Chase Bearden, Executive Director of the Coalition of Texans with Disabilities (CTD), expressed concerns about expanding the 340B Drug Pricing Program without implementing reforms. He warned that such expansion could reduce healthcare access and accountability for vulnerable communities. This statement was made in a published opinion column.
“All vulnerable communities, deserve a healthcare system that delivers real access and accountability. Expanding 340B without reform will only take us further from that goal,” said Bearden.
The 340B Drug Pricing Program, established by Congress in 1992, enables eligible healthcare organizations to purchase outpatient drugs at significantly reduced prices. According to the Association of American Medical Colleges (AAMC), this program supports safety-net hospitals and ensures access to essential medications and services for vulnerable populations.
According to Citizens Against Government Waste, the program has experienced significant growth, with sales reaching $44 billion in 2021, up from $9 billion in 2014. Critics argue that this rapid expansion has outpaced regulatory oversight, raising concerns about how participating entities utilize the savings. The organization warns that without reforms, the program’s original intent to support vulnerable patients could be undermined.
PhRMA reports that 25 hospitals in New Jersey participate in the 340B program, holding 547 contracts with pharmacies across the country. Of these contract pharmacies, only 18% are located in medically underserved areas, which may affect the program’s intended impact. Furthermore, 16% of participating hospitals in New Jersey provide charity care at levels below the national average.
Bearden is the Executive Director of CTD, the largest and oldest member-driven cross-disability organization in Texas. Founded in 1978, CTD focuses on advocacy, public awareness, and policy change for Texans with disabilities. More information is available at txdisabilities.org.
