MHA Today | September 11, 2018

September 11, 2018


MHA Today: News for Healthcare Leaders

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MHA Today is provided as a service to members of the Missouri Hospital Association. Additional information is available online at MHAnet.

In This Issue
JCAR Examines Outpatient Hospital Services Reimbursement Rule
Hospitals File Lawsuit Over 340B Drug Pricing And Overcharging

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state and federal health policy developments

JCAR Examines Outpatient Hospital Services Reimbursement Rule

Staff Contact: Jane Drummond

The Missouri General Assembly’s Joint Committee on Administrative Rules today conducted a hearing at MHA’s request on MO HealthNet’s outpatient hospital services reimbursement rule. MHA staff testifying in opposition to the rule expanded on the arguments included in MHA’s previously filed brief, contending in part that the rule violates statutory fiscal note requirements, and is arbitrary and capricious in reducing reimbursements beyond cuts approved by lawmakers in the state fiscal year 2019 appropriations bill.

Several JCAR members questioned the department’s representatives at length about the decision to impose payment reductions beyond those set by the legislature. Others questioned whether the department had adequately considered the impact on the federal reimbursement allowance and contracted managed care rates. Committee member Rep. Gina Mitten (D-St. Louis) introduced a motion to disapprove the rule; however, the absence of two members prevented the committee from voting. The committee adjourned with no formal action, but may reconvene to vote at any time before its jurisdiction to disapprove the rule expires on Sept. 27.

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Hospitals File Lawsuit Over 340B Drug Pricing And Overcharging

Staff Contact: Andrew Wheeler

The American Hospital Association, Association of American Medical Colleges, America’s Essential Hospitals and 340B Health filed a lawsuit against the U.S. Department of Health and Human Services about its delay of regulations that would require price transparency for drug manufacturers and penalties for overcharging covered entities in the program. If the long-delayed proposal is finalized, drug companies would be required to disclose the maximum per-unit price that can be charged to a 340B provider for outpatient drugs. The lawsuit asks the Court to declare the delay in issuing these rules as unlawful. The lawsuit also asks for HHS to make the January 2017 340B regulation effective in 30 days.

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Consider This ...

September is National Sickle Cell Awareness Month. Sickle cell disease affects about 100,000 Americans, many of whom are African American, and over 20 million people worldwide.

Source: National Institutes of Health