Spending in the 340B Drug Pricing Program, 2010 to 2021
Presentation
Presentation by Rebecca Sachs and Joshua Varcie, analysts in CBO’s Health Analysis Division, at the 13th Annual Conference of the American Society of Health Economists.
In the 340B Drug Pricing Program (340B), drug manufacturers sell drugs at discounted prices to participating hospitals and federal grantees. 340B facilities benefit from the program because the difference between the acquisition cost and the amount they are paid (often called the “spread”) is larger for drugs acquired through the 340B program.
The Congressional Budget Office obtained data from the Health Resources and Service Administration to measure spending in the 340B Drug Pricing Program from 2010 to 2021 and look at factors associated with changes in spending over time.
Those data measure spending in the 340B program by National Drug Code, by the type of facility where drugs were prescribed, and by whether drugs were distributed through a contract pharmacy.
