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Supreme Court justices grill HHS in lawsuit surrounding nearly 30% cut to 340B payments

December 1, 2021

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Several Supreme Court justices questioned key parts of the Department of Health and Human Services’ (HHS’) decision to cut Medicare reimbursements to 340B hospitals by nearly 30%.

The Supreme Court heard oral arguments Tuesday in American Hospital Association (AHA) vs. Becerra, centering on a 2018 decision to cut outpatient Medicare drug reimbursements to 340B facilities by nearly 30%. AHA and other hospital groups have sued to halt the cuts, and an appellate court sided with HHS that it has the power to make the cuts.

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