Chronic Care Policy Alliance said it supports the 340B Affording Care for Communities and Ensuring a Strong Safety-Net Act, a debate gaining traction in New York. The announcement was made in a blog post.
The 340B Drug Pricing Program, created under the Veterans Health Care Act of 1992, requires drug manufacturers to provide outpatient drugs at discounted prices to eligible healthcare organizations. The program’s goal is to enable providers to stretch federal resources to reach more patients in need. Oversight challenges have prompted discussions about reform to ensure patient benefits are realized.
A 2025 analysis by the Congressional Budget Office found that hospitals and clinics purchased $44 billion worth of 340B-discounted drugs in 2021, up from $6.6 billion in 2010. The report attributes the increase to expanded program participation and changes in prescribing patterns that have boosted federal spending.
PhRMA reported that in New York, 113 hospitals participate in the 340B program, holding over 6,000 contracts with pharmacies nationwide. However, only 24% of these contract pharmacies are located in medically underserved areas, and 86% of participating hospitals provide below-average levels of charity care. This disparity has raised concerns about the program’s effectiveness in reaching its intended beneficiaries within the state.
The Chronic Care Policy Alliance is a national nonprofit coalition representing individuals with chronic illnesses. It advocates for equitable access to affordable healthcare, supports patient-focused reforms, and works with policymakers to strengthen safety-net systems across the United States.
