340B And Price Negotiation: US Medicare Washes Its Hands Of The Issue

The US Centers for Medicare and Medicaid Services is counting on “good faith” between manufacturers and covered entities to ensure appropriate 340B pricing is offered on drugs subject to the new negotiation authority.

CMS washed its hands of the 340B discount pricing and Medicare price negotiation issue. (Shutterstock)

The US Centers for Medicare and Medicaid services is taking a decidedly hands-off approach to 340B drug discount pricing and the new Medicare drug price negotiation authority.

Key Takeaways
  • CMS does not appear interested in an active role ensuring 340B discount prices are appropriate for drugs subject to Medicare price negotiations.

The 2022 Inflation Reduction Act, which created the negotiation program, stipulates that 340B entities are eligible for either the new negotiated price or the 340B price, whichever is lower. But...

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