340B Drug Pricing Program

The Health Resources and Services Administration today launched a new website that organizations participating in the 340B Drug Pricing Program can use to determine the maximum prices drug companies can charge them for medications sold under the program.
The AHA is pleased that, in response to our successful lawsuit, the Health Resources and Services Administration today launched a new website to shine needed light on 340B drug pricing, which the government has found lacking. This website will help make sure hospitals participating in the program鈥
Bipartisan bills were recently introduced in both chambers of Congress to help alleviate the critical shortage of physicians. The Resident Physician Shortage Reduction Act of 2019 (S. 348/H.R. 1763) would add 3,000 Medicare-funded residency slots each fiscal year for the next five years, at least鈥
Following a December 17, 2018 status conference, the Court issued a minute order requiring defendants to "file [a] status report[] pertaining to their progress in publishing pricing data by not later than February 28, 2019 . . . ." Minute Order, Dec. 18, 2018. Consistent with their representations鈥
In a highly unusual filing, Defendants seek to defend the 2019 OPPS Rule with arguments that Defendants forthrightly acknowledge the Court has already rejected. See Gov鈥檛 Mem. in Supp. of Mot to Dismiss New Claim & Opp鈥檔 to Mot. for Perm. Inj. With Respect to 2019 OPPS Rule (鈥淕ov鈥檛 Mot.鈥), ECF鈥
The Court concluded that the defendants 鈥 the U.S. Department of Health and Human Services and its Secretary (referred to collectively throughout as 鈥渢he Agency鈥) 鈥 acted in an ultra vires fashion by reducing the payment rate for drugs purchased through the 340B Program in the 2018 Outpatient鈥
In November 2018, Defendants issued a regulation requiring that, for calendar year 2019, the Centers for Medicare & Medicaid Services (CMS) reimburse drugs purchased under section 340B of the Public Health Services Act ("340B drugs") by using a methodology based on Average Sales Price minus 22.鈥