Lawmakers introduce bill codifying 340B providers’ use of contract pharmacies to dispense discounted drugs

Rep. Doris Matsui, D-Calif., and Sen. Peter Welch, D-Vt., today introduced the 340B Patients Act, AHA-supported legislation that would codify 340B providers' ability to use contract pharmacies to distribute 340B discounted drugs. The bill would clarify that manufacturers are required to offer 340B discount prices to covered entities regardless of the manner or location where the drug is dispensed. It would also ensure that manufacturers cannot place conditions on covered entities to buy and use 340B drugs. Additionally, the bill would impose monetary penalties on manufacturers that violate the requirements.

“The American Hospital Association thanks Representative Matsui and Senator Welch for their leadership in protecting the 340B drug pricing program and the patients and communities that benefit from it,” said Aimee Kuhlman, AHA’s vice president of advocacy and grassroots. “Their important bill — which the AHA strongly supports — would put an end to drug companies’ harmful restrictions on the ability of 340B hospitals to provide critical medications to their patients through partnerships with community and specialty pharmacies. For far too long, these restrictions have made it more difficult for patients to access their medications while multinational drug companies have enjoyed record financial success.”