In this episode of Inside 340B Report, Ted Slafsky, Shannon Young, Will Newton and Bella Czajkowski discuss what may be a record-breaking year for state contract pharmacy access legislation with more than 20 states having already introduced such bills in 2025. On the federal front, the U.S. House's budget blueprint targeting $880 billion in health spending cuts over the next decade has raised alarm bells among providers over potential significant Medicaid reductions. Finally, Ted and Shannon share takeaways from last week’s 340B Coalition Winter Conference in San Diego, where these topics and others were center stage.

Key Topics Covered:

State Legislative Surge and Legal Developments As of Feb. 28, at least 21 states had introduced new contract pharmacy access bills. Ted and Bella discuss the significance of major states like California, Texas and New York joining the fray with their own 340B access bill proposals. Will also discusses several of the states that have advanced their contract pharmacy bills, before joining Ted and Bella to provide updates on critical legal battles unfolding in states that have already passed contract pharmacy access laws, including Missouri, Kansas and West Virginia. 

Budget Blueprint and Medicaid Concerns In Washington, D.C., the House recently passed a budget framework that calls for $880 billion in health spending cuts over the next decade. Shannon discusses the potential implications for Medicaid funding and how these budgetary moves might indirectly impact the 340B program. 

340B Coalition Conference Insights Shannon and Ted break down the key issues that dominated the 340B Coalition’s recent Winter Conference, including the status of three key federal 340B bills, new scrutiny U.S. Sen. Bill Cassidy (R-La.) could bring to the 340B program as the new HELP Committee chairman and how a Washington D.C. dark-money group’s campaign targeting 340B access bills could play out at statehouses.

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Pillr Health sponsored this week’s episode. Pillr Health is a leading provider of innovative solutions designed to optimize and streamline pharmacy operations. It focuses on enhancing efficiency, reducing costs and improving patient outcomes, particularly within the 340B program and beyond. We are very grateful to Pillr Health for its sponsorship.

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Episode 10: State-Level 340B Bills Gain Momentum, Dark Money Ads Intensify and D.C. Developments

In this episode of Inside 340B Report, Ted, Shannon, Will and Bella break down the latest developments shaping the 340B landscape. The team discusses the latest state contract pharmacy bill developments and a dark-money group’s lobbying against them. They also touch on new GOP congressional budget proposals, new leadership at HHS and HRSA and key U.S. Senators’ remarks on 340B’s future.

Key Topics Covered: 

State Contract Pharmacy Access and Provider Reporting Bills             

With the 2025 legislative sessions underway, at least 16 states have introduced bills aimed at preventing drug manufacturers from restricting covered entities' access to 340B drugs through contract pharmacies. Meanwhile, several states have introduced legislation that would require 340B providers to publicly report financial data on their 340B savings, and how they reinvest them into patient care. While some bills, like one in Colorado, are more narrow in scope, others, such as those in Indiana and Vermont, impose extensive reporting requirements that many providers believe are overly burdensome and lack important context.

Dark Money Campaign Targeting Contract Pharmacy Access Bills

Building America’s Future, a dark money group that does not disclose its donors, has launched a new misleading ad campaign in four GOP-controlled states with pending contract pharmacy access bills that falsely claim 340B funds subsidize gender transitions for minors. Although the ads urge conservative lawmakers to reject the legislation, lawmakers in Kentucky and Nebraska advanced their bills. 

Federal Developments

House and Senate Republicans have unveiled budget proposals that call for deep healthcare spending reductions, signaling potential major Medicaid cuts. The Senate voted to confirm Robert F. Kennedy Jr.’s nomination to lead HHS despite vocal pushback from Democrats. And the Health Resources and Services Administration swore in a new administrator.  Two key U.S. Senators gave remarks on 340B at a D.C. conference hosted by the National Association of Community Health Centers.

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This year, each episode will be brought to you by one of our Ultra Diamond sponsors. RxParadigm sponsored this week’s episode. RxParadigm is a technology solutions provider committed to supporting initiatives that advance the 340B program. We are very grateful to RxParadigm for its sponsorship.

