Breaking News

Bayer Is the 20th Drug Maker to Impose Conditions on 340B Contract Pharmacy

Bayer wordmark on side of building
Bayer will no longer exempt federal grantees from its 340B contract pharmacy policy as of Oct. 1.

Bayer Healthcare Pharmaceuticals starting March 1 is imposing limits on hospitals’ replenishment orders of 340B-priced drugs shipped to contract pharmacies. It said it is voluntarily letting 340B grantee covered entities continue to use multiple contract pharmacies to dispense 340B drugs.

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Breaking News

Third Circuit Court Rules for Drugmakers in 340B Contract Pharmacy Cases

Interior of Third Circuit Court courtroom
A federal appeals court ruled today that the 340B statute does not compel drug manufacturers to deliver 340B-purchased drugs "wherever and to whomever a buyer demands."

A federal appeals court in Philadelphia ruled 3-0 this morning that “Congress never said that drug makers must deliver discounted Section 340B drugs to an unlimited number of contract pharmacies.”

“By trying to enforce that supposed requirement, the government overstepped

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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 News

Two of Three Appeals Court Judges Question Government’s Stance That Drug Companies May Not Impose Conditions on 340B Sales

U.S. Third Circuit Court of Appeals court room
Two judges on a three-judge federal appeals court panel in Philadelphia today questioned whether the 340B statute forbids drug manufacturers from imposing distribution conditions on offers of 340B pricing.

Two judges on a three-judge federal appeals court panel this morning challenged a federal government lawyer’s stance that federal law forbids drug manufacturers from limiting how their drugs may be distributed when they offer to sell the drugs at reduced

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Breaking News

CMS Says It Will Announce Sometime Next Year How it Will Repay 340B Hospitals for Five Years of Illegal Drug Reimbursement Cuts

CMS building
CMS said late this afternoon it will put off until next year its decision on how it will comply with a U.S. Supreme Court decision striking down five years of drug reimbursement cuts for 340B hospitals.

The U.S. Centers for Medicare & Medicaid Services said late this afternoon that it will address how it will remedy five years of illegal Medicare Part B underpayments to hospitals for 340B purchased drugs “in future rulemaking,” rather than in

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Breaking News

Appeals Court Questions Yet Again if it Has Jurisdiction Over Lilly’s 340B Contract Pharmacy Case

Screenshot of 7th Circuit Court Chief Judge Frank Easterbrook on C-SPAN2
Federal appeals court Judge Frank Easterbrook is pictured during an appearance on C-SPAN in 2013. Easterbrook during a court hearing today questioned whether a closely watched 340B contract pharmacy case was ripe for appellate review.

A federal appeals court judge in Chicago expressed doubt during a hearing this morning that the court can review a lower court decision in drug manufacturer Eli Lilly’s 340B contract pharmacy lawsuit.

Judge Frank Easterbrook, the senior judge on the

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Breaking News

In Key Hearing, Appeals Court Panel Seems to Lean in Favor of Some Drug Manufacturer Conditions on 340B Pricing

CADC courtroom
A federal appeals court in Washington, D.C., heard arguments this morning in Novartis and United Therapeutics' consolidated 340B contract pharmacy cases.

Two of three judges on a federal appeals court panel strongly indicated this morning that they reject the federal government’s position that nothing in the 340B statute gives drug manufacturers the right to put any conditions on offers of 340B

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Breaking News

HRSA Refers Merck to HHS Inspector General Over its 340B Contract Pharmacy Policy

Merck flag with U.S. flag
Merck did not immediately comment on the governnment's referral yesterday to the HHS Inspector General for possible imposition of civil fines over the company's 340B contract pharmacy restrictions.

The U.S. Health Resources and Services Administration yesterday referred drug manufacturer Merck to the Department of Health and Human Services Office of Inspector General for possible imposition of civil fines over Merck’s 340B contract pharmacy restrictions.

Public Health Services Lt.

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Breaking News

Effort Launched to Create 340C—a Separate Drug Discount Program for Health Centers and Possibly Other Entities

Advocates for Community Health wordmark
The health center advocacy group behind a proposed 340B program alternative recently slammed the 340B ACCESS Act, saying the newly introduced drug discount program overhaul bill would make it harder for members to leverage the 340B program and care for patients.

A national community health center association founded last year is launching a campaign to urge Congress to create a separate drug discount program called 340C open to health centers and perhaps rural hospitals and federal grantees.

According to a description

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Breaking News

Exclusive: HHS OIG Declines to Penalize Drug Manufacturers at This Time Over 340B Contract Pharmacy Restrictions

HHS signage and building
HRSA plans to host a webinar for federal grantees in the days leading up to the 2024 340B recertification period.

The U.S. Department of Health and Human Services Office of Inspector General (HHS OIG) has informed a bipartisan group of House lawmakers that the enforcement agency does not plan to impose civil monetary penalties against the drug makers that have

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