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340B Meets Part B: Payment Proposal Unites Big Pharma and Safety Net Providers

This article was originally published in RPM Report

Executive Summary

The annual hunt for “pay-fors” is on: Congress is looking for offsets to pay for the cost of reversing physician payment cuts under Medicare. One idea would be to allow Medicare Part B to capture the prices of the 340B discount program. Providers who use 340B hate the idea – and manufacturers do too.

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340B Hearing Underscores Era Of Oversight, But Rolling Back Discount Program Doesn’t Look Likely

A House Energy & Commerce/Health Subcommittee hearing on the 340B drug discount program suggests there is bipartisan interest in legislation to enhance oversight of the program – but little interest in steps that might dramatically curtail the availability of discounted drugs to hospitals and other safety net providers.

PhRMA Seeking Injunction Against 340B Orphan Drug Exclusion Rule

The trade group files a lawsuit seeking preliminary and permanent injunctions against implementation of a final rule that requires 340B discounts for the non-orphan uses of drugs with an orphan designation.

Price Controls in Action: Understanding the Rise of the 340B Program

The health care reform law dramatically expanded the number of entities eligible to purchase drugs via the federally administered 340B program, while simultaneously increasing the size of the mandatory discounts given to covered entities. Manufacturers are understandably frustrated. Rather than hope for elimination of the program, however, they may be better served working within the system to contain its impact.





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