WSHA Fiscal Watch – December 19

January 7, 2025

 

In this issue: 

Court Approves Blue Cross/Blue Shield (BCBS) Antitrust Lawsuit Settlement

December 4, a federal court granted preliminary approval to a proposed class action settlement that would distribute $2.8 billion to impacted hospitals and providers. The settlement also requires substantial changes in the way Blue Cross and Blue Shield Plans conduct business. This includes significant changes to allow greater competition between plans and accountability for payment for services for enrollees of out-of-area plans contracted through the BlueCard system. The firm of Brown and Greer was selected by the court to administer the settlement.

According to the settlement document, any hospital or provider who treated a BCBS member, including Premera and Regence enrollees between July 24, 2008 and Oct. 4, 2024 is part of the class and eligible for a portion of the settlement. Eligible hospitals and providers are automatically included in the class unless they opt out by March 4, 2025. WSHA has information on potential law firms for hospitals wishing to opt out to pursue separate settlement. More information regarding administration of the settlement, including the settlement agreement, FAQs, and class notice is at the settlement website. (Andrew Busz, andrewb@WSHA.org)

AHA Urges Hospitals to Complete Survey on Impact of Proposed 340B Rebate Policy by Jan. 10

The American Hospital Association (AHA) has extended through Jan. 10, 2025, the deadline for 340B hospital members to participate in a brief survey to help the association understand how a 340B rebate model — such as the one Johnson & Johnson sought to implement this year — would impact 340B member hospitals. WSHA strongly  supports efforts to preserve the current program against drug manufacturers’ efforts to undermine or eliminate the program.

AHA requests members complete this 10-question survey by Jan. 10, 2025, in order to help AHA understand the financial, operational and patient impacts that a rebate model would have on your hospital or health system. Rather than the current policy, which requires drug manufacturers to provide eligible 340B covered entities an upfront price discount, the manufacturers would determine themselves whether and when to provide a rebate. This new rebate policy would require 340B hospitals to purchase these drugs at a higher price with no assurance they would be granted rebates by the manufacturers for those drugs.

If you have questions, please contact AHA Director of Health Analytics & Policy Bharath Krishnamurthy at bkrishnamurthy@aha.org. (Andrew Busz, andrewb@WSHA.org

Reminder: New BBPA Notice of Consumer Rights Required Effective January 1, 2025

The Office of the Insurance Commissioner (OIC) has updated the standard notice of consumer rights required by the state’s Balance Billing Protection Act to reflect the addition of ground ambulance and behavioral health services to the Act. Effective January 1, 2025, medical providers, facilities, ground ambulance service organizations, and behavioral health emergency service providers should post the updated form on their website and use it for required notices under WAC 284-43B-050. More information about the changes is here. (Andrew Busz, andrewb@wsha.org).

 

 

 

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