Episode 18: Impending Rebate Guidance, Possible 340B Move from HRSA to CMS & Oklahoma’s Veto Override

In this episode, 340B Report Publisher and CEO Ted Slafsky, Associate Editors and Senior Writers Shannon Young and Will Newton and National Correspondent Bella Czajkowski break down the latest in 340B news, including the U.S. Department of Health and Human Services’ (HHS) submission of 340B rebate guidance for regulatory review, a proposal to shift 340B oversight to the Centers for Medicare & Medicaid Services (CMS), U.S. Sen. Bill Cassidy’s (R-La.) latest comments on 340B and Oklahoma's 340B contract pharmacy legislation veto override.

In This Episode:

Rebate Updates

Will provides an update on the latest surrounding drugmakers’ attempts to convert upfront 340B discounts to a post-purchase rebate model. He discusses HHS’ June 1 submission of proposed 340B rebate guidance to the Office of Management and Budget, which will remain confidential throughout the review. Meanwhile, drugmakers Novartis and Bristol Myers Squibb filed an emergency motion to expedite their legal challenge to a ruling that affirms the government’s authority to pre-approve 340B rebate models—citing looming compliance deadlines under the Inflation Reduction Act.

A Proposed Shift to CMS and Other Federal Happenings

Shannon and Ted break down President Donald Trump’s full HHS budget request that calls for moving the Health Resources and Services Administration’s (HRSA) Office of Pharmacy Affairs (OPA), which oversees the 340B program, to CMS. They discuss the differences between the formal proposal and a version included in a leaked document, as well as 340B stakeholders’ reaction to such a move. Shannon and Ted also discuss key federal players on 340B, including Cassidy’s latest remarks on potential congressional reform plans and the return to the private sector of Katie Miller, a Trump adviser tied to a dark-money group running anti-340B ads in various states.

The State of the States

Will recaps Oklahoma’s path to enacting a contract pharmacy access law, which included a gubernatorial veto and legislative override. He and Bella discuss the latest state-level action on 340B bills, as well as how drugmakers have responded to Tennessee's unique contract pharmacy access law.

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