HHS moves to nix 340B insulin, EpiPen discount rule, cites health center burden

HHS proposed June 16 getting rid of a rule created by former President Donald Trump that would require federally qualified health centers to pass discounts on insulin and epinephrine directly to patients. 

Health centers have argued that the rule would not lower drug prices for patients and would do more harm than good for health centers by putting "extensive administrative burdens" on them, according to the National Association of Community Health Centers. 

The rule was implemented under an executive order signed by former President Trump in July 2020. It was supposed to take effect Jan. 22, but HHS froze it until March 22 to give officials the opportunity to further review it. 

The rule requires all health centers receiving section 330(e) grant funds and participating in the 340B drug-pricing program to make insulin and epinephrine available to low-income patients at or below the cost the health center purchased them for through the 340B drug-pricing program. It applies to people with annual incomes at or below 350 percent of the federal poverty level who have a high cost-sharing requirement, high unmet deductible or no health insurance.

HHS said June 16 that it wants to get rid of the rule because of "undue administrative costs and burdens" it would cause for health centers. 

Read the full HHS proposal here

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