Chair File: Protecting 340B and Access to Care
In last month’s Chair File, we talked about some of the key priorities the AHA has for the remainder of 2025, one of which is protecting the 340B Drug Pricing Program from harmful changes.
For more than 30 years, thanks to bipartisan congressional support, the 340B program has helped eligible hospitals stretch limited federal resources to reduce the price of outpatient pharmaceuticals for patients and expand health services to the communities they serve.
Despite the program’s proven record of expanding access to care for Americans nationwide, there are those who say the program has grown out of control and continue to push to diminish the scope of the program and the benefits it affords providers and their patients.
Eligible hospitals use 340B savings to provide financial assistance to patients unable to afford their care, bring access to otherwise unprofitable service lines, provide additional clinical pharmacy services, establish new clinics to meet community needs and create innovative community outreach programs. 340B also is a lifeline for rural hospitals, nearly half of which deliver care significantly below the cost of providing services.
The 340B program’s long track record of improving access to care doesn’t just benefit uninsured and low-income patients; it benefits the entire community as hospitals reinvest savings into community benefits. In 2022, tax-exempt hospitals participating in the 340B program provided nearly $100 billion in total benefits to their communities.
The AHA is involved in many advocacy efforts to protect the 340B program so it can continue to do what Congress intended: help expand access to care for patients and communities across the country.
We are advocating with lawmakers on Capitol Hill, including a recent multifaceted effort to highlight the value of the program ahead of a Senate HELP (Health, Education, Labor and Pensions) Committee hearing on 340B that occurred in October. We are advocating with federal regulators to shape proposals that would affect the program. And we are active in the courts, including filing many amicus briefs to support state laws protecting 340B contract pharmacies.
Aimee Kuhlman, AHA vice president of advocacy grassroots and government relations, will be joining me later this month for a Leadership Dialogue conversation. Listen in for insights on the importance of the 340B program, the latest related activity and what we as hospitals and health systems can do to help protect this critical program for providing access to care.
Helping You Help Communities — Key AHA Resources