H.R.44 - Rural 340B Access Act of 2025 (119th Congress)
Summary
H.R.44, the Rural 340B Access Act of 2025, aims to amend the Public Health Service Act to include rural emergency hospitals in the 340B drug discount program. This bill was introduced in the House of Representatives on January 3, 2025, by Mr. Bergman and Mrs. Dingell and was referred to the Committee on Energy and Commerce.
The bill seeks to expand access to discounted drugs for rural emergency hospitals, which are defined according to Section 1861(kkk)(2) of the Social Security Act. This expansion includes hospitals owned or operated by state or local governments, non-profit corporations with governmental powers, and private non-profit hospitals with contracts to provide healthcare to low-income individuals.
The intended outcome is to alleviate the financial burden on rural hospitals and improve healthcare access for underserved populations in rural areas.
Expected Effects
The primary effect of this bill would be to allow rural emergency hospitals to purchase drugs at a discounted rate through the 340B program. This would reduce the cost of providing medications to patients in these facilities.
It would also likely increase the financial viability of rural hospitals, which often struggle to remain open due to low patient volumes and limited resources. This could lead to improved healthcare services and better health outcomes for rural communities.
Drug manufacturers may see a decrease in revenue due to the increased use of discounted drugs.
Potential Benefits
- Improved Healthcare Access: Expands access to affordable medications for patients in rural areas.
- Financial Relief for Rural Hospitals: Helps rural emergency hospitals maintain financial stability by reducing drug costs.
- Support for Low-Income Individuals: Ensures healthcare services for low-income individuals who are not eligible for other federal programs.
- Enhanced Community Health: Contributes to better overall health outcomes in rural communities by improving access to necessary medications.
- Alignment with Public Health Goals: Supports the broader goal of ensuring equitable access to healthcare services across different geographic regions.
Potential Disadvantages
- Potential for Program Abuse: Increased participation in the 340B program could lead to potential misuse or diversion of discounted drugs.
- Reduced Revenue for Drug Manufacturers: Pharmaceutical companies may experience decreased revenue, potentially impacting research and development.
- Administrative Burden: Rural hospitals may face increased administrative requirements to comply with the 340B program regulations.
- Unintended Consequences: The expansion could create unforeseen issues related to drug pricing and distribution.
- Limited Scope: The bill only addresses drug costs and may not solve all the financial challenges faced by rural hospitals.
Constitutional Alignment
The bill appears to align with the general welfare clause of the US Constitution, as it aims to improve healthcare access for underserved populations in rural areas. The Constitution does not explicitly address healthcare policy, but the expansion of healthcare access can be argued to promote the general welfare.
Congress has the power to enact legislation related to healthcare under the Commerce Clause (Article I, Section 8), as healthcare services and pharmaceuticals are part of interstate commerce. The bill does not appear to infringe upon any specific constitutional rights or limitations.
It falls within the legislative powers granted to Congress under Article I, Section 8, which includes the power to make laws that are necessary and proper for carrying into execution the enumerated powers.
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).