CHA Submits Comments on 340B Proposed Rule

CHA sent a comment letter to the Centers for Medicare and Medicaid Services (CMS) on a proposed rule that would repay hospitals for underpayments for 340B outpatient drugs from 2018 to 2022 under the Outpatient Prospective Payment System. In addition to making one lump-sum payment to affected 340B hospitals, CMS would also recoup funds from hospitals that received increased rates for non-drug services with a prospective 0.5% cut over the next 16 years. Children’s hospitals would be subject to the 0.5% cut. Our comments oppose the budget neutrality adjustment and urge CMS to consider the unique implications for pediatric care.