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In this episode of Inside 340B Report, Associate Editors Shannon Young and Will Newton and National Correspondent Bella Czajkowski break down the latest developments in the 340B program in statehouses and Washington, D.C. The team covers the intensifying fight over state-level 340B legislation and the reemergence of a controversial dark-money ad campaign, Health and Human Services Secretary nominee Robert F. Kennedy Jr.’s contentious Senate confirmation hearings and the recent turmoil surrounding a now-rescinded federal funding freeze.

Key Topics Covered: 

State-Level 340B Legislative Surge At least 11 states have already introduced 340B contract pharmacy protection bills in early 2025 after a record-setting level of state 340B legislative activity in 2024. With both advocates and opponents more prepared than ever, the legislative battle is heating up. Meanwhile, a shadowy group, Building America’s Future, is once again launching misleading ad campaigns against state 340B contract pharmacy access bills that attempt to link that legislation to illegal immigration and other hot-button political and social issues.

Senate Confirmations – RFK Jr.’s 340B Stance Still Unclear, Mehmet Oz Tied to Company That Focuses on 340B Despite six-plus hours of testimony and questions from Senate lawmakers, Robert F. Kennedy Jr.’s stance on 340B is still unclear. The HHS secretary nominee’s confirmation hearings did not touch on the drug pricing program, with lawmakers instead focusing primarily on the high-profile vaccine skeptic’s controversial statements about vaccines and his grasp of Medicare and Medicaid. Meanwhile, a 340B Report exclusive reveals that Mehmet Oz, President Donald Trump’s nominee to lead the Centers for Medicare and Medicaid Services, has recent ties to a company that works with 340B hospitals to utilize the 340B program. With his son continuing to play a senior role in the business, Oz’s confirmation process could enable senators to learn more about his position on the 340B program.   

Federal Funding Freeze Sparks Chaos – Then Gets Reversed A Trump administration memo that temporarily froze trillions in federal funds sent shockwaves through the healthcare sector, including 340B providers and community health centers. The freeze was quickly blocked by a judge and later rescinded, but concerns linger over future budget cuts. Republicans on Capitol Hill are also mulling potential Medicaid cuts to help cover the cost of Trump administration priorities, as well as restrictions on what 340B providers could charge employer-sponsored health plans for discounted drugs.

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This year, each episode will be brought to you by one of our Ultra Diamond sponsors. Maxor sponsored this week’s episode. From specialty pharmacies to comprehensive pharmacy management, Maxor optimizes the pharmacy experience for patients and partners. We are very grateful to Maxor for its sponsorship.

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In this new episode, Ted Slafsky catches up with Will Newton and Bella Czajkowski to analyze the latest 340B developments at both the federal and state levels, plus new scrutiny over the program and some of its stakeholders. With the 119th Congress underway, Ted explains what House and Senate committees and lawmakers 340B stakeholders should keep an eye on with narrow Republican control in both chambers. They also discuss the surge in new state-level 340B legislation, detail mixed reactions to a recent New York Times investigation on the 340B prime vendor Apexus, and recap a high-profile lawsuit and HRSA action against a Nevada STD clinic.

Key Topics Covered: 

Congressional Landscape and Leadership Changes Narrow Republican majorities in the House and Senate set the stage for new GOP-backed scrutiny of the 340B program. Ted walks through the key committees and players that will determine 340B’s future.  With 340B expected to be a major priority in the 119th Congress, covered entities and manufacturers are closely watching Capitol Hill and adjusting their policy strategies. 

State-Level 340B Legislation

Lawmakers in at least five states have reintroduced bills that would prohibit drug manufacturers from restricting 340B access to contract pharmacies. Meanwhile, a new bill in Missouri would place significant limitations on how providers use their 340B savings, drawing pushback from the provider community. The early state activity in 2025 comes after a record-setting year for state contract pharmacy protection legislation in 2024.

High-Profile Paper Investigates 340B Prime Vendor After the New York Times published a lengthy investigation alleging that the 340B prime vendor, Apexus, profited by driving 340B program expansion, critics of the program were quick to call for major reforms. However, multiple 340B providers criticized the piece for mischaracterizing the 340B program and defended Apexus’ role in ensuring 340B compliance and integrity. The longtime Apexus leader said the Times’s investigation contained inaccuracies and “misleading narratives.”

