Reps. Doris Matsui (D-Calif.) and Tracey Mann (R-Kan.) on Oct. 29 introduced the Preserving Rules Ordered for The Entities Covered Through (PROTECT) 340B Act (PDF), bipartisan legislation that would protect 340B covered entities from discriminatory practices by pharmacy benefit managers (PBMs) and insurers. The legislation, which is endorsed by the AAMC and other major hospital groups, would prevent PBMs and insurers from offering lower reimbursement rates for 340B drugs, imposing additional fees on 340B covered entities and their contract pharmacies, excluding 340B contract pharmacies from their networks, or otherwise imposing discriminatory conditions based on a provider’s or pharmacy’s participation in the 340B program.
The AAMC endorsed the PROTECT 340B Act in previous Congresses [refer to Washington Highlights, July 15, 2022]. The newest iteration of the bill differs from previous versions in that it would require the Department of Health and Human Services to terminate the 340B Rebate Model Pilot Program, due to take effect on Jan. 1, 2027. The AAMC opposes the use of rebates in the 340B program and has also endorsed legislation that would delay the pilot from taking effect [refer to Washington Highlights, Oct. 16].