Hospital Groups and Brand Drug Industry React to Wall Street Journal’s 340B Hospital Investigation

Screenshot of Wall Street Journal 340B investigation article
340B hospitals defended themselves and the program in the wake of a highly critical Wall Street Journal investigation, while the drug industry said the story revealed “abuse that policymakers can no longer ignore.”

Groups that represent 340B hospitals are defending the drug discount program and their role in it in response to a Wall Street Journal article Tuesday that raised questions about how some hospitals qualify for and use the program.

The nation’s

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Viatris Providing Credits Due to Problem that Made 340B Pricing Unavailable in August

Viatris About Us page depicted on mobile device
Viatris says it will give credits for drug purchases at higher than 340B ceiling price during early August, when a problem during a system transition made 340B prices unavailable to some entities.

Drug manufacturer Viatris will give 340B covered entities credits on requests for purchases of dozens of NDCs at higher than 340B ceiling price during the first 11 days of August, the company says in a notice on the U.S. Health

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Breaking News

Wall Street Journal Says Its Investigation of 340B Hospitals Raises Questions about Program’s Growth and Purpose

Screenshot of Wall Street Journal article Many Hospitals Get Big Drug Discounts.
The Wall Street Journal's long article today about hospital participation in 340B comes three months after a similar lengthy critique by The New York Times.

A growing number of hospitals that do not qualify for 340B drug discounts as disproportionate share hospitals are enrolling instead under less demanding criteria for rural referral centers—including nationally prominent urban hospitals in metro Boston, Chicago, and Cleveland, The Wall

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Breaking: Congress Wants HRSA Briefing on Action to Safeguard 340B Entities’ “Lawful Access to Discounted Drugs”

Senate Appropriations committee room
The U.S. Senate Appropriations Committee released an omnibus FY 2023 spending bill late yesterday with report language requesting a HRSA briefing on its actions to safeguard providers' access to 340B drug discounts.

U.S. House and Senate appropriations committees want federal healthcare officials to brief them by April “on actions taken to safeguard covered entities’ lawful access to discounted drugs” under the 340B program.

The directive to the Health Resources and Services Administration

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Amgen Sues HHS in Defense of the Company’s 340B Contract Pharmacy Restrictions

Amgen wordmark on building
Amgen yesterday sued HHS and HRSA in defense of its conditions on 340B pricing when hospitals use contract pharmacies.

Biopharmaceutical manufacturer Amgen yesterday became the 10th drug manufacturer to sue the federal government over the government’s position that the 340B statute requires drug companies to provide 340B-priced drugs to multiple contract pharmacies without conditions.

California-based Amgen filed suit

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Merck Providing Refunds for 340B Overcharges During Q4 2019, Q3 2021, and Q2 2022

Merck wordmark on company building
Merck is providing refunds for 340B overcharges during Q4 2019, Q3 2021, and Q2 2022.

Drug manufacturer Merck is providing refunds for charges above 340B ceiling prices on 23 NDCs purchased during Q4 2019, Q3 2021, and Q2 2022.

The U.S. Health Resources and Services Administration posted Merck’s Nov. 21 notice about the repayments on

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340B Hospitals’ Share of Part B Drug Administration Continues Rising, PhRMA-Funded Study Finds

Image of Infusion drip
New drug industry-funded research found that Part B drug administration continues rising at 340B hospitals and falling at other hospitals and physician offices.

Thirty-five percent of drugs paid for by Medicare Part B in 2021 were administered in 340B hospital outpatient departments, up from 19% in 2012, new research funded by brand drug manufacturers shows.

The share of Part B drugs administered in

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117th Congress Nears End With No 340B Contract Pharmacy Fix Expected

U.S. Capitol building at sunrise
Five congressional Democrats signed on as co-sponsors to a bill that would bar drugmaker restrictions on 340B contract pharmacy arrangements.

The 117th Congress appears destined to end without further action on the 340B program.

The House and Senate are on track to finish all work for the year by no later than Friday, Dec. 23. According to news reports yesterday,

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340B Registration for First Quarter of 2023 Will Run from Jan. 1 to Jan. 17

Image of pen and clipboard with medical cross symbol
The first quarter 2023 registration period for covered entity enrollment in 340B will begin Jan. 1 and end Jan. 17.

The U.S. Health Resources and Services Administration has slightly adjusted the dates of the first of four periods in 2023 during which eligible entities may register themselves, their child sites, and their contract pharmacies to participate in the 340B program.

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Breaking: Biogen Announces 340B Contract Pharmacy Restrictions

Biogen wordmark on building facade
Drugmaker Biogen recently added a third drug to its 340B contract pharmacy restrictions for hospitals.

Biopharmaceutical manufacturer Biogen yesterday became the 19th prescription drug company to announce conditions on 340B pricing when covered entities contract with outside pharmacies.

Massachusetts-based Biogen posted a Dec. 12 letter to entities and an accompanying FAQ describing its new

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