Scrutiny Over Nevada STD Clinic and its Potential Broader Impact The Health Resources and Services Administration (HRSA) recently terminated the 340B eligibility of 20 sites affiliated with the Nevada-based STD clinic Sagebrush Health, alleging they violated program eligibility standards. HRSA’s move came shortly after multiple drugmakers sued the agency for allegedly allowing Sagebrush to register many of those sites in violation of the 340B statute. Sagebrush has strongly denied those allegations and vowed to fight HRSA’s action, and some providers worry that the lawsuit could have far-reaching consequences for all STD clinics enrolled in the 340B program.

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Stay tuned for more episodes every other week! 🎧 Subscribe to Inside 340B Report on your favorite podcast platform and follow us on YouTube for video discussions.

This year, each episode will be brought to you by one of our Ultra Diamond sponsors. Verity Solutions sponsored this week’s episode. Verity’s innovative, award-winning 340B program management solutions are designed to optimize your 340B pharmacy spend and maximize your pharmacy supply chain savings. We are very grateful to Verity for its sponsorship.

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In this final episode of the year, Ted Slafsky, Will Newton and Shannon Young unpack the most significant developments in the 340B program in both recent weeks and 2024. From the escalating legal battles over proposed 340B rebate models and pivotal state legislation to key court decisions and congressional activity, the team provides in-depth analysis of the year’s top stories. They also share insights into what these shifts could mean for stakeholders and preview the issues expected to dominate the 340B landscape in 2025.

Key Topics Covered: 

The Rebate Model Debate Will provides an update on the escalating legal battle over rebate models, including HRSA’s recent enforcement threats against Sanofi, and how they compare to Johnson & Johnson, Eli Lilly, and Bristol-Myers Squibb’s rebate proposals. 

State-Level Action on 340B Contract Pharmacy Laws Will discusses the latest state-based actions on 340B, including Michigan’s bid to pass a contract pharmacy access law, the Kansas attorney general’s unexpected legal interpretation of that state’s contract pharmacy law and a recent federal district court ruling in West Virginia in favor of the drug industry. That West Virginia ruling sharply contrasted with earlier court decisions favoring state laws in Arkansas, Louisiana and Mississippi.

Federal Legislative Changes and Key Lawmakers Shannon provides an update on the incoming 119th Congress. She discusses how leadership shifts on the House Energy and Commerce Committee could influence 340B policy in 2025 and beyond. Ted discusses the House lawmakers who could play key roles in 340B policymaking. They include members who have raised serious concerns with the program such as Reps. Buddy Carter (R-GA) and Harshbarger (R-TN) and strong program supporters, like Reps. Dusty Johnson (R-SD), Doris Matsui (D-CA) and Diana DeGette (D-CO).

Top Stories of 2024 The episode wraps with a look back at the most-read 340B stories of the year. From the rebate model saga and states’ 340B legislative efforts, to the Inflation Reduction Act’s impact on 340B, the team reflects on the growing importance of state-level action and anticipates continued court battles and policy debates in 2025.

What’s Next for Inside 340B Report

In future episodes, the team will provide an inside look at the issues impacting the stakeholders in the 340B program. Listen to fascinating conversations between 340B Report editors and reporters on what they are covering and why it is important. 

Stay tuned for more episodes every other week! 🎧 Subscribe to Inside 340B Report on your favorite podcast platform and follow us on YouTube for video discussions.

Special thanks to 340B Report Ultra Diamond sponsors who made this episode possible including: AIDS Healthcare Foundation, The Alinea Group, Avita Care Solutions, Maxor, RxParadigm, RxStrategies and Verity Solutions.

Thank you for joining us on this journey. We look forward to bringing you valuable insights and discussions on the 340B program. For more information, visit 340BReport.com.

Special discount for YouTube and podcast listeners. 340B Report is the indispensable source for news and intelligence on the 340B program. First-time subscribers may subscribe now using coupon code PODCAST25. Not ready to subscribe? Sign up for a 15-day free trial.

