Albuquerque, NM (KKOB) — Federal officials are considering major changes to a widely used drug discount program, which could have a detrimental effect on some New Mexico hospitals and clinics. The U.S. Health Resources and Services Administration is examining alterations to the 340B Drug Pricing Program, an initiative established in the 1990s that allows public and nonprofit health care providers serving low-income and uninsured patients to buy prescription drugs from manufacturers at a 20-50% discount. Providers who get their drugs through the program under the changes would pay full wholesale price and could then request an after-purchase rebate. Leaders of participating New Mexico health centers and hospitals argue the rebate model would increase administrative responsibilities while eating into funding they’re supposed to use to care for underserved populations.
