Earlier this week AOF submitted testimony in support of companion bills House Bill 482 and Senate Bill 263 in House Health and Senate Finance Committees respectively.
HB 482 and SB 263 protect the intent of the federal 340B Drug Pricing Program by ensuring savings achieved by the program are directed to support or expand primary care services and affordable pharmaceuticals for uninsured or underinsured Ohioans.
Safety net providers including but not limited to FQHCs and FQHC look-alikes, Ryan White Clinics, Hemophiliac Treatment Centers, Medicare/Medicaid Disproportionate Share Hospitals and Children’s Hospitals play a vital role in helping low-income uninsured and underinsured patients access care in a cost-effective setting and significantly improve health outcomes for Ohioans and families across the state.
Under the 340B program, safety net providers are mandated to pass every penny of savings from reduced prices into activities that expand access to care for medically-underserved patients. For example, some Health Centers use 340B savings to expand beyond medical care and provide dental, pharmacy, substance abuse disorder treatment services (MAT), or to further extend hours of operation.
By prohibiting private insurers and Medicaid managed care organizations (MCOs) from capturing those savings in contract provisions as proposed in HB 482 and SB 263, 340B organizations retain the ability to reinvest savings to support or expand primary care services that increases patients’ access to the care they need, when they need it and in the appropriate, most cost-effective setting, thus reducing costs elsewhere in the healthcare system.
We urge the legislature to support HB 482, SB 263 and all policies that promote equitable access to quality healthcare for all Ohioans.
Read our full comments HERE