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House AWP reform proposal

Executive Summary

Rep. Charles Norwood (R-Ga.) introduces AWP reform bill based on "average sales price" April 3. Medicare would pay "120% of the average sales price," defined as "weighted average of all final sales prices to all purchasers." HHS would have discretion to use "cumulative averages sales price" to reimburse for all FDA "A" rated therapeutic equivalents. HR 1622 is similar to legislation sponsored by Rep. Pete Stark (D-Calif.), including proposed $100,000 fine for manufacturers failing to provide HHS with pricing information (1"The Pink Sheet" Jan. 27, p. 9)...

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