November 7, 2022

The 340B program, a flawed plan that allows hospitals to steal savings meant for low-income patients, has just reached its 30th anniversary. Gerard Scimeca, Chairman of Consumer Action for a Strong Economy (CASE), issued the following statement calling for further transparency of this ineffective program.

“30 years ago, the 340B program was created to help decrease the cost of healthcare for low-income patients by offering prescription drug discounts to qualified health centers. Initially, the program operated as intended, as low-income patients were paying more affordable prices for life-saving medications. However, consistent negligence within the program has allowed hospitals to take advantage of the discounts offered through 340B at the expense of the patients for whom the benefits are intended. Due to 340B’s lax requirements, hospitals continue to game the system, using the savings to increase their profits as they like, with no guarantees that it goes to lowering patient costs. Additional 340B oversight is needed now to effectively reign in the cost of healthcare and ensure this program once again works as envisioned.”