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CMS May Engage In Medicare, 340B Discount Deduplication ‘Eventually,’ Ex-CMS Official Says

 
• By Cathy Kelly

Former CMS official John Coster offered insights into why the agency has declined to directly engage in efforts to avoid duplication of Medicare negotiated prices and 340B discounts during an interview with the Pink Sheet.

Manufacturers worry about duplication between 340B discounts and the upcoming price concessions in Medicare. (Shutterstock)
Key Takeaways
  • CMS did not have time before the 1 January implementation date for negotiated prices to establish a process protecting manufacturers from providing Medicare negotiated prices and 340B discounts on the same drug, former CMS official John Coster told the Pink Sheet.
  • Coster, who worked on the process for "effectuating" the first round of Medicare negotiated prices while at the agency, said CMS was busy implementing the basic framework under a very tight deadline.
  • He acknowledged manufacturers' "frustration" with CMS not helping prevent duplication initially, but said the agency could become involved later.

The Centers for Medicare and Medicaid Services does not have time to develop an internal system to protect manufacturers from providing a Medicare negotiated discount and a 340B discount on...

Negotiated prices for the 10 drugs in the program’s first cycle are scheduled to go into effect next year. Creating the framework for “effectuating” prices under a compressed timeline has...

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