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The 340b drug pricing program is a federal program requiring drug manufacturers that participate in the medicaid drug rebate program to provide covered outpatient drugs to enrolled covered entities at or below the statutorily defined ceiling price. According to the texas medicaid rules and regulations, it is unlawful for a pharmacy provider to withhold medication dispensation to a chip member who cannot afford required copayments. Through the federal 340b drug pricing program, pharmaceutical manufacturers sell drugs used in eligible safety net hospitals’ outpatient settings at discounted prices.
Section 340b of the public health services act requires drug manufacturers to provide outpatient drugs to health resources services administration (hrsa) eligible health care organizations, or covered entities, at significantly reduced prices. The 340b drug pricing program is a federal program in which manufacturers provide heavily discounted drugs to qualifying hospitals and clinics. A person receiving 340b drugs must be a patient of the covered entity
154 hospitals in texas are part of the 340b program
3,654 contracts between texas 340b hospitals and pharmacies nationwide Only 26% of contract pharmacies are located in medically underserved areas 7% of 340b hospitals in texas are below the national average for charity care levels. Members of congress want to know how the money that hospitals receive from their participation in 340b is helping patients
But i also want to flag that there was significant support for the program from both sides of the aisle. Most medicaid services and all children’s health insurance program (chip) services are delivered through health plans If you have medicaid or chip, your health plan makes sure you get the health care services you need.
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