340B Health is raising objections to new Medicare payment proposals from CMS, which includes deeper cuts to outpatient payments and the possibility of future drug reimbursement reductions.
Under the newly released 2026 outpatient rule, CMS said it plans to accelerate reimbursement cuts to 340B hospitals for non-drug items and services, according to a July 16 news release shared with Becker’s. The move is part of the agency’s effort to recoup funds redistributed following a Supreme Court ruling that found CMS unlawfully slashed 340B drug payments between 2018 and 2022.
CMS also proposes launching a drug acquisition cost survey in 2026 that could lead to new drug payment cuts by 2027, 340B Health said in the release. The group said using cost survey data to set future payment rates could result in hospitals losing the benefit of 340B pricing.
