Lawsuits and 76 Representatives Aim to Stop 340B Payment Reduction

Lawsuits and 76 Representatives Aim to Stop 340B Payment Reduction

76 U.S. Representatives from 27 states and D.C. have now signed on to legislation led by David McKinley (R-WV) and Mike Thompson (D-CA) to roll back a new CMS 340B payment reduction regulation that takes effect January 1.  Hospitals are urged to contact their Reps and urge them to sign on. Unless stopped, the regulation will cut Part B 340B drug payments to be cut 28.5 percent.
In the meantime, a federal judge scheduled a December 21 hearing in a lawsuit brought by hospitals against CMS over the regulation. The American Hospital Association, Association of American Medical Colleges, America’s Essential Hospitals and three individual hospitals are asking District Court Judge Rudolph Contreras to stop the reg. HHS had to file its arguments for throwing out the case by Dec. 1, and hospitals have a Dec. 8 deadline for filings in support of a preliminary injunction.
Leadership at Boone County Hospital, a critical access hospital in Boone, Iowa, wrote about the importance of 340B to CAHs. While Critical Access Hospitals are currently exempt from the 340B changes, the CAH Coalition continues to monitor any changes to the program.