Health Resources and Services Administration Announcement of Eligibility of Organizations Able to Enter the 340(B) Drug Discount Program
July 2010
The Health Resources and Services Administration announces that organizations may now apply to be eligible for the 340(b) Drug Pricing Program. According to HRSA, "Section 7101 of the Affordable Care Act (ACA) expanded the definition of covered entities that are now eligible to participate in the 340B Program. Under the provision, children’s hospitals, free-standing cancer centers, critical access hospitals, sole community hospitals and rural referral centers are now eligible to participate in the Program. Children’s Hospitals had been previously enrolled under a provision of the Social Security Act (SSA) amended by the Deficit Reduction Act."
From HRSA: "Section 340B limits the cost of covered outpatient drugs to certain federal grantees, federally-qualified health center look-alikes and qualified disproportionate share hospitals. Participation in the Program results in significant savings estimated to be 20% to 50% on the cost of pharmaceuticals for safety-net providers. The purpose of the 340B Program is to enable these entities to stretch scarce federal resources, reaching more eligible patients and providing more comprehensive services"
Health Resources and Services Administration Announcement of Eligibility of Organizations Able to Enter the 340(B) Drug Discount Program