Press Release

Statement on MedPAC Recommendation on 340B Program

TOM NICKELS

EXECUTIVE VICE PRESIDENT,
 GOVERNMENT RELATIONS AND PUBLIC POLICY

AMERICAN HOSPITAL ASSOCIATION

January 14, 2016

 

Today’s MedPAC recommendation to cut Medicare payments for hospitals in the 340B Drug Pricing Program is misdirected. MedPAC is penalizing hospitals and the patients they serve instead of addressing the real issue, the skyrocketing cost of pharmaceuticals.

We are disappointed MedPAC has ventured so far afield from their mission, especially in the face of such strong opposition by several Commissioners. Making a recommendation that penalizes hospitals for their participation in a non-Medicare, public health program that is designed to increase patient access to care is outside of MedPAC’s scope, and is inappropriate.

Further, we are extremely discouraged that MedPAC continues to tweak the fee-for-service system instead of recognizing the transformation happening in health care – the movement from volume to value. MedPAC instead should be focusing on how to help America’s hospitals and CMS facilitate that transition, thereby improving patient care.

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The AHA is a not-for-profit association of health care provider organizations and individuals that are committed to the health improvement of their communities. The AHA is the national advocate for its members, which include nearly 5,000 hospitals, health care systems, networks, other providers of care and 43,000 individual members. Founded in 1898, the AHA provides education for health care leaders and is a source of information on health care issues and trends. For more information, visit the AHA website at www.aha.org.

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