The Importance of Legal Advocacy
Advocacy is such an important part of what we do as hospitals and health systems — and what the AHA does on behalf of our field — to help ensure that we get the resources we need to care for our communities. When most people think of advocacy efforts, they might think first about legislation and regulatory efforts. But legal advocacy is another important component of this work that has an effect on all of us and the work that we do.
One example is the 340B Drug Pricing Program. 340B is a vital lifeline for over 2,100 of AHA’s member hospitals, particularly those who serve rural or low-income communities. There is currently an effort led by drug companies to move to a “rebate model,” rather than the long-standing “upfront discount” model. Many 340B hospitals do not have the infrastructure to comply with rebate policies, meaning that critical resources would have to be shifted from patient care to meet the new demands.
The AHA is engaged in many court cases on this issue, and it continues to urge the Department of Health and Human Services to reject the drug companies’ unlawful requests that would result in negative consequences for patients and communities. The AHA — working with many state hospital associations — also is engaged in many cases defending state laws prohibiting drug companies from denying hospitals the same 340B discounts for drugs delivered to community pharmacies.
Sometimes legal advocacy occurs outside the courts. One example of this is the AHA’s efforts with the Department of Justice and the Federal Trade Commission related to unnecessary or burdensome anticompetitive regulation. The AHA recently sent letters to DOJ and FTC with recommendations for addressing regulations that foster anticompetitive conduct by insurers and limit the ability of hospitals and health systems to thrive in a competitive free market, among other recommendations.
Of course, there are many overlapping efforts with legislative and regulatory advocacy as well, including tariff implications and trade in critical supply chains, community benefit, and response to executive orders, just to name a few. The AHA is listening to our members and the challenges you face and is dedicated to engaging on all advocacy fronts to help protect the resources and provisions you need to focus on what you do best: making health better for the people we serve.
I will be speaking with Chad Golder, AHA’s general counsel, for our next Leadership Dialogue episode. Tune in later this month to learn more about the current legal environment, the work the AHA is doing on behalf of our members, and what you can do to help.
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