The AHA joined by the Association of American Medical Colleges and America’s Essential Hospitals today filed a federal lawsuit to prevent the Centers for Medicare & Medicaid Services from reducing Medicare payments for hospital outpatient drugs under the 340B Drug Pricing Program by nearly 30%. Eastern Maine Healthcare Systems in Brewer, ME, Henry Ford Health System in Detroit and Adventist Health System’s Park Ridge Health in Hendersonville, NC, joined the associations in the lawsuit, which argues that the 340B provisions of the outpatient prospective payment system final rule for calendar year 2018 are unlawful and exceed the Secretary of Health and Human Services’ authority under Medicare law and the Public Health Services Act. “From its beginning, the 340B Drug Pricing Program has been critical in helping hospitals stretch scarce federal resources to enhance comprehensive patient services and access to care,” said AHA President and CEO Rick Pollack. “CMS’s decision to cut Medicare payments for so many hospitals for drugs covered under the 340B program will dramatically threaten access to health care for many patients, including uninsured and other vulnerable populations. This lawsuit will prevent these significant cuts from moving forward.”

Related News Articles

Headline
The Medicare Payment Advisory Commission Friday released its March report to Congress.
Perspective
As our country works to expand health coverage and improve access to care, “Medicare for All” is getting a lot of attention. There are many different flavors…
Headline
Legislative proposals for a Medicare public option could negatively affect patient access to care and significantly reduce payments to hospitals, AHA Executive…
Headline
Creating a government-run, Medicare-like option on the individual health insurance exchanges could negatively affect patient access to care and reduce hospital…
Headline
The House Energy and Commerce Health Subcommittee today held a hearing on the president’s fiscal year 2020 budget request for the Department of Health and…
Headline
President Trump today submitted to Congress his budget request for fiscal year 2020.