Hospitals denied full court review in lawsuit over 340B cuts

The rejected petition for a complete court evaluation means the three-judge panels choice is upheld..

In 2018, under its proposed Medicare Outpatient Prospective Payment System, HHS cut the compensation rate for 340B drugs by almost 30 percent.

© Copyright ASC COMMUNICATIONS 2020. Intrigued in LINKING to or REPRINTING this content? View our policies by click on this link.

More posts on regulative and legal concerns: Pennsylvania physician pleads guilty to uncontrolled manslaughter in clients deathMissouri health center employee presumably sexually assaulted client after snooping her medical records4 South Carolina physicians charged in $100M billing fraud case.

The U.S. Court of Appeals for the District of Columbia Circuit denied the hospitals motion for en banc, or full court, evaluation Oct. 16..

Hospitals taking legal action against HHS over a policy that will cut Medicare outpatient drug payments by nearly 30 percent at 340B hospitals stopped working to persuade a complete appeals court to rehear the case, according to court files released by Bloomberg Law..

A three-judge panel for the appeals court ruled in July that cuts to the payment rate for drugs bought under the 340B program are legal. The judges said that the lower HHS drug compensation rate “rests on an affordable interpretation of the Medicare statute.”.

Alia Paavola –
Monday, October 19th, 2020
Print|Email.

The American Hospital Association, Association of American Medical Colleges and Americas Essential Hospitals in December 2018 sued to stop the cuts, arguing that HHS exceeded its federal authority to change the payment rates..