340B HEALTH RESPONDS TO SENATE HELP HEARING ON 340B
WASHINGTON, D.C.— Yesterday, the Senate Health, Education, Labor, and Pensions (HELP) Committee held a hearing examining the growth of 340B, its impact on patients, and its impact on federal spending. Most senators acknowledged 340B’s role in helping hospitals and other covered entities (CEs) care for patients in need, though some senators called for the committee to take up legislation later this year to “reform” 340B and focus it more on lowering patient costs.
The following statement is attributed to 340B Health President and CEO Maureen Testoni:
“On behalf of more than 1,600 hospitals participating in 340B, we thank Senator Cassidy and members of the Senate HELP Committee for taking a serious and bipartisan look at 340B. 340B remains one of the few ways hospitals can stretch limited resources to protect the rural and underserved communities without relying on taxpayer funding to do so.”
“Some of the discussions from panel members relied on reports that don’t reflect the full picture of how hospitals use their 340B savings. Well-respected studies that were not part of the discussion show that 340B hospitals provide significantly more uncompensated and Medicaid care than other hospitals and use their savings to expand services for patients in need. They also show that 340B hospitals do not use more drugs than other providers when patient risk factors and hospital characteristics are considered, that 340B hospitals are no more likely than non-340B hospitals to engage in vertical integration, and that 340B decreases federal spending. We urge Congress to take this evidence into account, especially at a time when safety-net hospitals are preparing for a rise in uninsured patients and facing lower Medicaid reimbursements because of legislation passed earlier this year.”
“As lawmakers discuss potential 340B legislation, the focus should be on strengthening what works, protecting access for patients, and ensuring drug companies meet their obligations to the health care safety net. Any proposed policy changes need to be carefully vetted with 340B providers to ensure that they will not inadvertently lower patient access, increase Medicare and Medicaid spending, and result in pressure to expand public, taxpayer-funded health programs.”
Contact: Jon Tilton at jon.tilton@340bhealth.org or 202-536-2285