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Civica Rx Adds 12 Health Systems as Founding Members

Analysis  |  By Steven Porter  
   January 07, 2019

The alliance, which was formed last year by seven health systems and three philanthropic organizations, aims to tamp down drug costs by collaborating on generics.

A nonprofit alliance of health systems seeking to rein in drug costs and alleviate shortages has grown significantly in the four months since its launch.

Civica Rx announced Monday that 12 additional health systems, representing about 250 hospitals, have joined the venture as founding members, bringing the total number of participating U.S. hospitals to about 750.

The organization described its growth as momentum, with future growth expected, as policymakers and health system executives nationwide look for ways to wrangle escalating drug costs.

Three philanthropic organizations and seven major health systems—including Trinity Health, Catholic Health Initiatives, HCA Healthcare, Intermountain Healthcare, Mayo Clinic, Providence St. Joseph Health, and SSM Health—founded Civica Rx last September, with a plan to produce generic drugs to stabilize supply and challenge manufacturers that have hiked prices sharply.

Related: 3 Ways Your Hospital Can Contain Escalating Drug Prices and Shortages

With its launch, the organization identified 14 hospital-administered generics as its initial focus. The plan is for members to drive the selection of additional drugs.

The 12 new founding members announced Monday are as follows:

  • Advocate Aurora Health
  • Allegheny Health Network
  • Baptist Health South Florida
  • Franciscan Alliance
  • Memorial Hermann Health System
  • NYU Langone Health
  • Ochsner Health System
  • Sanford Health
  • Spectrum Health
  • St. Luke's University Health Network
  • Steward Health Care
  • UnityPoint Health

In a statement, Civica Rx CEO Martin VanTrieste expressed excitement and gratitude for the additions.

"Drug shortages have become a national crisis where patient treatments and surgeries are canceled, delayed or suboptimal," VanTrieste. "We thank these organizations for joining us to make essential generic medicines accessible and affordable in hospitals across the country."

The three philanthropic organizations that helped found Civica Rx are the Gary and Mary West Foundation, Laura & John Arnold Foundation, and the Peterson Center on Healthcare. The organization is collaborating also with the American Hospital Association's Center for Health Innovation.

Steven Porter is an associate content manager and Strategy editor for HealthLeaders, a Simplify Compliance brand.


Health system executives and policymakers alike are looking for ways to get drug prices under control.

The consortium of major health systems aims to tackle cost and shortage challenges by producing its own generics.

The number of participating hospitals has grown to about 750 in the U.S., with more expected to join.

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