House Appropriators Concerned About 340B Guidance and Ceiling Price Website

by Admin | July 14, 2016 4:00 pm

July 14, 2016—House appropriators are “concerned about the large number of negative comments on” the Health Resources and Service Administration’s proposed 340B program omnibus guidance and HRSA’s inability “to meet its own deadlines to complete work” on a statutorily mandated secure website to make 340B ceiling prices available to healthcare providers in the drug discount program.

In the report[1] accompanying its fiscal 2017 Labor, Health and Human Services, and Education appropriations bill, which it adopted on a 31-19 vote this morning, the full House Appropriations Committee said it expected HRSA’s proposed 340B mega-guidance “to provide clarity for all stakeholders.”

Hospitals, health centers, and other 340B providers say the mega-guidance, if adopted, would significantly reduce 340B savings and limit their ability to continue serving vulnerable patients. HRSA said during the 340B Coalition summer meeting in Washington this week that it appreciates the feedback it received from stakeholders and hopes to publish the final guidance in December.

HRSA also said at the 340B Coalition meeting that it is still working out the detail of ceiling price website, which Congress called for in the Affordable Care Act. The agency said it is taking an extra-long look at its work on the website in light of recent massive breaches of federal data.

The House committee urged OPA to wrap up work on the website and directed it “to include an update on the status of the secure website in the fiscal year 2018 budget request.”

House appropriators, like their Senate counterparts last month, voted to level-fund the 340B program at $10.24 million in fiscal year 2017, which begins Oct. 1.

The House bill omits a user fee on 340B drug purchases; the Senate version[2] calls for a 0.1 percent fee to generate an extra $9 million for 340B program administration in fiscal year 2018. The Obama administration asked for the user fee in its proposed budget.

Under normal rules of order, the next steps in the process for Labor-HHS-Education appropriations would be passage of the two committee bills by the full House and Senate, negotiation of House-Senate conference report, final passage, and the President’s signature. Congress, however, has passed none of its 12 annual appropriations bills yet and the November elections are drawing near. Congress probably will have to pass a temporary spending measure called a continuing resolution to keep the government running before the new fiscal year begins on Oct. 1. It remains to be seen whether Congress will pass the Labor-HHS-education bill under normal rules of order after the elections, or whether funding for 340B and other health care programs for the remainder of fiscal 2017 will be provided for under a catch-all omnibus spending bill.

Endnotes:
  1. the report: http://appropriations.house.gov/uploadedfiles/hrpt-114-hr-fy2017-laborhhsed.pdf
  2. the Senate version: https://340binformed.org/2016/06/senate-appropriators-vote-to-level-fund-340b/

Source URL: https://340binformed.org/2016/07/house-appropriators-concerned-about-340b-guidance-and-ceiling-price-website/