“It was a very tough decision,” said Scott Caravello, announcing the Galva Pharmacy’s upcoming closure on Sept. 11.
Galva’s valued druggist since 1992, he was clear that the closing wasn’t for lack of community support.
“Galva has always been very supportive, and I will miss my customers and staff very much.”
Pointing to the demise of so many small-town retail pharmacies, Caravello explained how hard it is for them to stay in business.
“Insurance companies use Plan Benefit Managers (PBMs) who decide what medications patients are allowed to have and set the reimbursement, often paying pharmacists less than what it costs the pharmacist to stock the drug. Losing money on the majority of prescriptions has forced many places such as mine to shutter their doors.”
After graduating from Drake University in Des Moines, Iowa with a degree in pharmacy, he and his wife Barb settled in Galva where he began working for what was then Kewanee Hospital. Settling into the former Sloan Drug Store on Front Street, he found a welcoming city and was a trusted professional, going the extra mile in many cases to make certain his customers got the best service.
In 2003, long-time retailer, Emily Kneen retired and donated her Exchange Street location to the hospital, commenting at the time, “Scott will continue to serve the community well.”
Caravello quickly set up shop in the new spot and three years later, he purchased the pharmacy from the hospital.
For over 30 years, the pharmacy has been the heartbeat of the community. Supporting activities such as the Old-Fashioned Christmas, Levitt AMP concert series, Backroads Music Festival, and Freedom Fest made the store an integral part of the town’s activities. He also supported Galva Arts Council programs, sponsored youth baseball teams, and promoted community organizations.
People from surrounding small towns also frequent the business, and it’s often a spot for friends to visit while they wait for their prescriptions to be filled. Five full and part-time employees and when necessary, two fill-in pharmacists assist him, delivering personal service to customers.
But prescription drugs aren’t the only thing he offers. Before Galva’s grocery store opened, there was no place in town to buy fresh fruit and vegetables. To meet that need, he set up a special area filled with produce, making certain such items were available. Local authors often placed their books there for sale, and he always welcomed posters and announcements of local activities.
The pharmacy also stocks many types of over-the-counter medications, medical devices, and diabetic supplies. Greeting cards and gift items line some shelves and school supplies, beauty and hair products, craft items and paper products fill others. The small refrigerator is filled with a wide selection of Fannie May candy, perfect for those last-minute gifts. Many customers consider it a one-stop shop.
Sharing his skills outside of Galva, he accompanied a team of healthcare professionals to Haiti in 2015. He and others in the medical mission held clinics in remote areas affected greatly by earthquakes.
“An incredible experience,” he said. “They had next to nothing and needed what we brought to them desperately,” he said.
Helping others has always been his mission. “It’s why I studied pharmacology,” he said.
An April 2000, article in the Galva News had this to say about Caravello:
“He rides a Harley, wears leather jackets, and sports a ponytail. He also plays ice hockey and electric guitar. Not things usually associated with the pharmacy profession.” The article goes on to mention his dedication to the community and how he’s made such a positive impact on people’s lives.
While the closing came as a surprise to the community, for several years, Caravello used his sources and pharmacy brokers to do extensive searches for a buyer to take over the pharmacy. However, they’ve had little to no interest from anyone wanting a small-town drugstore.
The decline of local pharmacies is a significant issue affecting many communities. Several factors contribute to this trend. Independent pharmacies often struggle with slow payments and decreasing reimbursements from insurance companies and Medicare. This financial strain makes it difficult for them to stay afloat.
Large pharmacy chains and online retailers compete for business, making it harder for smaller, local pharmacies to compete.
Rural areas are particularly affected, with many communities losing their only local pharmacy. This creates “drugstore deserts,” where residents have limited access to essential medications and pharmacy services.
The cost of maintaining a pharmacy, including staffing and inventory, can be prohibitive, especially in areas with declining populations. The closure of the local pharmacy can impact the access to medication, which could affect the overall healthcare of the community.
Independent pharmacies face several challenges. They can’t negotiate on a level playing field with pharmacy benefit managers (PBMs). Small pharmacies lose business when employer health plans decide to require, or financially incentivize, patients to use mail-order pharmacies.
Many small drug stores are cut out of “preferred pharmacy” networks that greatly restrict the patients’ choice of pharmacies or make using them more expensive. Currently, there are slightly over 1,800 independent pharmacies nationwide operating as the only pharmacy in a rural area, and those numbers are decreasing rapidly.
Community pharmacists are unable to demand a fair reimbursement system for generic drugs and medical equipment covered under government programs. Keeping up with ever-changing pharmacy regulations, and PBM rules and regulations is difficult and costly for small druggists.
Caravello shared that small pharmacies aren’t the only ones hurt by the PBMs. Their policies and restrictions are affecting chains such as CVS and Walgreens. No longer giants in the industry, many have downsized or closed their pharmacies. Rite Aid, a long-time chain, has filed for bankruptcy.
“The FTC is currently looking into the harm that the PBMs are causing the pharmacy industry,” said Caravello. “But action, if any, is too late for businesses such as mine.”
To make the best of the situation, Caravello made arrangements with Kewanee Walgreens to take over his pharmacy files and provide a smooth transition for his customers, beginning on Sept. 12. Walgreens is a 15-minute drive from Galva with a drive-up window for convenience. Medication dispensing should not be interrupted, he said.
To date, he has not announced future plans. He and Barb plan to do some traveling and visit family members they’ve missed seeing over the years. The couple has two grown children and three grandchildren. It’s doubtful that he will remain idle.
Comments on the Facebook post announcing the closing showed how much the community appreciates him and all he has done. Responses such as “He’s been great for Galva and will be greatly missed” showed up frequently.
