STATEMENT BY 340B HEALTH REGARDING PRESIDENT’S FY2019 BUDGET
Washington, D.C.— While we have not seen the Administration’s actual budget proposals for the 340B drug discount program, the statements made by Secretary Azar and the report by the Council of Economic Advisors raise significant concerns about the Administration’s understanding of the 340B program and its benefits to low-income and rural Americans.
The proposals outlined so far would not reduce drug prices. In fact, they have the potential to increase prices and profits for drug manufacturers. The sole focus on charity care has the potential to narrow the scope of the 340B program in ways that could limit care for millions of low-income and rural patients who are underinsured or enrolled in Medicaid or Medicare. The notion that the 340B program is “a source of profits for provider shareholders” is inaccurate – only public hospitals and private non-profit hospitals can participate in the 340B program – and counter-productive to a rational dialogue about the future of the program.
The bottom line is any proposal to limit the scope of the 340B program will hurt patients with low incomes and those living in rural communities and should not be pursued. Strong bipartisan majorities in both houses of Congress have demonstrated their strong support for the 340B program and we are confident they will continue to protect the 340B program and the people and communities it serves.
Contact: Richard Sorian at 202-536-2285 or richard.sorian@340bhealth.org.