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Hospitals back governor’s financing package while 340B changes draw concern
Summary
Ohio hospital groups told the committee they support a package that raises the hospital franchise fee to draw federal matching funds and increase rates, while proposed restrictions on 340B contract pharmacy claims would recapture rebate dollars and face pushback from some providers.
Representatives of the Ohio Hospital Association and the Ohio Children's Hospital Association told the House Medicaid Committee they support the governor's hospital financing package as a whole, even as the budget would change how the state handles 340B (HRSA) drug program claims.
In testimony, hospital witnesses said the financing package — which includes an increase in the hospital franchise fee and a re-alignment of state-directed payments — is intended to raise state revenue that will be matched with federal dollars and then redistributed to hospitals in ways tied to quality.
“While we support the current budget, we fully acknowledge the changes to Medicaid at the federal level are significant,” said Scott Borgaminski of the Ohio Hospital…
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