To calculate the reduced total rebate amount for a Part B rebatable drug, in 427.401(b), CMS proposes the following formula: Reduced Total Rebate Amount = total rebate amount multiplied by (1 minus applicable percent reduction) multiplied by (percentage of time drug was currently in shortage during the calendar quarter) added to the total rebate amount multiplied by (1 minus percentage of time drug was currently in shortage during the calendar quarter) For the purpose of this formula, for a Part B rebatable drug that is a plasma-derived product, in 427.401(b)(2)(i), CMS proposes an applicable percent reduction of 75 percent for the first 4 consecutive calendar quarters such Part B rebatable drug is currently in shortage, 50 percent for the second 4 consecutive calendar quarters, and 25 percent for each subsequent calendar quarter
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Subpart GEnforcement of Manufacturer Payment of Rebate Amounts 427.600 Civil money penalty notice and appeals procedures
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ISBN 978-92-4-156371-0
We refer readers to 85 FR 84802 through 84807, 86 FR 65361 through 65370, 87 FR 70008 through 70014, and 88 FR 79285 through 79292 for the details of those finalized policies
