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
340B Drug Discount Program Finally Gets a Congressional Hearing
House Energy and Commerce Subcommittee on Health holds first hearing on the 340B drug discount program since 2005.
When Will Congress Fix the 340B Drug Discount Program?
The 340B drug discount program to help uninsured, low-income individuals obtain prescription drugs has strayed from its mission.
The Federal 340B Discount Drug Program Needs Reform
The federal 340B drug discount program is in need of congressional oversight and reform.
What is the 340B Program and Why You Need to Care
Problems in the 340B drug discount program are growing and costs are increasing due as more entities participate in the program.
