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Monday, October 26, 2026 · Updated 9:04 AM MT · 23 stories today
Mon, Oct 26 · 23 stories todayPRO
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LegalOctober 26, 2026

Hospitals Sue Again to Block 340B Rebate Pilot Before Jan. 1

HRSA has approved rebate plans from 10 drugmakers covering 21 drugs under a revised 340B Rebate Model Pilot Program set to start Jan. 1. Under the model, covered entities pay wholesale acquisition cost upfront and must submit claims data within 45 days to receive rebates, rather than receiving discounts at purchase. The AHA, Maine Hospital Association and four hospitals sued in federal court in Maine on Oct. 9, arguing HRSA ignored warnings the pilot could cost hospitals over $1 billion a year, and are seeking a temporary restraining order; a similar prior version was blocked by the same court in December 2025. A bipartisan House bill would delay the pilot through 2028, while drugmakers and PhRMA have moved to intervene to defend the plans, citing billions in alleged duplicate discount payments.

Why it mattersCovered-entity hospitals face major upfront cash-flow and reimbursement risk if the pilot takes effect, while its outcome could set precedent for expanding rebate models across the broader 340B program.

Pharmacy · Finance

Read the full article at beckershospitalreview.com →
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