New Federal 340B Legislation Introduced


Legislation to enact reforms to the 340B program was recently introduced in the House of Representatives. Learn more about Congressional efforts to shore up the program.


What is the 340B Program? 

The 340B Drug Pricing Program is a federal program, established in 1992, which allows certain providers, including community health centers, to purchase outpatient medications at a discount. Congress established the 340B program to ensure eligible providers could “stretch scarce Federal resources as far as possible, reaching more eligible patients and providing more comprehensive services.” The savings generated from the program allow community health centers to increase access to care by offering affordable medications and expanding services to patients.1


340B Legislation Introduced in the House 

At the end of May, Representatives Bucshon (R-IN),  Carter (R-GA), and Harshbarger (R-TN-01) introduced the 340B Access Act. The legislation is championed by ASAP 340B, a coalition of stakeholders including the National Association of Community Health Centers (NACHC) and PhRMA. The bill proposes significant reforms to the 340B program, including reforms related to the utilization of contract pharmacies, an issue that has been critical for CHCs.

View Representative Bucshon’s press release >>>

Read NACHC’s blog about the legislation >>>


Senate 304B Discussion Draft  

Since last year, a bi-partisan Senate 340B Working Group has been collecting information on 340B and developing draft legislation, the SUSTAIN 340B Act. The group consisting of Senators Thune (R-SD), Stabenow (D-MI), Capito (R-WV), Baldwin (D-WI), Morran (R-KS), and Cardin (D-MD) released an initial request for information on 340B last year and then released a discussion draft of the legislation in February. Coinciding with the discussion draft release, the group requested additional stakeholder input on contract pharmacies, child sites, and patient definition, but the bill has yet to be introduced. 

View Senator Thune’s press release >>>

Read additional information about the discussion draft >>>


1 National Association of Community Health Centers. (2018). NACHC 340B Manual for Health Centers, Second Edition.