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Drug Discount: Characteristics of Hospitals Participating and Not Participating in the 340B Program

The U.S. Government Accountability Office (GAO) released a report on the results of the study that analyzes the characteristics of hospitals that participate or do not participate in the 340B drug discount program. The GAO conducted this study due to the sixty percent increase from 2011 to 2016 in program participation, as well as the impact of Medicaid expansion on 340B participation.

The study was focused on three of the six hospital types, as they accounted for ninety five percent of U.S. hospitals participating in the 340B program. These three hospital types include:

  • Critical Access Hospitals (CAH)
  • Sole Community Hospitals (SCH)
  • General Acute Care Hospitals (Also Known As 340B DSH)

The full report can be found on the U.S. Government Accountability Office website, https://www.gao.gov/products/GAO-18-521R.

Posted by the AHA Resource Center, (312) 422-2050, rc@aha.org.

Policy Brief: 340B Drug Discount Program

The federal 340B drug discount program was created in 1992 to provide discounted outpatient drugs to safety net health care facilities serving vulnerable populations. The program has grown since then, primarily because the Affordable Care Act expanded hospital eligibility, and the Health Resources and Services Administration which administers the program, allowed health facilities to contract with multiple pharmacies.

The program’s expansion has brought new attention to it and raised several policy issues. A new briefing from Health Affairs provides an overview of the program, discusses the stakeholders, identifies and discusses the issues surrounding the program, and looks at where things stand and what’s next for 340B from the policy perspective.

Source: Stencel K. Health policy brief: 340B drug discount program. Manufacturers are required to provide outpatient drugs at a discount to certain health centers, hospitals, and clinics. Health Affairs Blog, Nov. 17, 2014. http://www.healthaffairs.org/healthpolicybriefs/brief.php?brief_id=130

Posted by AHA Resource Center (312) 422-2050 rc@aha.org

Hospital Participation in the Federal 340B Drug Discount Program

I recently received a question about where to find information about hospital participation in the federal 340B drug discount program that was expanded last year. These are the places I’d start with:

Posted by the AHA Resource Center, (312) 422-2050, rc@aha.org