Health Care & Hospital Law,
Government
Jun. 24, 2022
American Hospital Association v. Becerra; words have meanings
At the end of the day, this case was not about the policy behind the 340B Drug Pricing Program or the limits of judicial deference to agency interpretation, but rather about recognizing that statutes mean what they say and say what they mean.
On June 15 the Supreme Court held in American Hospital Association v. Becerra, No. 20-114, that HHS lacked the authority to reduce reimbursement rates differentially for hospitals participating in the 340B Drug Pricing Program. The reduction in 2018 and 2019 imposed by HHS resulted in reimbursement cuts of about $1.6 billion to hospitals serving indigent and underserved populations. In holding against HHS, the Court rejected HHS’s arguments that its action was not re...
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