By Nebraska Health Hospitals
LINCOLN, NEB. — The Nebraska Hospital Association (NHA) applauds Senator Brian Hardin (Lincoln) for introducing legislation that will protect the 340B Program in Nebraska and ensure hospitals and other health care providers can invest in community wellness initiatives.
The 340B Drug Program was created by Congress in 1992 and it requires pharmaceutical manufacturers to provide outpatient drugs to eligible hospitals at significantly reduced prices. The program’s primary focus is to enable hospitals to stretch their resources and reinvest the savings into expanding services for underserved communities.
“The 340B program plays a vital role in supporting hospitals’ ability to provide essential medications and comprehensive care to underserved populations,” said Jeremy Nordquist, President, NHA. “For too long, big PhARMA has been fighting this program and the critical investments it makes in the wellness of rural communities across Nebraska. This thoughtful policy proposal by Sen. Harding will help keep the program intact in Nebraska and ensure that it continues to fulfill its intended purpose of enhancing patient access to affordable prescription drugs and preventative health care.”
Savings from the 340B program help Nebraska hospitals and other health care entities provide more comprehensive care for underserved patients. To participate, hospitals must meet certain eligibility criteria, including being a nonprofit or public entity and serving a disproportionate number of low-income patients. Federally-qualified health centers also qualify for 340B savings. 340B is paid for with drug discounts; no state or federal tax dollars are utilized. This important program allows hospitals, both urban and rural, to support important community health needs. Benefits include pharmaceutical discounts for low-income Nebraskans, increased patient access to preventative care, and improved community health.
The NHA also released a report on the 340B programs that highlights the impact of the program on health care in Nebraska. See separate attachment for this report