RWC-340B Slams Gilead-funded Study of 340B Grantee Entities

Shannon Burger
Shannon Burger, president of RWC-340B,, said the organization “strongly opposes" a new 340B overhaul bill.

Ryan White Clinics for 340B Access yesterday criticized drug manufacturer Gilead Sciences for sponsoring a study that said it is unclear if patients of Ryan White clinics and other 340B grantee covered entities benefit from the drug margin these entities

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MedPAC Still Backs Cutting 340B Hospitals’ Part B Drug Payments

Cancer chemotherapy
MedPAC continues to hold that Medicare should pay less for Part B drugs furnished by 340B hospitals.

The Medicare Payment Advisory Commission is sticking by its long-standing recommendation that Medicare should pay less for Part B drugs furnished by 340B hospitals.

“We continue to believe that this approach is appropriate, and the specific level of payment reduction

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JAMA Study Says, When it Comes to Insulin, Pharma’s Gross-to-Net Problem Is Mostly its Own Doing

Gross-to-net bubble for insulin
Insulin product manufacturers' take from sales is diminished more by voluntary commercial discounts than by 340B ceiling prices and other mandatory discounts, a new study found.

Drug manufacturers often observe that a growing share of their take from gross sales goes to middlemen and others in the form of rebates and discounts. A term has been coined to describe the phenomenon: the gross-to-net bubble (the difference

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Nonprofit Hospitals’ Profits Are Up But Charity Care Is Not, Study Finds

Health Affairs
"Substantial growth in nonprofit hospital operating profits and cash reserves" yielded no "corresponding increase in charity care," a new study in Health Affairs said. The American Hospital Association strongly criticized the report's methodology and the findings.

Nonprofit hospitals’ profits and cash reserves grew substantially between 2012 and 2019 without a corresponding rise in spending on charity care, a new study in the June issue of Health Affairs found.

The American Hospital Association quickly issued a rebuttal.

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New Studies on 340B and Rural Cancer Care and 340B Contract Pharmacy Demographics

Health Affairs
Rural hospitals that enroll in 340B are more likely than others to initiate oncology services, a new study in Health Affairs found.

Rural hospitals that enroll in the 340B drug pricing program are more likely to initiate oncology services than those that do not participate, a study published online Monday in Health Affairs found.

“It’s estimated that around one in five rural

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ASAP 340B and AHA Outreach Documents Are Polar Opposites on 340B DSH Hospitals

ASAP 340B
A new ASAP 340B document describes how its position on the 340B patient definition would play out under six hypothetical scenarios.

ASAP 340B, the group that drug manufacturers and community health centers formed to advance a joint 340B reform agenda, recently released a two-page explainer on how their plan would change the 340B patient definition. Under it, fewer drugs prescribed at

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340B Providers Don’t Systematically Over-Prescribe Brand Drugs for Profit, JAMA Study Says

JAMA
Research published in JAMA "found no meaningful difference in overall generic prescribing rates" between 340B and non-340B providers.

340B-eligible providers prescribe generic drugs at the same overall rate as non-340B providers, a study published in JAMA Health Forum found. “We found no evidence that 340B-eligible prescribers were systematically overprescribing brand-name drugs to generate revenue,” the authors said.

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340B Grantees Need More Scrutiny as Drug Margins Rise, Gilead-funded Study Says

Gilead BGR study
340B contract pharmacy arrangements rose 252% for grantee covered entities between 2017 to 2022 compared to 194% for hospitals, a new drug company-funded study found.

Health centers and other federal grantees’ 340B savings and how they use them need more scrutiny, as these covered entities account for a large chunk of total 340B drug sales and their margins are keeping pace with those of hospitals,

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Breaking News

HRSA and Prime Vendor Yank FAQs About 340B Use in Hospital Child Sites, and GAO Issues a New 340B Study

FAQ excerpt
Excerpts from 340B FAQs that HRSA (top) and the 340B prime vendor Apexus (bottom) have removed from their websites.

The U.S. Health Resources and Services Administration midday yesterday and the 340B prime vendor Apexus this morning, in connection with the end of the COVID-19 public health emergency late last night, withdrew mostly identical 340B program FAQs about use of

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340B Sales Growth Rate Softened for Second Straight Year, Data Show

IQVIA
Prescription drug sales at 340B prices softened for the second consecutive year compared with sales growth from 2019 to 2020, data in a new IQVIA white paper show.

Prescription drug sales at 340B prices grew 12.2% year-on-year from 2021 to 2022, drug industry consulting and research firm IQVIA says in a new white paper. That is down 3.7 percentage points compared with 340B sales growth from 2020

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