What is the 340B Drug Pricing Program?

The 340B Drug Pricing Program is a federal program that requires drug manufacturers participating in the Medicaid drug rebate program to provide outpatient drugs to enrolled “covered entities” at or below the statutorily-defined ceiling price. This requirement is described in Section 340B of the Public Health Service Act and codified at 42 USC 256b. The purpose of the 340B Program is to permit covered entities “to stretch scarce Federal resources as far as possible, reaching more eligible patients and providing more comprehensive services.” H.R. Rep. No. 102-384(II), at 12 (1992).

Click questions to reveal it's answers

Q: Which programs are eligible to participate in the 340B program?

Q: Which patients are eligible? Do they have to be below a certain income?

Q: Does the 340B discount apply to Medicaid patients or both Medicaid and Medicare?

Q: Can a covered entity use 340B drugs for patients with private insurance?

Q: Are 340B prices available when purchasing inpatient drugs?

Q: What does OPA mean by a "ship to, bill to" arrangement?

Q: Is my covered entity required to submit our Medicaid/NPI number to the database for inclusion in the HRSA Medicaid Exclusion File?

Q: What are the program benefits of the 340B Drug Pricing Program?

Q: What drugs are included under the 340B Drug Pricing Program?

Q: Is there a specific formulary for the 340B drugs?