Program Background

Created under Section 340B of the Public Health Service Act in 1992, the 340B statute requires pharmaceutical manufacturers participating in Medicaid to sell outpatient drugs at discounted prices to not-for-profit and government-related health care organizations that care for many uninsured and low-income patients. Congress created the program with the goal of helping hospitals “stretch scarce Federal resources as far as possible,” and currently limits participation in 340B to following types of hospitals:
 

• Disproportionate Share (or DSH) hospitals.
• Certain Children’s Hospitals
• Certain Cancer Hospitals
• Rural Referral Centers
• Sole Community Hospitals
• Critical Access Hospitals

In Wisconsin, about half of our more than 140 hospitals statewide participate in the 340B program.

Extending Care Across Wisconsin

Wisconsin hospitals use 340B savings to benefit their local communities by expanding access to important health care services, including:

More Benefits of 340B

Drugmakers' Actions are Harming 340B Hospitals

Despite the extensive benefits to our Wisconsin communities and communities across the country, large drug companies continue to deny required 340B discounts at community pharmacies hospitals contract with to dispense medications.

Program Integrity

Hospitals devote significant resources toward complying with federal 340B requirements. Plus, 340B is transparent: HRSA already preforms 200 rigorous audits of 340B entities each year, compared to only  five drug manufacturer audits.

Protect 340B

The 340B Prescription Drug Discount Program helps hospitals extend care! Please protect 340B, which supports Wisconsin hospitals and communities.