November 9, 2011—It remains to be seen whether 340B providers will share in the potentially record-breaking $3 billion that drug manufacturer GlaxoSmithKline (GSK) agreed in principle last week to pay to settle multiple federal investigations of its pharmaceutical marketing and pricing methods, including a years-old inquiry into its nominal pricing practices. In a Nov. 3 … [Read more...]
Talk of 340B Drug Diversion and Audits Heats up Following GAO Study
Former OPA Director Mitchell says increased congressional oversight is forthcoming.October 28, 2011—Drug manufacturers are pleased that last month's Government Accountability Office (GAO) report on 340B drug discounts has opened what they feel is a long-overdue conversation about drug diversion in the program, industry attorneys and consultants say. According to industry advisers, loose program guidance and lax oversight have encouraged 340B hospitals and … [Read more...]
Vermont Medicaid’s Changes to 340B Reimbursement Still Up in the Air
State plan amendment features acquisition-cost billing plus enhanced dispensing fees.October 21, 2011—More than six months after submitting required paperwork to Washington, Vermont Medicaid officials are still waiting for the Centers for Medicare and Medicaid Services (CMS) to formally approve changes the state made in late March in the way it reimburses 340B providers' drug costs. The state had expected a response by June 28 and the delay is raising questions … [Read more...]
HRSA Renews Apexus’ Contract to Run 340B Prime Vendor Program
2009 agreement provided for up to three one-year extensions.October 17, 2011—The Health Resources and Services Administration (HRSA) has exercised its option to extend Apexus' contract to run the 340B Prime Vendor Program (PVP) for another year. HRSA awarded a five-year contract to manage PVP to the Texas-based nonprofit corporationin June 2009 and it went into effect in September of that year. It was Apexus' second five-year … [Read more...]
Senate Bill Would Add PACE Program to 340B
Extending hospital drug discounts to inpatient side also offered as a way to trim the federal deficit.October 14, 2011—U.S. Sen. Herb Kohl (D-Wisc.) is urging the congressional "super committee" on deficit reduction to save tax dollars by expanding 340B drug discounts to more than 160 programs in 29 states that help seniors needing nursing home care remain in their own homes for as long as possible. In a letter to the deficit panel, Kohl, the chairman of the Special Committee … [Read more...]
OIG to Check Again if Drug Firms Are Meeting Price Reporting Deadlines
Medicare Part D and Medicaid rebates will also get close scrutiny in coming year.October 13, 2011—The Department of Health and Human Services Office of Inspector General (OIG) plans to take a second look this coming year at drug manufacturers' reporting of their average manufacturer prices (AMPs) after concluding last year that more than half had recently missed at least one quarterly reporting deadline. OIG also says in its fiscal year 2012 work plan … [Read more...]
Whistleblower Says 13 Drug Firms Understate Average Manufacturer Prices
Wholesaler fees allegedly misreported to reduce Medicaid rebate obligations.October 6, 2011—A whistleblower who once led the trade association for drug wholesalers and health care product distributors has accused 13 brand-name drug manufacturers in a federal lawsuit of artificially lowering their drugs' average manufacturer prices (AMPs) by misreporting fees they pay to wholesalers. The lawsuit, which was filed under seal three years ago and made … [Read more...]