How the 340B Program Impacts Patients

Explore News, Research & Advocacy Resources on the 340B Drug Pricing Program

The 340B Drug Pricing Program was established by Congress in 1992, intended to expand access to affordable prescription medications and healthcare services for low-income and uninsured Patients. Through the program, biopharmaceutical manufacturers provide outpatient drugs at steep discounts to participating healthcare entities – known as “covered entities” – that provide care to these vulnerable populations. Over the past three decades, the program has experienced rapid growth – with discounted purchases under 340B reaching a total of $66.3 billion in 2023. Profits generated through the 340B program for hospitals and covered entities have grown by over 23% in the last year alone. In contrast, the rate of charity care provided to the Patients the program is meant to support has declined since 2018, raising concerns about access to necessary medical services. Currently, 69% of 340B disproportionate share hospitals (DSHs) provide charity care at rates that are lower than the national average for all hospitals.

BioNJ urges federal lawmakers to support policies that would institute greater transparency and oversight over the 340B Drug Pricing Program in order to ensure that the program is serving its original goal of ensuring that vulnerable communities can access the therapies they need – Because Patients Can’t Wait ®.

BioNJ encourages you to explore the resources below to learn more about 340B.