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HRSA Should Revisit Delay of 340B Rule

FOR IMMEDIATE RELEASE

WASHINGTON—We are deeply disappointed in today’s decision by the Health Resources and Services Administration (HRSA) to further delay a rule that protects patients and hospitals from drug company overcharges under the 340B Drug Pricing Program.

The 340B program is a vital means of lowering drug prices and reducing out-of-pocket costs for patients. Manufacturer overcharges in the 340B program jeopardize access to affordable drugs for vulnerable patients and drive up costs for hospitals with already limited resources. The rule delayed by HRSA would establish the calculation of ceiling prices under the program and impose civil monetary penalties on manufacturers that knowingly and intentionally overcharge covered entities. Given President Trump’s commitment to lowering skyrocketing drug prices, it only makes sense to implement this rule immediately.

Not only will this rule help covered entities identify and correct overcharges, it will infuse accountability and transparency into the program. We call on HRSA to revisit its decision and put this rule in place now.

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America’s Essential Hospitals is the leading champion for hospitals and health systems dedicated to high-quality care for all, including the most vulnerable. We support our more than 325 members with advocacy, policy development, research, and education. Communities depend on essential hospitals to provide specialized, lifesaving services; train the health care workforce; advance public health and health equity; and coordinate care. Essential hospitals innovate and adapt to lead the way to more effective and efficient care. Learn more at essentialhospitals.org.

Contact:
Carl Graziano
cgraziano@essentialhospitals.org
202.585.0102

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