WASHINGTON, D.C. (December 21, 2017) – Today, Pharmaceutical Research and Manufacturers of America (PhRMA) President and CEO Stephen J. Ubl provided the following statement:
“The legislation introduced today by Representatives Larry Bucshon and Scott Peters is yet another important action taken this year to begin to address the problems in the 340B program. Starting with hearings held this summer and fall on the lack of oversight of the program, followed by the Administration’s changes in the OPPS rule and this new piece of legislation, policymakers are sounding the alarm on the 340B program. Voice after voice has stressed how the program has strayed from its original intent of ensuring needy patients have access to affordable medicines, instead driving distortions in the health care marketplace that are increasing patient costs.
“We encourage Congress and the Administration to continue to build on the momentum and support passage and eventual implementation of this legislation. By imposing a temporary moratorium on the enrollment of new DSH hospitals participating in the program, the bill helps to stem the long-time abuse of the 340B program by some of the nation’s wealthiest hospitals while ensuring that rural hospitals and grantees can continue to use the program to help patients. At the same time, the bill puts reporting requirements in place to prevent future abuses and increase HRSA’s oversight of the program.
“This legislation provides Congress with a much-needed opportunity to closely evaluate 340B and ways it can be fixed to the benefit of patients.”
The Pharmaceutical Research and Manufacturers of America (PhRMA) represents the country’s leading innovative biopharmaceutical research companies, which are devoted to discovering and developing medicines that enable patients to live longer, healthier, and more productive lives. Since 2000, PhRMA member companies have invested more than $600 billion in the search for new treatments and cures, including an estimated $65.5 billion in 2016 alone.