Proposed 340B Rule Retracted That Would Have Jolted Community Clinics
The Health Resources and Services Administration pulled back a rule proposed by the Trump administration that would have required community health clinics to pass savings from reduced 340B pricing on insulin and Epi-Pens directly to patients instead of reinvesting in local services.
Modern Healthcare:
HHS Kills Trump-Era 340B Rule Targeting Community Health Clinics
The Health Resources and Services Administration has formally rescinded a proposed rule targeting community health clinics participating in the 340B Drug Pricing Program. The regulation, which President Donald Trump's administration proposed last year, would have required community health centers pass on the 340B discounts they get for insulin and Epi-Pens directly to patients. HRSA is pulling the regulation because of the "excessive administrative costs and burdens that implementation would have imposed on health centers," the agency wrote in a notice published in the Federal Register Thursday. (Hellmann, 9/30)
Fierce Healthcare:
PhRMA Sues Arkansas Over Law Requiring Companies To Offer Products To 340B Contract Pharmacies
A top pharma lobbying group sued to strike down an Arkansas law that requires drugmakers to provide pharmaceuticals discounted under 340B to contract pharmacies. The lawsuit, filed Wednesday by the Pharmaceutical Research and Manufacturers of America (PhRMA), comes as six drugmakers have restricted sales of 340B products to contract pharmacies, which has prompted a legal clash with the federal government. PhRMA’s lawsuit, filed in the U.S. District Court for the Eastern District of Arkansas, wants the court to find a law passed by the state in May 2021 unconstitutional. (King, 9/30)
Also —
Modern Healthcare:
American Rescue Plan's $8.5 Billion Rural Fund Isn't Just For Rural Providers
Rural healthcare providers cheered the Health and Human Services Department's announcement earlier this month that it was sending $8.5 billion in COVID-19 stimulus funding their way. But large health systems with more than 100 hospitals and billions of dollars in revenue are also eligible for the money as standalone, rural hospitals, and they intend to get their share. The grants are part of the American Rescue Plan, a sweeping, $1.9 trillion pandemic relief package Congress approved earlier this year. HHS combined its September 10 news about the rural ARP grants with its decision to release another $17 billion in highly anticipated Provider Relief Fund grants, the fourth distribution under that package. (Bannow, 9/30)
Los Angeles Times:
Court OKs Biden Administration To Keep Expelling Families For Now
A federal appellate court Thursday temporarily granted the Biden administration permission to continue the use of a public health order to quickly expel migrants with children stopped along the U.S. border. In a brief ruling, a three-judge panel of the U.S. Court of Appeals for the District of Columbia Circuit granted the administration’s request to stay a lower court’s ruling blocking the expulsion policy. The Trump administration had invoked the 1944 health statute known as Title 42 to close the border and prevent people from entering the country, citing concerns about the spread of the coronavirus. The Biden administration has continued the policy. (Castillo, 9/30)
