SPRINGFIELD, Ill. (WAND) — Illinois lawmakers and advocates are renewing their push to lower drug prices by regulating 340B contracts. Many believe the federal program limits healthcare organizations and hospitals from providing discounted medications.
The 340B drug pricing program was created in 1992 to improve access to care at safety net hospitals and clinics, helping low-income and uninsured patients get critical prescription drugs.
However, Illinois hospital leaders say Big Pharma has limited their access to medications, as 340Bs can only sign one pharmaceutical contract.
The bipartisan Patient Access to Pharmacy Protection Act would stop any person or company from setting restrictions on a 340B contract, unless the limit is required by state or federal law.
"We are standing up for those who are too often left behind and too often forgotten about," said Mount Sinai Chicago CEO Dr. Ngozi Ezike. "This is our collective mission to care for those in need."
This plan could also requires 340Bs to provide annual reports listing costs of drugs taken under the program, the number of 340B drug claims and impact of the program for their community. Sponsors told reporters in Chicago that ongoing attacks to the discount drug program threaten patient access and could force providers to cut programs or services.
"During a time when the federal government is cutting funding for healthcare for families across this state, we should be doing everything we can to bring vital resources to support patients and their healthcare providers — resources like 340B that cost nothing to taxpayers or the state of Illinois," said Rep. Anna Moeller (D-Elgin).
The proposal gained unanimous support in the Senate last spring, and Sen. Dave Koehler (D-Peoria) said the bill could save rural hospitals and lives.
"Poor people get sick. When they do, they go to the emergency room," Koehler said. "If there's not a program like this to cover it, what it would mean is all of our insurance plans are absorbing that cost."
PhRMA and other opponents of the legislation said there is no evidence that Illinoisans are benefiting from the 340B program, and the reforms will not do anything to change that.
"Large tax-exempt hospitals and their for-profit partners are exploiting the program, buying medicines at steep discounts, and then marking them up by thousands of dollars," said PhRMA Deputy Vice President of Public Affairs Tom Wilbur.
"Across the country and here in Illinois, 340B is driving up costs for patients, taxpayers, and employers instead of ensuring that these savings reach those who need them most. PhRMA will continue working with policymakers to advance solutions that protect patients and increase transparency," Wilber continued.
House Bill 2371 passed unanimously out of the House Executive Committee on May 30, but House Speaker Emanuel "Chris" Welch (D-Hillside) did not allow the bill to be called on the floor. Sponsors hope the measure can pass in the coming weeks.
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