Pharmacy Consulting - Becoming a 340B Contract Pharmacy

Pharmacy consulting and questions regarding the 340B program and becoming a 340B contract pharmacy have been on the rise. The 340B program offers eligible safety net health care providers access to low-cost medications, which allows them to expand the type and volume of care they provide to the most vulnerable patient populations. The 340B Drug Pricing Program requires drug manufacturers to provide outpatient drugs to eligible health care organizations/covered entities at significantly reduced prices. Today, there are approximately 17,000 health care facilities eligible to participate in the 340B program, enabling them to stretch scarce resources, reach more eligible patients, and to provide more comprehensive services. Many of these facilities are located in rural America. Community pharmacies are encouraged to reach out to covered entities within their communities. Eligible health care organizations/covered entities are defined in statute and include HRSA-supported health centers and look-alikes, Ryan White clinics and State AIDS Drug Assistance programs, Medicare/Medicaid Disproportionate Share Hospitals, children's hospitals, and other safety net providers.Some typical questions that are asked include:- What is a 340B Contract Pharmacy?In order for an eligible entity to purchase a drug at a 340B discount, it must dispense that drug to the patient. A large number of outpatients fill their prescriptions at independent and chain pharmacies that are unaffiliated with the hospital. The 340B regulations also allow a covered entity to contract with a pharmacy to distribute the covered entity’s drugs on the hospital’s behalf. This allows the hospital to increase the percentage of patients for whom it can capture 340B savings.- Can my retail pharmacy make money by participating?Yes. Covered entities have a huge opportunity to increase their participation in the program by establishing a contract with one or more pharmacies, and they typically offer a per-prescription dispense fee to induce retail pharmacies to participate.If you have questions regarding 340B Contract Pharmacy (or in any area of your pharmacy business or practice), we urge you to contact us today to see how our Pharmacy Consulting services can help. With a full-time staff of in-house Pharmacy Consultant specialists, HCC can answer any questions that you may have in all areas of your business. Call us today at 800-642-1652 for a free consultation.Bob Miller12/30/2014