HHS Must 'Unscramble The Egg' On Billions In Drug Cuts

Law360 (May 7, 2019, 8:05 PM EDT) -- The U.S. Department of Health and Human Services must swiftly "unscramble the egg" on billions of dollars in unlawful reimbursement cuts for drugs purchased through a special discount program for hospitals, a D.C. federal judge ruled Monday.

The ruling by U.S. District Judge Rudolph Contreras found that HHS exceeded its authority by slashing Medicare reimbursement in 2019 by almost 30% for drugs purchased in the 340B discount program. The judge previously reached an identical conclusion with respect to slashed reimbursement in 2018, and he suggested Monday that HHS should try to devise a solution by August.

"The court will remand the...

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