A proposal by Rep. Joe Barton (R-Texas) would cut more than half of the disproportionate share hospital’s (DSH) eligibility to participate in the 340B drug discount program. 340B Health shows that 573 of the 1,115 current participants would be dropped from the program. Losing the 340B program would cause these hospitals to not be able to provide the care necessary to low-income and rural American citizens.

“This proposal would decimate the 340B drug pricing program and leave millions of low-income Americans with higher costs and less access to care,” said Maureen Testoni, Interim President and Chief Executive Officer of 340B Health.

The impact would be felt in 47 states as well as the District of Columbia and Puerto Rico. California, Texas, North Carolina, Georgia and Ohio are among the states with the highest hospital loss. Alaska will not lose any Hospitals in the proposal and New Hampshire and Wyoming do not have any hospitals in the program.

To be eligible for the 340B program, a DSH hospital must provide a high level of care for Medicaid and low-income Medicare patients. Barton is proposing to increase the DSH adjustment percentage from 11.75 to 18, which would drastically cut the program for safety net hospitals that are providing more services to low income areas

Prairie Health Ventures understands the importance of your 340B program for your organization and your local community; Contact us for further information.

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