Hospital financial metrics remain steady even as costs rise and reimbursement challenges await
The latest data on financials for the not-for-profit (NFP) hospital sector hints at the challenges in store. While margins have not taken a significant hit for health systems, other metrics reflect rising costs, according to the latest monthly report from Strata Decision Technology. Beyond that immediate concern is the prospect of reduced reimbursement not only…
Proposed 340B rebate model generates an array of concerns among providers
Hospital advocates are pushing back on a fast-approaching rebate model for the 340B Drug Pricing Program, while a new Congressional Budget Office (CBO) report illustrates the accelerating spending in the program. The Health Resources and Services Administration (HRSA), which administers 340B, previously announced that a pilot program to test the application of a rebate model…
The hospital tax exemption comes under scrutiny in Congress
At a time when concerns over reimbursement and costs already are intensifying, Congress recently held a hearing to discuss policy changes that could exert further pressure on the not-for-profit (NFP) hospital sector. A subcommittee of the House Ways and Means Committee met Sept. 16 to examine the NFP hospital tax exemption, soliciting proposals that could…
Ahead of expected turmoil, the hospital sector is on solid footing
With uncertainty on the horizon for healthcare operations, hospitals and health systems appear to have established a stable foundation from which to respond to challenges. Recently reported financial data offers further indication that the not-for-profit (NFP) hospital sector has attained a measure of equilibrium several years after the pandemic and the ensuing turbulence in labor…
340B rebate models arrive in the form of a new pilot program
Federal healthcare officials took a step last week toward permitting rebate models in the 340B Drug Pricing Program, launching a pilot to allow for the testing of such models. The idea was proposed over the past year by drug manufacturers looking to rein in what they say are excesses of the 340B program. Rather than…
Community benefit, 340B and Medicare Advantage: Top financial reporting challenges
Nonprofit hospitals are facing scrutiny over their community benefit reporting, the 340B Drug Pricing Program is under threat, and there is a need for greater transparency in Medicare Advantage and Medicaid managed care plans.
New taxes to hit hospitals as a result of the budget reconciliation bill (updated)
This article has been updated July 8 as noted to reflect changes made to the bill between the version passed by the House and the final legislation. As congressional Republicans continue their discussions on the budget reconciliation bill, not-for-profit (NFP) hospital leaders should be aware of items that have gotten less attention than the retrenchment…
Investing in AP Automation: 5 Keys for Healthcare Organizations
Finding the best vendor to help you automate your AP process can be challenging. However, knowing what questions to ask during the discovery process will make sure you understand all of the components that are essential to you.
Johnson & Johnson looks to make a big change in how hospitals obtain 340B price discounts (updated-2)
Note: This article was most recently updated Oct. 1 with information on Johnson & Johnson’s change of plans regarding a proposed 340B rebate program. See that update below. A leading drug manufacturer opened a new chapter in the fight with hospitals over the 340B Drug Pricing Program, requiring the use of a rebate program to…
CMS announces negotiated Medicare Part D drug prices, looks to blunt a potential spike in premiums (updated)
Note: This article was updated Oct. 2 with news about 2025 projected Part D premiums. See the update below. CMS announced the first set of negotiated drug prices under the Inflation Reduction Act (IRA) and recently moved to head off a significant premium increase that’s projected to arise due to provisions in the 2022 law.…