In this episode, Associate Editors and Senior Writers Shannon Young and Will Newton join Luke Zarzecki, 340B Report's new national correspondent, in breaking down the latest in 340B news, including the Department of Health and Human Services' (HHS) move to officially drop its appeal in a case that halted the 340B rebate pilot program and a new federal spending bill that includes funding for key departments overseeing the 340B program, as well as for community health centers. They also discuss new drugmaker 340B contract pharmacy and maximum fair price (MFP) policies, and Luke introduces himself.
Key Topics Covered:
Rebate Case Update
Will provides the latest on the 340B rebate debate, including HHS' decision to drop its appeal of a Maine federal judge's injunction halting the agency's 340B rebate pilot program. That means HHS still cannot implement its 340B rebate pilot as originally planned. But, as Will notes, it does not mean the broader debate over 340B rebates is settled. He shares that attorneys who have represented both 340B providers and the drug industry do not expect drugmakers or HHS to abandon their efforts to pursue 340B rebate models.
Federal Funding Package
Shannon and Luke break down a new bipartisan congressional health care package and what it could mean for the 340B program. Shannon discusses a U.S. House-approved spending bill and how much it allocated for key agencies that oversee the 340B program. She also details the highly anticipated funding figures for community health centers, which are largely funded by the federal government, and notes that it doesn't include a Trump administration proposal to move 340B program oversight from the Health Resources and Services Administration to the Centers for Medicare and Medicaid Services. Luke discusses the pharmacy benefit manager (PBM) reform provisions included in the legislation and their 340B implications. Shannon also notes that congressional leaders, who authored the appropriations bill, signaled concerns with the 340B rebate pilot program and requested an update from HRSA within one month in a bipartisan document released in conjunction with the spending package.
Drugmaker Policies
Will and Shannon discuss recent drugmaker policy developments. Will details Eli Lilly's new policy that would require all covered entities to submit claims data on 340B utilization at in-house pharmacies in a major shift that drew strong provider backlash. Shannon discusses Johnson & Johnson's interim plan to address "deduplication" between 340B discounts and the MFP without the 340B rebate pilot.
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Each episode is brought to you by one of our great Ultra Diamond sponsors. This episode is sponsored by Pillr Health. Pillr is a leading provider of innovative solutions designed to optimize and streamline pharmacy operations with a focus on enhancing efficiency, reducing costs and improving patient outcomes, particularly within the 340B program. We are very grateful to Pillr Health for its sponsorship.
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