Join Ted Slafsky, Shannon Young, Will Newton and Bella Czajkowski for another episode of Inside 340B Report. This week, the team unpacks the latest developments shaping the 340B landscape, from the announcement by drug manufacturers of new rebate models they hope to implement to expanding contract pharmacy restrictions. They also discuss how the incoming Republican-controlled Congress and White House could impact the 340B program.

Key Topics Covered

• 340B Rebate Models and Legal Battles Will dives into the uptick in 340B rebate proposals from Johnson & Johnson, Eli Lilly, Bristol-Myers Squibb and Sanofi. Learn how these proposals, if implemented, could shift regulatory authority away from the government and into the hands of manufacturers, and potentially decrease provider savings.

• Contract Pharmacy Restrictions on Health Centers Bella sheds light on the growing number of drug manufacturers that have expanded contract pharmacy restrictions beyond hospitals to community health centers. She shares provider accounts of how these restrictions are straining services, leading to layoffs and impacting rural and underserved communities. Bella also discusses a new tool available only for 340B Report subscribers that tracks each manufacturer’s restrictions.

• Post-Election Landscape for 340B Shannon shares insights from a recent 340B Report subscriber-only webinar on the 2024 elections and their implications for 340B policy. With a new Republican trifecta in Washington—and Republican President-elect Donald Trump filling out his healthcare cabinet— she and the team analyze how the leadership changes could affect federal policymaking. And with a historically narrow GOP margin in the U.S. House, it could be a boon for bipartisan-backed 340B bills, like the SUSTAIN 340B Act.

What’s Next for Inside 340B Report

In future episodes, the team will provide an inside look at the issues impacting the stakeholders in the 340B drug discount program. Listen to fascinating conversations between 340B Report editors and reporters on what they are covering and why it is important. 

Stay tuned for more episodes biweekly! 🎧 Subscribe to Inside 340B Report on your favorite podcast platform and follow us on YouTube for video discussions.

Special thanks to 340B Report Ultra Diamond sponsors who made this episode possible including: AIDS Healthcare Foundation, The Alinea Group, Avita Care Solutions, Maxor, RxParadigm, RxStrategies and Verity Solutions.

Thank you for joining us on this journey. We look forward to bringing you valuable insights and discussions on the 340B program. For more information, visit 340BReport.com.

Special discount for YouTube and podcast listeners. 340B Report is the indispensable source for news and intelligence on the 340B program. First-time subscribers may subscribe now using coupon code PODCAST25. Not ready to subscribe? Sign up for a 15-day free trial.

Ted Slafsky joins Shannon Young, Will Newton and Bella Czajkowski to analyze the 2024 election’s potential impact on the 340B landscape, including how President-elect Donald Trump’s return to the White House and the new GOP-controlled Congress could approach the drug pricing program.The team also discusses Johnson & Johnson’s (J&J) recent lawsuit against the Health Resources and Services Administration (HRSA), marking a pivotal moment in the ongoing 340B rebate model debate.

Key Topics Covered

• Election Results and 340B Policy Implications The team unpacks the election results, including Trump’s decisive win and the new GOP leadership in Congress. They discuss how this shift could influence 340B policy, noting that the previous Trump administration posed several challenges to 340B providers. Will and Shannon share insights on expected policy changes and what roles key Senate and House lawmakers could play when it comes to crafting future 340B-related legislation.

• J&J’s Legal Battle Over the Rebate Model Will breaks down J&J’s lawsuit against HRSA over its  proposed 340B rebate model, explaining how it could potentially reshape the 340B program. Despite bipartisan resistance to rebates, J&J may be betting on a more drug industry-friendly new administration that could lead to a shift in HRSA’s longstanding position on upfront discounts.

• Spotlight on Key Players With Senate Republicans selecting U.S. Sen. John Thune (R-S.D.) as the next majority leader, the team examines how he could help elevate 340B policy in the upper chamber and potentially moderate critiques from vocal 340B opponents like U.S. Sen. Bill Cassidy (R-La.), who will take over the Senate Health, Education, Labor and Pensions Committee. Cassidy is expected to bring more aggressive oversight to the 340B program.  Thune’s historic support of 340B could act as a counterbalance.

