A necessary and important program for America’s most vulnerable patients, the 340B Drug Discount Program has morphed into a substantial profit-generating program for most hospitals that is very different from the noble, original program intended to help patients in need.
A series of legislative missteps has been responsible for the tremendous growth of the 340B program in hospitals. Most of these hospitals make tremendous profits from the program; provide incredibly low levels of charity care; are much more expensive for patients and taxpayers; and are shrinking our nation’s cancer care system. 340B has become a classic case of well-intentioned policy causing unintended consequences that adversely affect patient care.