS Caremark plans that cover more
than 10 million people. On behalf of these health plan members, the
initiative seeks reform of the PBM industry to protect plan members'
health and privacy.
Public Citizen is a nonprofit consumer advocacy organization that champions the public interest in the halls of power. We defend democracy, resist corporate power and work to ensure that government works for the people - not for big corporations. Founded in 1971, we now have 500,000 members and supporters throughout the country.
(202) 588-1000LATEST NEWS
100+ People Dead in Texas—Just 2 Months After Former National Weather Service Chiefs Warned of 'Nightmare' Scenario
While the agency and outside meteorologists say the NWS provided timely and accurate forecasts, the fatal flooding is generating fresh alarm about cuts and open positions.
Jul 07, 2025
As the official death toll from catastrophic flooding in Texas ticked above 100 on Monday, concerns over vacancies as well as job and potential funding cuts at the National Weather Service continued to mount—even as the NWS and independent meteorologists insisted that the agency had "issued timely warnings in advance of the deadly floods."
The flooding came just over two months after all living former directors of the NWS published a letter sounding the alarm about President Donald Trump's proposed budget for fiscal year 2026 and its cuts to the National Oceanic and Atmospheric Administration (NOAA), the parent agency of the NWS in the U.S. Department of Commerce.
The five men—Louis Uccellini, Jack Hayes, Brig. Gen. D.L. Johnson, Brig. Gen. John J. Kelly Jr., and E.W. "Joe" Friday—wrote on May 2 that "even if the National Weather Service remains level funded, given the interconnectedness of all of the parts of NOAA, there will be impacts to weather forecasting as well. We cannot let this happen."
"These proposed cuts come just days after approximately 300 National Weather Service... employees left the public service to which they had devoted their lives and careers," the ex-directors pointed out. "That's on top of the approximately 250 NWS employees who were fired as a result of their probationary status in new—often higher-level positions—or took the initial buyout offered by the Trump administration in early February."
"That leaves the nation's official weather forecasting entity at a significant deficit—down more than 10% of its staffing—just as we head into the busiest time for severe storm predictions like tornadoes and hurricanes," they continued. "Our worst nightmare is that weather forecast offices will be so understaffed that there will be needless loss of life. We know that's a nightmare shared by those on the forecasting frontlines—and by the people who depend on their efforts."
Discussing recent job reductions with The Associated Press on Monday, Uccellini, whose tenure leading NWS included Trump's first term, warned that "this situation is getting to the point where something could break."
"The people are being tired out, working through the night and then being there during the day because the next shift is short-staffed," he said. "Anything like that could create a situation in which important elements of forecasts and warnings are missed."
For the flooding in Texas, the NWS Austin-San Antonio office had five meteorologists working, rather than two, as part of its "surge staffing" protocol.
However, Tom Fahy, the legislative director for the NWS Employees Organization, a union that represents government workers, also told NBC News that the agency's Austin-San Antonio office does not have a permanent science officer, who conducts training for and implements new technology, or a warning coordination meteorologist, who has contact with media.
That office "is operating with 11 staff meteorologists and is down six employees from its typical full staffing level of 26," NBC reported. The nearby San Angelo office "is short four staff members from its usual staffing level of 23. The meteorologist-in-charge position—the office's top leadership position—is not permanently filled. The office is also without a senior hydrologist."
Despite some open positions at the two offices, the NWS began warning of potential flooding as early as Thursday morning, and as conditions worsened overnight, the agency issued its first warning for "life-threatening flash flooding" for parts of Kerr County at 1:14 am Central Time Friday, according to CNN.
"But questions remain about how many people they reached, whether critical vacancies at the forecast offices could have affected warning dissemination, and if so-called warning fatigue had been growing among residents in a region described as one of the most dangerous in the country for flash flooding," the network noted.
As Fahy put it to Politico: "The crux of this disaster is a failure of the last mile of communication... The forecasts went out, they communicated the forecasts, they disseminated the watches and warnings. And the dilemma we have is there was nobody listening at 4 o'clock in the morning for these watches and warnings."
Wisconsin-based meteorologist Chris Vagasky similarly told NBC that "the forecasting was good. The warnings were good. It's always about getting people to receive the message... It appears that is one of the biggest contributors—that last mile."