What’s Next for Inside 340B Report

In future episodes, the team will provide an inside look at the issues impacting the stakeholders in the 340B drug discount program. Listen to fascinating conversations between 340B Report editors and reporters on what they are covering and why it is important. 

Stay tuned for more episodes biweekly! 🎧 Subscribe to Inside 340B Report on your favorite podcast platform and follow us on YouTube for video discussions.

Special thanks to 340B Report Ultra Diamond sponsors who made this episode possible including: AIDS Healthcare Foundation, The Alinea Group, Avita Care Solutions, Maxor, RxParadigm, RxStrategies and Verity Solutions.

Thank you for joining us on this journey. We look forward to bringing you valuable insights and discussions on the 340B program. For more information, visit 340BReport.com.

Will Newton hosted this week’s episode, leading a discussion with Shannon Young and Bella Czajkowski. Ted Slafsky was away for this edition, but we look forward to welcoming him back next time. In this new episode, the editorial team explores emerging trends in drugmaker contract pharmacy restrictions, legal developments around 340B eligibility calculations and manufacturer audits of covered entities, and how the upcoming congressional and presidential elections could shift the program's future. 

Key Topics Covered

• Emerging Trends in Contract Pharmacy Restrictions Bella overviews recent drugmaker moves to restrict contract pharmacy access beyond hospitals, sharing a recent report of an Ohio health center that had to lay off staff due to revenue loss from such restrictions. Shannon and Will add insights into how these moves by manufacturers impact covered entities, increasingly affecting access for both hospitals and health centers.

• Key Developments in 340B Lawsuits The team updates listeners on pivotal court cases that could reshape the program. Shannon covers a ruling favoring Texas hospitals in a suit against HHS, centered on the Inpatient Prospective Payment Services rule, which affects certain hospitals’ 340B eligibility. Will adds an overview of lawsuits challenging the Health Resources and Services Administration’s (HRSA) approvals for Johnson & Johnson’s audits of 340B-covered entities, examining allegations that HRSA may have acted unlawfully. The team discusses the broader implications these cases may have on 340B.

• Potential Impact of Upcoming Elections As election season heats up, the team examines how winners of the 2024 congressional and presidential races could influence 340B policy. They also overview how state-level races will play a role in legislative priorities over the coming term. 

What’s Next for Inside 340B Report

In future episodes, the team will provide an inside look at the issues impacting the stakeholders in the 340B drug discount program. Listen to fascinating conversations between 340B Report editors and reporters on what they are covering and why it is important. 

Stay tuned for more episodes biweekly! 🎧 Subscribe to Inside 340B Report on your favorite podcast platform and follow us on YouTube for video discussions.

Special thanks to 340B Report Ultra Diamond sponsors who made this episode possible including: AIDS Healthcare Foundation, The Alinea Group, Avita Care Solutions, Maxor, RxParadigm, RxStrategies and Verity Solutions.

Thank you for joining us on this journey. We look forward to bringing you valuable insights and discussions on the 340B program. For more information, visit 340BReport.com.

Special discount for YouTube and podcast listeners. 340B Report is the indispensable source for news and intelligence on the 340B program. First-time subscribers may subscribe now using coupon code PODCAST25. Not ready to subscribe? Sign up for a 15-day free trial.

Shannon Young, Will Newton and Bella Czajkowski, explore the biggest developments in the 340B program, focusing on the latest surrounding Johnson & Johnson’s (J&J) rebate proposal, including the potential for litigation. They also recap key discussions from a recent healthcare summit in New York City and offer a preview of what they’ll be keeping their eyes on ahead of the upcoming November elections.

Key Topics Covered

• 340B Report Correspondent Bella Czajkowski attended the Association for Value-Based Cancer Care Summit in New York, where she heard from influential voices on the future of healthcare policy, including 340B. Among the most notable speakers was Joe Grogan, a former Trump administration official, who called for reform to the 340B program—potentially including a rebate model instead of upfront discounts. He cited concerns with possible diversion and the risk of duplicate discounts. Grogan also forecasted the future of the Inflation Reduction Act (IRA).

