340B Program Latest Developments: 340B-Related Litigation, HHS Advisory Opinion, New Dispute Process Final Rule

Course Details
- smart_display Format
On-Demand
- signal_cellular_alt Difficulty Level
- work Practice Area
Health
- event Date
Wednesday, June 30, 2021
- schedule Time
1:00 p.m. ET./10:00 a.m. PT
- timer Program Length
90 minutes
-
This 90-minute webinar is eligible in most states for 1.5 CLE credits.
This CLE course will guide healthcare counsel on the recent developments related to the 340B program. The panel will discuss what these developments mean for healthcare providers and drug manufacturers. The panel will address the new dispute resolution process, recent litigation, and recent U.S. Department of Health and Human Services (HHS) actions.
Faculty

Mr. Davis advises healthcare organizations on Medicare and Medicaid billing and reimbursement issues, with a special focus on the federal 340B drug pricing program. He also counsels clients on emerging healthcare regulatory issues, including COVID-19 relief funding, surprise medical billing, and hospital price transparency, and provides strategic insights to clients on public policy matters under consideration by the U.S. Congress and federal agencies, such as drug pricing policy and nonprofit hospital issues. Mr. Davis forged his deep knowledge of the 340B program and other Medicare and Medicaid reimbursement issues while working in the federal public policy arena. He spent more than seven years working as vice president and legislative and policy counsel for 340B Health, an association of more than 1,400 hospitals and health systems participating in the 340B program. In this role, he provided technical assistance to member hospitals, directed research and policy efforts, and helped lead government relations efforts to educate federal policymakers on 340B issues. Mr. Davis draws on this experience to advise hospitals, pharmacies, other provider organizations and vendors on 340B issues including enrollment, contracting, audits, compliance and self-disclosures.

In addition to Ms. Cook’s role as a national authority on the 340B drug pricing program, she helps clients navigate the full suite of federal and state regulations that are essential to healthcare operations. Ms. Cook partners with a wide range of organizations, including non-traditional service providers and new market entrants to identify, protect and expand revenue opportunities, including via private-equity-backed ventures. Her comprehensive counsel encompasses evolving issues such as No Surprises Act implementation, development of new provider types, Medicare provider-based and co-location rules, and trends in qui tam litigation and government investigations. Ms. Cook’s deep insights into U.S. healthcare regulation stem from her previous tenure at the HHS Health Resources and Services Administration.

Beginning with a 2003 nationwide class action of independent pharmacies, Mr. Levitt began his journey to both understand all aspects of the drug space and develop skills relevant to multiple stakeholders. He has dedicated his practice to representing pharmacies, physician-dispensers, national provider associations, manufacturers, wholesalers, and plan sponsors. Mr. Levitt has an established track record of challenging abusive practices of pharmacy benefit managers and speaks at life sciences conferences across the country in an effort to share his firm’s specialized knowledge.
Description
In December 2020, the HHS, Health Resources and Services Administration (HRSA) issued a long-awaited final rule for the 340B drug pricing program dispute resolution. The final rule establishes an administrative dispute resolution (ADR) process for drug manufacturers and 340B covered entities. The final rule may also play a role in connection with current 340B litigation related to manufacturer attempts to limit the use of 340B contract pharmacy arrangements.
Also, in December 2020, the HHS Office of the General Counsel released an advisory opinion indicating that the 340B statute requires drug manufacturers to offer 340B discounts on covered outpatient drugs dispensed through contract pharmacies.
Several drug manufacturers filed legal challenges to the final rule and the advisory opinion. The district court judge granted a preliminary injunction as to the implementation of the final rule in one of these challenges. In that case, the court determined the manufacturer established with a fair likelihood of success that HHS violated Administrative Procedure Act requirements in issuing the final rule and likely suffered irreparable harm.
In response to the on-going litigation, HHS indicated that it may take administrative measures to enforce 340B program rules and, among possible actions, prevent drug makers from denying discounts when healthcare providers use contract pharmacies. In May 2021, HRSA sent letters to six manufacturers notifying them that their actions were in violation of the 340B statute, ordering them to resume offering 340B pricing and issue refunds, and referencing the possibility that civil monetary penalties would be imposed if the manufacturers continued their behavior.
Listen as our authoritative panel of healthcare attorneys examines the recent developments related to the 340B program and what they mean for healthcare providers and drug manufacturers. The panel will address the new dispute resolution process, recent litigation, and recent HHS actions.
Outline
- 340B program
- Dispute resolution process
- Final rule
- Manufacturer litigation
- Recent HHS advisory and recent enforcement measures
- Best practices
Benefits
The panel will review these and other key issues:
- What is the dispute resolution process under the new final rule?
- What do the manufacturers' challenges mean for implementation of the final rule?
- What do the recent developments mean for future contract pharmacy arrangements?
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