Daily Briefing

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Around the nation: J&J tightens 340B requirements


Johnson & Johnson (J&J) recently announced that it will now require providers to submit claims data to receive 340B drug discounts, following in the footsteps of other drugmakers like Eli Lilly and Novo Nordisk, in today's bite-sized hospital and health industry news from Illinois, New Jersey, and New York.

  • Illinois: GE Healthcare has launched a new AI-enabled SaaS application to help healthcare organizations optimize their resources and expand access to care. The tool, which is called CareIntellect for Operations, analyzes patient- and operational-level data points to forecast capacity constraints up to 72 hours ahead of time. "The broader goal is to help health systems move from reactive operations to a more proactive model," said Taha Kass-Hout, GE's HealthCare Global Chief Science and Technology Officer. "So beds, staff, imaging, transfers and other resources can be coordinated more effectively and patients can move through care with fewer unnecessary delays," she added. (Gleeson, Fierce Healthcare, 9/15)
  • New Jersey: J&J recently announced that it will now require providers to submit claims data to receive discounts through the 340B program. Under the new policy, providers will have 45 days to submit documentation about the drugmaker's products dispensed through the 340B program, including when the prescription was filled and identification numbers for prescribing providers. According to J&J, this information will help the company ensure the drug is eligible for 340B and does not overlap with discounts through other programs like Medicaid. If providers do not comply, J&J could suspend their access to all 340B discounts. Other major drugmakers, such as Eli Lilly and Novo Nordisk, have implemented similar policies. However, there has been significant pushback from hospitals, with some suing drugmakers over the new 340B policy. Hospital lobbies have also argued that drugmakers don't have the statutory authority to implement new reporting requirements for the 340B program and urged federal regulators to intervene. Currently, HHS' Health Resources and Services Administration, which oversees the 340B program, is reviewing the drugmakers' new claims data policies. (Parduhn, Healthcare Dive, 9/14)
  • New York: According to a new study published in the American Journal of Respiratory and Critical Care Medicine, a new oral drug showed promising results in treating sleep apnea, potentially creating new treatment options for people who don't like using continuous positive airway pressure (CPAP) machines. In the trial, 646 adults with mild to severe obstructive sleep apnea took the once-nightly pill AD109, and 40% of participants reported that their conditions improved to a less severe classification. In addition, 18% were able to gain complete control of their sleep apnea. "These results provide encouraging evidence that targeting neuromuscular dysfunction can translate into meaningful clinical outcomes, aligning with our evolving understanding of the disease biology," said Patrick John Strollo, a sleep medicine physician at the University of Pittsburgh Medical Center and the study's first author. (Kaplan, The Hill, 9/17; ScienceDaily, 9/1)

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