Hospitals sue HHS over 340B rule
A group of hospital associations filed a lawsuit Monday against HHS seeking to prevent CMS from implementing a rule under which it will start to reimburse for certain Medicare drugs at 340B prices. The American Hospital Association (AHA), the Association of American Medical Colleges (AAMC) and America’s Essential Hospitals announced their plan to take legal action against the ruling earlier this month (see BioCentury Extra, Nov. 2).
Under the new rule, which will take effect in January, CMS will reimburse hospitals that receive infused Medicare Part B drugs through the 340B program at a rate of average sales price (ASP) minus 22.5% instead of the current rate of ASP plus 6%. The agency said it would reallocate the savings from the new rule "equally to all hospitals" (see BioCentury Extra, Nov. 1)...