• The team discusses 340B stakeholders’ reactions to J&J’s proposed 340B rebate model. The drugmaker has abandoned course following HRSA pushback, but as Bella points out, some stakeholders say litigation may be on the horizon. Shannon highlights a recent op-ed from Maureen Testoni, in which the president and CEO of 340B Health warned covered entities to stay alert on the issue. And she notes how drug industry trade groups have continued to push for a rebate system.

• Will discusses how the IRA’s Medicare drug price negotiations could interact with the 340B program, including potentially reducing 340B savings. He emphasizes how inaction from federal regulators on the overlap between 340B and the IRA has created looming uncertainty for providers and manufacturers navigating the two drug pricing programs.

• As the election season heats up, Shannon, Will and Bella preview what they expect to see when it comes to 340B-related lobbying efforts, and how the program could become a household name as it draws more attention at the state and national levels. 

In future episodes, the team will provide an inside look at the topics and issues impacting the stakeholders in the 340B drug discount program. Listen to fascinating conversations between 340B Report editors and reporters on what they are covering and why it is important. 

Stay tuned for more episodes biweekly! 🎧 Subscribe to Inside 340B Report on your favorite podcast platform and follow us on YouTube for video discussions.

Special thanks to 340B Report Ultra Diamond sponsors who made this episode possible including: AIDS Healthcare Foundation, The Alinea Group, Avita Care Solutions, Maxor, RxParadigm, RxStrategies and Verity Solutions.

Thank you for joining us on this journey. We look forward to bringing you valuable insights and discussions on the 340B program. For more information, visit 340BReport.com.

Special discount for YouTube and podcast listeners who are first-time subscribers. 340B Report is the indispensable source for news and intelligence on the 340B program. First-time subscribers may subscribe now using coupon code: PODCAST25. Not ready to subscribe? Sign up for a 15-day free trial.

In episode 2, host Ted Slafsky, along with Will Newton and Bella Czajkowski, recap major news impacting the 340B program, including the future of manufacturer efforts to convert 340B to a rebate, Sen. Bill Cassidy’s latest inquiry into two drugmakers, pushback from bipartisan House members to the rebate proposal federal 340B legislation and key state developments. 

Key Topics Covered

• Johnson & Johnson recently dropped its 340B rebate proposal amid strong enforcement threats from the federal government, but manufacturer efforts to convert the 340B program to a rebate model are likely to continue. The crew discusses the implications of the government’s response to J&J’s proposal and what it means for other manufacturer efforts to pursue 340B rebate models. They also explain how 340B rebates may arise in response to an inquiry from influential Republican Sen. Bill Cassidy, who has often been critical of 340B program growth. 

• Key lawmakers with a more favorable view of the 340B program have also been engaged in a flurry of legislative and policy making activity. The crew shares insights into a bipartisan House letter opposing 340B rebates and the status of a Senate bill to restore 340B discounts to contract pharmacies. They also touch on the implications of a children’s Medicaid enrollment bill with 340B provisions and two major updates on state-level battles over contract pharmacy access laws. 

In future episodes, the team will provide an inside look at the topics and issues impacting the stakeholders in the 340B drug discount program.  Listen to fascinating conversations between 340B Report editors and reporters on what they are covering and why it is important. 

Stay tuned for more episodes biweekly! 🎧 Subscribe to Inside 340B Report on your favorite podcast platform and follow us on YouTube for video discussions.

Special thanks to 340B Report Ultra Diamond sponsors who made this episode possible including: AIDS Healthcare Foundation, The Alinea Group, Avita Care Solutions, Maxor, RxParadigm, RxStrategies and Verity Solutions.

Thank you for joining us on this journey. We look forward to bringing you valuable insights and discussions on the 340B program. For more information, visit 340BReport.com.

Special discount for YouTube and podcast listeners.  340B Report is the indispensable source for news and intelligence on the 340B program. First-time subscribers may subscribe now using coupon code: PODCAST25.  Not ready to subscribe? Sign up for a 15-day free trial.