Powers Principal William von Oehsen was recently quoted in two articles discussing drug pricing and the 340B drug discount program.

The STAT article titled, “The Trump administration says a new plan will cut drug prices. It’s not that simple,” discusses the Trump administration’s recent Medicare proposal and how that policy could impact the drug discount 340B program if it is implemented.

The 340B program requires drug makers to offer hospitals that primarily serve low-income patients sizable discounts on certain drugs. The hospital can then bill Medicare and other insurers at regular reimbursement rates when patients take the drugs, spending the savings elsewhere, according to the article. The proposal would allow Medicare to pay those hospitals much less for those discounted drugs.

In the article, Bill is quoted as saying the proposed change is “shortsighted,” adding that the way hospitals are investing their 340B revenues, they’re paying for services that are actually saving money for Medicare.

To read the full STAT article, click here.

Bill was also quoted in a Bloomberg BNA article titled “House Panel Seeks to Shine Spotlight on Drug Discount Program,” which discusses the House Energy and Commerce subcommittee hearing to evaluate the Health Resources and Services Administration’s oversight of the 340B discount program.

In the article, Bill voices concern that Congress would use the hearing to justify legislative action, and explained that proponents of the program agree it is currently working and that changes are not necessary. He also questioned the need for increased scrutiny of 340B providers, adding that, because manufacturer requirements are more lenient, the need for increased manufacturer oversight is more pressing.

To read the full Bloomberg BNA article, click here.

Bill has more than 25 years of experience on pharmaceutical pricing and reimbursement matters, including the 340B drug discount program, the Medicaid drug rebate program, Medicare Part D, Robinson-Patman, and state Medicaid and pharmacy laws. He played a key role in helping to enact the 340B program in 1992, as well as to expand the law in 2010 under the Affordable Care Act.

Bill helped establish and serves as outside counsel to 340B Health, an advocacy organization of more than 1,200 public and private nonprofit hospitals participating in the 340B program. In 1997, he helped organize the 340B Coalition, which now represents a dozen national organizations whose members comprise virtually all of the safety net providers participating in the 340B program.

For more information regarding these articles, the 340B program or drug pricing, contact Bill von Oehsen at 202-872-6765 or William.vonOehsen@powerslaw.com.

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