The Court of Appeals for the District of Columbia issued a decision yesterday in the 340B drug savings case affirming the district court’s dismissal. The original lawsuit, filed by the American Hospital Association (AHA) and other plaintiffs in January, challenged nearly 30 percent in Medicare payment reductions for many hospitals who participate in the program.
In the ruling, the federal appeals court dismissed the case for lack of presentment claiming the case was not properly presented to the agency. However, since they did not rule on the merits of the case, the AHA and others expect to refile the case in district court in the near future. SDAHO has participated in the case through the amicus brief process.
The 340B program is a vital part of many of the hospitals in South Dakota and across the country. It provides a critical role in helping hospitals expand access to care for vulnerable patients and advancing healthy communities.
Additional updates will be shared as more information becomes available.