340B Health

STATEMENT ON HHS GENERAL COUNSEL’S ADVISORY OPINION ON 340B CONTRACT PHARMACIES

in 340B Health News Releases

WASHINGTON, D.C.— The Department of Health & Human Services Office of the General Counsel today released an advisory opinion regarding 340B discounts when drugs are dispensed at contract pharmacies.

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

“Today’s advisory opinion confirms what we have been saying for months. The actions of a small group of very large drug companies to circumvent the 340B statute and overcharge safety-net hospitals for many vital drugs is unlawful and must stop. We are enormously pleased that the Department of Health & Human Services has issued this opinion. The important work of repairing the damage done to these hospitals must begin as quickly as possible. We stand ready to work with the department to identify overcharges and facilitate refunds.”

“The actions of these drug makers have deprived safety net providers of vitally needed resources as they battle the COVID-19 pandemic. As always, our hospitals have put patients first while we sought justice. We look forward to making sure they are all made whole so that they can continue their critically important role on the front lines of our health care safety net.”

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