Genentech Pioneers Manufacturer Audits Of 340B Entities
This article was originally published in The Pink Sheet Daily
Genentech is the first drug maker to audit an entity receiving discounts for its products under the federal 340B program. The firm began its audit of a single organization in July, but other manufacturers have since submitted audit workplans to HRSA.
You may also be interested in...
Genentech’s 340B drugs discounts totaled $1 billion in 2012 and are growing at 20% to 25% a year, a level that has prompted management to sit up and take notice, including setting up a team to work with 340B health care providers on compliance.
In its first year of auditing 340B facilities for compliance with drug discount rules, the HHS agency is investigating 45 randomly selected entities and six “targeted” entities that are the subject of specific allegations of non-compliance. About 250 hospitals have been decertified from 340B and may have to pay back discounts to drug makers.
The ranking member on the Senate Judiciary Committee sends a letter to the University of Alabama Hospital seeking details on how it has changed the admission status and treatment of patients to get 340B drug discounts for patients who would not have been eligible otherwise.