October 17, 2011—The Health Resources and Services Administration (HRSA) has exercised its option to extend Apexus' contract to run the 340B Prime Vendor Program (PVP) for another year. HRSA awarded a five-year contract to manage PVP to the Texas-based nonprofit corporationin June 2009 and it went into effect in September of that year. It was Apexus' second five-year … [Read more...]
Senate Bill Would Add PACE Program to 340B
Extending hospital drug discounts to inpatient side also offered as a way to trim the federal deficit.October 14, 2011—U.S. Sen. Herb Kohl (D-Wisc.) is urging the congressional "super committee" on deficit reduction to save tax dollars by expanding 340B drug discounts to more than 160 programs in 29 states that help seniors needing nursing home care remain in their own homes for as long as possible. In a letter to the deficit panel, Kohl, the chairman of the Special Committee … [Read more...]
OIG to Check Again if Drug Firms Are Meeting Price Reporting Deadlines
Medicare Part D and Medicaid rebates will also get close scrutiny in coming year.October 13, 2011—The Department of Health and Human Services Office of Inspector General (OIG) plans to take a second look this coming year at drug manufacturers' reporting of their average manufacturer prices (AMPs) after concluding last year that more than half had recently missed at least one quarterly reporting deadline. OIG also says in its fiscal year 2012 work plan … [Read more...]
Whistleblower Says 13 Drug Firms Understate Average Manufacturer Prices
Wholesaler fees allegedly misreported to reduce Medicaid rebate obligations.October 6, 2011—A whistleblower who once led the trade association for drug wholesalers and health care product distributors has accused 13 brand-name drug manufacturers in a federal lawsuit of artificially lowering their drugs' average manufacturer prices (AMPs) by misreporting fees they pay to wholesalers. The lawsuit, which was filed under seal three years ago and made … [Read more...]
340B Provider Groups Protest Two PBMs’ Reimbursement Policies
Prescription Solutions and Argus Health Systems contracts come under fire."Providers, manufacturers, and Congress should be concerned about these discriminatory contracts because they undermine the intent of Congress to support safety net providers through the 340B program," says CaptureRx executive and former U.S. Rep. Billy Tauzin October 6, 2011—Groups representing 340B providers have asked pharmacy benefits manager (PBM) Prescription … [Read more...]
House’s Draft HHS Appropriation Would Cut OPA Funding in Half
340B office's spending would drop from $4.48 billion to $2.21 billion, with no mention of user fee.September 29, 2011—The full House Appropriations Committee today released a draft fiscal 2012 funding bill for the Department of Health and Human Services (HHS) that would cut funding for the Office of Pharmacy Affairs (OPA) by roughly 50 percent, from $4.48 million to $2.21 million. The draft bill and accompanying documents also appear not to mention the 0.1 percent user … [Read more...]
Court Ruling Might Put Some Hospitals’ 340B Status in Jeopardy
Dispute over where Medicare managed care belongs in the DSH calculation.September 27, 2011—A recent federal appeals court ruling on how Medicare managed care beneficiaries should be factored into a hospital's Medicare disproportionate share (DSH) patient percentage could potentially lead to hospitals being terminated from the 340B drug discount program—particularly in states with high Medicare managed care utilization. In Northeast Hospital … [Read more...]