April 7, 2011—The manufacturers of the oral contraceptive Yaz and the oncology medicine Gemzar have notified the Office of Pharmacy Affairs (OPA) that they are limiting the drugs' availability to all customers because both products have become subject to the 340B program's "penny pricing" policy. Yaz is made by Bayer HealthCare and Gemzar by Eli Lilly and Co. AstraZeneca, … [Read more...]
OPA Gets a New Mission Statement
Job description is updated for the first time since 2004.April 6, 2011—The Office of Pharmacy Affairs (OPA) has a new mission statement. In a notice published in the April 4 Federal Register , the Health Resources and Services Administration (HRSA) formally defines what OPA is and does. The document, called a "statement of organization, functions and delegations of authority," was last updated in 2004. That version's section on … [Read more...]
House GOP Proposes Medicaid Block Grants
Move could imperil 340B program.April 6, 2011—U.S. House Republicans yesterday proposed converting the federal share of Medicaid spending into block grants to states, a move that could potentially imperil the 340B drug discount program. The plan, one of the main elements in the fiscal 2012 budget resolution issued by the House Budget Committee on April 5, is expected to face stiff opposition from President … [Read more...]
Drug Shortages Costing Hospitals $200 Million, Study Finds
Problem that exploded last year persists into 2011 and could be getting worse.April 1, 2011— Prescription drug shortages are forcing hospitals to spend an extra $200 million a year on more expensive substitutes and exposing patients to greater risk of medication errors, a leading group purchasing organization (GPO) reports. According to the study by the Premier health care alliance , providers are spending an extra 11 percent more on average for … [Read more...]
340B Providers Might Benefit From Closing of Medicaid Rebate “Loophole”
Provision in health care reform bill is aimed at preventing potential reformulation of drugs to avoid paying rebates.340B Providers Might Benefit From Closing of Medicaid Rebate "Loophole" March 30, 2010 - The health care reform package that President Obama signed today contains a little-noticed Medicaid drug rebate provision that could add up to significant savings for 340B providers and the Medicaid program. Backgrounder: Additional Medicaid Rebate for Brand-Name … [Read more...]
340B Providers Cannot Sue for Overcharges, U.S. Supreme Court Rules
Focus shifts to formal dispute resolution system that is still on the drawing board.March 29, 2011— The U.S. Supreme Court ruled today that 340B providers do not have a right to sue drug manufacturers for overcharges as the beneficiaries of pricing agreements between the companies and the federal government. The unanimous decision effectively ends a landmark case brought by two California countiesagainst nine major drug manufacturers alleging that they were … [Read more...]
Impasse Continues Over Federal 2011 Spending
Government shutdown looms.March 28, 2011—Congress has returned to work after a weeklong recess with the clock winding down on its latest stop-gap spending bill to keep federal agencies open. The current continuing resolution expires on April 8. If the Democratic-led Senate and the Republican-led House cannot come to an agreement the government will be forced to close, including the Office of Pharmacy … [Read more...]