As The New York Times reported:
In an interview, Rob Kelly, the Kerr County judge and its most senior elected official, said the county did not have a warning system because such systems are expensive, and local residents are resistant to new spending.
"Taxpayers won't pay for it," Mr. Kelly said. Asked if people might reconsider in light of the catastrophe, he said, "I don't know."
As of Monday evening, 104 people are confirmed dead, most of them in Kerr County, which includes Camp Mystic, a Christian all-girls summer camp that lost at least 27 campers and counselors. The AP reported that "search-and-rescue teams carried on with the search for the dead, using heavy equipment to untangle trees and wading into swollen rivers. Volunteers covered in mud sorted through chunks of debris, piece by piece, in an increasingly bleak task."
In a statement to multiple news outlets, the NWS provided a detailed timeline of its alerts. The agency also said that it "is heartbroken by the tragic loss of life in Kerr County" and "remains committed to our mission to serve the American public through our forecasts and decision support services."
U.S. Senate Minority Leader Chuck Schumer (D-N.Y.) on Monday sent a letter to Roderick Anderson, acting inspector general at the Department of Commerce, urging an investigation into "the scope, breadth, and ramifications of whether staffing shortages at key local National Weather Service... stations contributed to the catastrophic loss of life and property during the deadly flooding."
"The roles left unfilled are not marginal, they're critical," he emphasized. "These are the experts responsible for modeling storm impacts, monitoring rising water levels, issuing flood warnings, and coordinating directly with local emergency managers about when to warn the public and issue evacuation orders. To put it plainly: They help save lives."
White House Press Secretary Karoline Leavitt lashed out at him and reporters for such scrutiny on Monday, saying that "unfortunately, in the wake of this once-in-a-generation natural disaster, we have seen many falsehoods pushed by Democrats such as Sen. Chuck Schumer and some members of the media. Blaming President Trump for these floods is a depraved lie, and it serves no purpose during this time of national mourning."
In addition to the president's so-called Department of Government Efficiency—previously led by billionaire Elon Musk, the richest person on Earth—pushing layoffs and retirements, Trump's administration is working to boost fossil fuels that drive the global climate emergency.
As Common Dreams reported earlier Monday, a study published by ClimaMeter found that the floods in Texas were caused by "very exceptional meteorological conditions" that cannot be explained merely by natural variability.
Former Common Dreams staff writer Kenny Stancil is a senior researcher at the Revolving Door Project, which has documented "Trump's attacks on disaster preparedness and response."
"The deadly Texas floods will not be the last manifestation of extreme weather turbocharged by fossil fuel pollution," Stancil wrote in a Monday blog post. "In an era of escalating climate threats, we need a stronger public sector with more resources to mitigate risks, help people weather storms, and adapt to the future."
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'Holding The Line': Municipal Workers' Strike Enters Second Week as Philly Refuses to Pay Living Wage
"We got people that work and repair the water mains and can't afford their water bill," said union leader Greg Boulware last week. "I don't want to be rich. We just want comfort inside the city that we serve daily."
Jul 07, 2025
Philadelphia's largest municipal workers' strike in over 40 years is entering its second week after negotiations with the city broke down this weekend.
Over 9,000 sanitation workers, 911 dispatchers, water services workers, crossing guards, and other city employees walked off the job last week, demanding that the city increase their salary enough to meet the rising cost of living.
But even with trash piling up on the streets and other city services understaffed, Mayor Cherelle Parker (D) would not agree to the demands made by AFSCME District Council 33, Philadelphia's largest blue-collar union.
Parker has offered a pay increase of 8.75% over the next three years, which she described as historic.
But DC 33 president Greg Boulware said that's far too little for municipal workers, many of whom are among the city's "working poor," to survive.
"It's not like as if our members are making $80,000, $90,000 a year," Boulware said. "A 2% increase on those would be significantly higher than it would be on somebody making $40,000-$45,000 a year. So, her math truly is not mathing, and you're clearly not paying attention to the working people that are going on in this city."
The average municipal worker in Philadelphia makes around $46,000, which is $15,000 less than the median income in the city and less than half of what a single adult needs to live comfortably, according to a study by SmartAsset.
"We got people that work and repair the water mains and can't afford their water bill," Boulware said at a rally last week. "We got people that repair the runways at the airport and can't afford a plane ticket. I don't want to be rich. We just want a comfort inside the city that we serve daily."
