Advocacy Alert

Urge Your Lawmakers to Support Essential Health System Designation

On the Hill: Association Responses to 340B RFI, Cyberattack

Julia Grady
April 2, 2024

In an April 1 letter to a bipartisan group of senators examining the 340B Drug Pricing Program, America’s Essential Hospitals responded in detail to the group’s request for information (RFI) regarding the program and changes it has proposed in draft legislation.

In its response to the RFI, the association defended the 340B program as a vital component of safety net support and cautioned against changes to the program that would narrow its scope. Regarding the legislative discussion draft, the Supporting Underserved and Strengthening Transparency, Accountability, and Integrity Now and for the Future of 340B Act (SUSTAIN 340B Act), the association applauded its provisions to prohibit drug company restrictions on 340B drugs dispensed by contract pharmacies. The association also said it welcomed the act’s affirmation of the 340B program’s original intent: to provide discounts to hospitals and other covered entities to support the care of low-income and other disadvantaged patients.

In other comments to the so-called “Gang of Six,” America’s Essential Hospitals urged Congress to avoid prescriptive rules and limitations — including how the 340B program defines a patient — that could unintentionally restrict the program’s flexibility and undermine its purpose of supporting safety net providers.

Change Healthcare Cyberattack Letter

In a March 22 letter to congressional leadership, America’s Essential Hospitals urged Congress to take swift, definitive action in the aftermath of the Change Healthcare cyberattack.

The letter encourages Congress to engage with stakeholders and pass comprehensive legislation that would prioritize help to essential hospitals as they face the crisis and protect them from future such attacks. It also highlighted how essential hospitals are particularly impacted by such attacks, with margins significantly lower than the rest of acute-care hospitals.

Committee Activity This Week

The House and Senate are in recess this week.

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