Tax News Update    Email this document    Print this document  

June 6, 2024
2024-1145

House Energy & Commerce Oversight and Investigations Subcommittee holds hearing on the 340B drug pricing program

On June 4, the House Energy and Commerce Committee’s Oversight and Investigations Subcommittee held a hearing on “Oversight of 340B Drug Pricing Program.” Lawmakers on the Subcommittee heard from a panel of witnesses representing a county-run safety-net hospital, community health centers, disproportionate share hospitals (DSH), and policy analysts. During the hearing, there was broad bipartisan support for the 340B program, as well as bipartisan agreement that legislative changes could improve the integrity of the program. Some of the most discussed policies included increasing transparency around 340B dollars, clarifying the definition of a 340B patient, giving patients the flexibility to choose where they receive discounted drugs, tightening covered entity eligibility, and increasing the Health Resources and Services Administration’s (HRSA) ability to oversee the program.

During the hearing, Reps. Earl "Buddy" Carter (R-GA), Larry Buschon (R-IN), and Diana Harshbarger (R-TN) also asked witnesses about their recently introduced bill, the 340B Affording Care for Communities and Ensuring a Strong Safety-Net Act (340B ACCESS Act). While most of the witnesses spoke favorably about the bill serving as a good first step to improving the 340B program, one witness raised concerns about the reporting requirements for covered entities and said it could provide a distorted view of entities’ 340B programs and the benefits they provide.

More information is available here.

Additional information is also available in the attached WCEY Alert.

* * * * * * * * * *
Attachment

Hearing on the 340B drug pricing program

* * * * * * * * * *
Contact Information

For additional information concerning this Alert, please contact:

Washington Council Ernst & Young

 

The information contained herein is general in nature and is not intended, and should not be construed, as legal, accounting or tax advice or opinion provided by Ernst & Young LLP to the reader. The reader also is cautioned that this material may not be applicable to, or suitable for, the reader's specific circumstances or needs, and may require consideration of non-tax and other tax factors if any action is to be contemplated. The reader should contact his or her Ernst & Young LLP or other tax professional prior to taking any action based upon this information. Ernst & Young LLP assumes no obligation to inform the reader of any changes in tax laws or other factors that could affect the information contained herein.

 

Copyright © 1996 – 2024, Ernst & Young LLP

 

All rights reserved. No part of this document may be reproduced, retransmitted or otherwise redistributed in any form or by any means, electronic or mechanical, including by photocopying, facsimile transmission, recording, rekeying, or using any information storage and retrieval system, without written permission from Ernst & Young LLP.

 

EY US Tax News Update Master Agreement | EY Privacy Statement