Quarles Post Cited in Axios Article About Proposed Revisions to 340B Drug Discount Program
A Quarles & Brady client alert written by Health & Life Sciences attorneys Brenda Maloney Shafer, Richard Davis, Michael French and Jake Pallotta was referenced in an Axios article about renewed efforts by the Trump administration to revamp the 340B discount drug program.
In the alert, the Quarles team noted that the Health Resources and Services Administration’s (HRSA) issued a request for information (RFI) soliciting “stakeholder feedback on the potential impact of rebate models in the 340B program space.”
The Axios article delved into the significance of the administration’s efforts related to 340B, including the RFI, and provided an update on where the situation stands.
An excerpt:
Context: A federal court in Maine ruled late last year that the Department of Health and Human Services, which HRSA is part of, didn't solicit enough stakeholder feedback before proposing its initial rebate model.
- HHS "cannot fly the plane before they build it," Judge Lance Walker wrote in response to a lawsuit from the American Hospital Association and other hospital groups.
- HHS scrapped the pilot in January and dropped its appeal of the decision.
- The new notice it sent this month "suggests a sense of urgency in advancing a new rebate model proposal," lawyers at Quarles & Brady wrote in a blog post.
- Still, HHS would need to formally propose and gather comment on any future model, and has committed to giving providers at least 90 days' notice before starting the new system.
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