The union initially asked for an 8% raise for the next four years, which the city dismissed. This weekend, they pared their proposal down to 5%, but the city still did not budge.
Parker has insisted that her smaller proposed increases are merely what is "fiscally responsible," and that the city cannot afford to offer more.
The union has disputed this, pointing out that Parker herself is budgeted to receive a 9% increase to her salary of more than $240,000. That increase alone is nearly half the current salary that the average DC 33 member makes in a year.
As of Monday, negotiations have stalled, with no clear end in sight. With a throng of picketers behind him, Boulware told NBC 10, a local affiliate, that the union was working on a third proposal, and that negotiations may resume Tuesday. But he seemed to expect more obstinacy from the city.
"We've been there to be able to sit and meet and negotiate," he said. "It doesn't seem like the city quite honestly wants to entertain any of the questions that we have about things and actually have a true dialogue... That's how you negotiate and that's not truly what's been going on."
Despite the city's refusal to budge, momentum around the strike has continued to grow. On Friday, rapper LL Cool J dropped out of a 4th of July festival in the city, saying, "There is absolutely no way I can perform across a picket line."
Other AFSCME councils around Pennsylvania have joined pickets in solidarity. This includes Philadelphia's Council 47, which represents thousands of "white collar" city workers.
With mounds of trash accumulating on streets, sometimes becoming as "tall as people," the environmental activists with the Sunrise Movement have also joined in the effort to pressure the city. On Monday, activists hauled bags of trash into the lobby of City Hall, labeled with the words "Meet DC 33 Demands" written in yellow tape.
AFSCME, meanwhile, has stated its resolve to fight on as the strike has gained national attention.
"City workers are holding the line until they get a FAIR contract with the wages and benefits they deserve," the national union's account wrote on X Monday. "One day longer, one day stronger, no matter what it takes."
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LA Residents Hurl Profane Insults at Border Patrol After Agents Sweep Local Park
"You are not helping by snatching people!" yelled one local woman.
Jul 07, 2025
Los Angeles residents lobbed profane insults at U.S. Customs and Border Protection agents on Monday after they swept through the city's MacArthur Park.
Los Angeles-based news station KTLA reports that masked, heavily-armed federal agents were in the park as "part of an apparent immigration raid" although exact details about the operation are not known as of this writing. A video taken on the scene by Mel Buer, an independent labor journalist in the California city and posted on social media website Bluesky showed many agents riding through the park on horseback.
Border patrol walking McArthur park here in LA
[image or embed]
— Mel Buer (@melbuer.bsky.social) July 7, 2025 at 1:49 PM
Los Angeles Mayor Karen Bass (D) reacted angrily after seeing reports of the agents—some of whom had visible Border Protection patches—in the park and she went to the area to tell them to cease their operations.
"Minutes before, there were more than 20 kids playing—then, the MILITARY comes through," Bass wrote in a post on the social media website X. "The SECOND I heard about this, I went to the park to speak to the person in charge to tell them it needed to end NOW. Absolutely outrageous."
Additional videos posted on Bluesky by Buer showed angry Los Angeles residents following the agents as they drove slowly down the street away from the park while pelting them with verbal abuse.
"Get the fuck out of here!" one male resident can be heard shouting at the agents.
"You guys are a bunch of pussies!" yelled another.
Shortly after this, a woman can be heard scolding the agents: "You are not helping by snatching people!"
After Bass spoke with what I assume is a DHS rep, they packed shit up and headed out. The whole neighborhood turned out to chase them out of the park. Some fruit was thrown, alot of yelling
[image or embed]
— Mel Buer (@melbuer.bsky.social) July 7, 2025 at 2:29 PM
California Attorney General Rob Bonta, a Democrat, condemned the federal operations in Los Angeles shortly after they occurred.
"The actions of [Immigration and Customs Enforcement] and CBP during the raids in Los Angeles are not about safety or justice—they're about meeting enforcement quotas and striking fear in communities," he wrote on Bluesky. "We've filed a brief supporting a challenge to ICE and CBP's unlawful practices. We won't back down and we won't be silent."
Los Angeles has become a focal point in the Trump administration's mass deportation operations. President Donald Trump last month deployed the National Guard to the city after some protests against ICE operations there turned violent.
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