340B Drug Discount Program
STOP THE SPECIAL INTEREST FEEDING FRENZY!
Patients are being fed to the sharks. Special interests, like contract pharmacies and hospitals, are taking advantage of unclear definitions of what constitutes a 340B patient to line their own pockets with discounts meant for those in need. The 340B program must strongly define patient eligibility and enforce strict accountability measures to enhance transparency.
The federal 340B drug discount program was created in 1992 to help federally funded clinics and public hospitals that serve a large uninsured population cover the cost of drugs and provide discounts to patients. However, the lack of clear intent and definition of a patient, along with poor oversight, have led to the program being exploited by hospitals and contract pharmacies to generate millions of dollars in profit. Patients are not getting their benefits, and taxpayers and consumers are paying the price for the abuses of the program. Reforms to 340B are essential and should be done by Congress rather than the states.
Let's get back to the way Congress intended the 340B program to be—for patients, not profits.
Prioritize patient needs.
- Establishing a centralized clearinghouse to manage and process 340B claims will facilitate better communication between pharmacies, healthcare providers, insurers, and patients. To monitor compliance and prevent issues, such as duplicate discounts and diversion, covered entities must provide continuous, real-time data.
Enhance accountability and transparency.
- To prevent program abuse, covered entities and contract pharmacies should verify patient eligibility every time medications are dispensed.
- Prescriptions must be linked to healthcare services provided within the past 12 months to ensure that the benefits reach the intended patient.
Define who qualifies for the program.
- The program must ensure that only those requiring financial assistance or with low-income benefit from it.
- Patients must be under the care of a physician affiliated with a qualifying 340B entity and receive a 340B prescription for a diagnosis related to their care.
It's time to fix this mess and fix 340B.
The Latest from 340B
The WasteWatcherAnother Trump Administration Proposed Regulation to Lower Drug Costs for Seniors
Centers for Medicare and Medicaid seeks to revise how Medicare will pay for outpatient drugs under the 340B drug discount program.
The WasteWatcherTaxpayers and Patients Win Second Round on 340B Drug Discount Rule
New final 340B drug discount rule from CMS could save Medicare beneficiaries an estimated $320 million in copayments in 2018 alone
The WasteWatcherGAO Releases Another Troubling Report on 340B Drug Discount Program
Report demonstrates that the 340B drug discount program is out of control and in dire need of restructuring.
The WasteWatcherCAGW Signs Coalition Letter Supporting Safety Net 340B Drug Program Reforms
The Safety Net 340B drug program must clearly define eligible patients to help them and not fatten hospital coffers.
The WasteWatcherPresident Trump’s Blueprint to Lower Drug Costs: A Lot to Unpack
On Friday, May 11, President Trump released his report on what his administration will do to lower drug costs.
The WasteWatcherPresident Trump's Drug Costs Proposals Coming Soon
The President has already made some good policy decisions and has offered other proposals that will help to lower drug costs.
The WasteWatcherDrug Prices - The Council of Economic Advisers and Trump Administration Weigh In
Report spotlights how imposing price controls and government regulations hamper drug approvals and slow competition.
The WasteWatcherTaxpayers and Patients Win First Round on 340B Drug Discount Rule
On January 1, 2018, hospitals will begin to receive lower government reimbursements for drugs purchased under the 340B program.
The WasteWatcherNew CMS Rule Will Help Reduce Drug Costs
On Wednesday, November 1, 2017, the Centers for Medicare and Medicaid Services (CMS) issued a new rule that will lower costs to taxpayers and Medicare beneficiaries for certain outpatient pharmaceuticals p
The WasteWatcherHow the 340B Drug Discount Program is Increasing Cancer Costs
Cancer care costs are rising, and the 340B outpatient drug discount program is needlessly contributing to the increase.
The WasteWatcherJudge Tells Federal Agency to Obey the Law for Drug Discount Program
Taxpayers and consumers pay for misuse of the 340B program through higher insurance premiums, increased drug prices and taxes.
The WasteWatcherMore Proof the 340B Program Needs Reform
A July 6, 2015 GAO report confirms that reform of the 340B program is necessary.
