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340B Drug Pricing Program

For more than 25 years, the 340B Drug Pricing Program has provided financial help to hospitals serving vulnerable communities to manage rising prescription drug costs.

Section 340B of the Public Health Service Act requires pharmaceutical manufacturers participating in Medicaid to sell outpatient drugs at discounted prices to healthcare organizations that care for many uninsured and low-income patients. The program allows 340B hospitals to stretch limited federal resources to reduce the price of outpatient pharmaceuticals for patients and expand health services to the patients and communities they serve. Learn more about how eligible Virginia Mason Franciscan Health hospitals use this program to expand access to care and provide more comprehensive services below. 

(This language is adapted from the this AHA Fact Sheet on 340B.)