340B Health


in 340B Health News Releases

WASHINGTON, D.C., JULY 1, 2022— Today, pharmaceutical company Bausch Health announced it will begin limiting 340B drug pricing program discounts to safety-net providers starting Aug. 1. The policy will make Bausch the 18th company to impose such unlawful restrictions on 340B pricing for drugs dispensed at community and specialty pharmacies. The administration has notified nine of those drug companies that such restrictions violate the law and has directed them to restore 340B pricing. It has referred seven companies to the Health and Human Services Office of Inspector General (HHS OIG) for potential fines for their continued refusals to comply with the law.

The following statement is attributed to 340B Health President and CEO Maureen Testoni:

“The actions that Bausch Health announced today are contrary to the law and must stop. By ignoring their legal agreements to offer discounted pricing on outpatient drugs sold to 340B hospitals, health centers, and clinics, companies such as Bausch Health are threatening crucial health care for patients with low incomes and those living in rural communities who rely on these providers for care.”

“According to our recent hospital survey, more than three-quarters of 340B hospitals expect they likely will need to make cuts to vital health services and patient support programs if these drug company restrictions become permanent. One in three of the smaller, mostly rural critical access hospitals report that the restrictions put their facilities at risk of closure.”

“Each company that announces 340B restrictions does so with the clear knowledge that such actions are unlawful. We continue to urge HHS to take all available enforcement actions against these companies as it vigorously defends its authority to do so in federal courts, including imposing steep financial penalties on all drugmakers that refuse to comply with federal 340B law.”

Contact: Richard Sorian at richard.sorian@340bhealth.org or 202-536-2285.