H.R.2197 - No 340B Savings for Transgender Care Act (119th Congress)
Summary
H.R.2197, the "No 340B Savings for Transgender Care Act," aims to prevent covered entities participating in the 340B drug pricing program from using savings derived from discounted drug prices to fund sex reassignment surgeries and hormone therapies for transgender individuals. The bill amends Section 340B(a)(4) of the Public Health Service Act to explicitly prohibit the use of these savings for such services.
The bill was introduced in the House of Representatives on March 18, 2025, and referred to the Committee on Energy and Commerce. It identifies specific services related to gender alteration as ineligible for funding through 340B savings.
The bill defines "services described" as sex reassignment surgeries and hormone treatments furnished for the purpose of gender alteration of a transgender individual.
Expected Effects
If enacted, H.R.2197 would restrict how 340B program savings can be used, specifically preventing them from being allocated to gender-affirming care.
This could lead to reduced funding for these services at covered entities. It may also impact access to care for transgender individuals who rely on these facilities for treatment.
Potential Benefits
- Potentially redirects 340B savings to other healthcare services.
- May align with the preferences of some taxpayers regarding the use of federal funds.
- Could reduce the financial burden on the 340B program by limiting the scope of covered services.
- May address concerns about the appropriateness of using drug discounts for specific medical procedures.
- Could lead to increased scrutiny and accountability in the allocation of 340B program funds.
Most Benefited Areas:
Potential Disadvantages
- Could limit access to gender-affirming care for transgender individuals, particularly those with limited financial resources.
- May disproportionately affect vulnerable populations who rely on 340B covered entities for healthcare.
- Could be perceived as discriminatory towards transgender individuals.
- May create administrative burdens for covered entities to track and separate 340B savings.
- Could lead to legal challenges based on equal protection or discrimination grounds.
Constitutional Alignment
The bill's constitutional alignment is complex. Congress has broad power to regulate healthcare spending under the Commerce Clause (Article I, Section 8). However, the bill could face challenges under the Equal Protection Clause of the Fourteenth Amendment if it is deemed to discriminate against transgender individuals without a legitimate government interest.
The bill could also raise concerns under the First Amendment if it is interpreted as infringing on the right to medical care or expression related to gender identity. The lack of explicit constitutional justification within the bill also weakens its alignment.
Ultimately, the constitutionality would depend on judicial interpretation of these competing constitutional principles.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).