Cancer Care and the 340B Program

On October 8, 2020, the Berkeley Research Group published a report showing that contract pharmacy participation in the 340B Drug Pricing Program grew by 4228% between 2010, when the Health Resources and Services Administration expanded the contract pharmacy program, and 2020. A week later, on October 16, 2020, a variety of stakeholders in the 340B program—covered entities, contract pharmacies, pharmaceutical manufacturers, and outside tech consultants—participated in an intense discussion of contract pharmacy growth, newly imposed manufacturer audit requirements, and ways to return 340B to its original purpose of spreading scarce federal resources and serving vulnerable patients.

During the Cancer Care and the 340B Program session at the Association for Value-Based Cancer Care (AVBCC) 10th Annual Summit, a panel of experts focused on issues such as how to prevent duplicate discounts, whether 340B should move from an invoice discount system to a rebate-based model, and what to do about the increasing domain of large, vertically integrated PBM-affiliated contract pharmacies.

Amid the debate over the program’s explosive growth and new models of managing 340B, such as Kalderos’ “340B Pay” platform for rebate-based payments, Shannon Stephenson, CPA, CEO of Chattanooga-based Cempa Community Care, urged a renewed focus on the patients the program was originally created to serve. “Close to 80% of our patients are under 100% of the federal poverty level, and 73% are from racial and ethnic minorities,” she said of Cempa, a community care clinic focused on primary and infectious disease care. “People in underserved communities don’t want to be test subjects.”

Register for the AVBCC Summit today and get access to this discussion and more than 40 other information-packed webcasts and keynote sessions over the next 10 weeks.

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