Rural 340B Access Act of 2025
The Rural 340B Access Act of 2025 would expand the 340B Drug Discount Program by adding rural emergency hospitals (REHs) to the list of entities eligible to participate as “covered entities.” The bill defines REHs using the existing federal Rural Emergency Hospital definition (as set forth in section 1861(kkk)(2) of the Social Security Act) and specifies ownership or contractual criteria that REHs must meet to qualify. In short, it would allow REHs that are government-owned, nonprofit with governmental powers, or nonprofit with a government contract to serve low-income individuals without Medicare/Medicaid or state plan assistance to purchase outpatient drugs at 340B discounts. The measure is introduced and referred to the House Committee on Energy and Commerce; it has not become law.
Key Points
- 1The bill adds rural emergency hospitals to the 340B program as eligible “covered entities.”
- 2REHs must be defined by the Social Security Act’s rural emergency hospital standard (section 1861(kkk)(2)).
- 3Eligible REHs include: (a) government-owned or -operated facilities; (b) public or private nonprofit corporations formally granted governmental powers by a state/local government; or (c) private nonprofit REHs with a contract to provide care to low-income individuals not entitled to Medicare/Medicaid benefits or State plan assistance.
- 4The short title is the Rural 340B Access Act of 2025; introduced in the 119th Congress on January 3, 2025 by Rep. Bergman (for himself and Rep. Dingell) and referred to the Committee on Energy and Commerce.
- 5The bill text provided only sets the eligibility criteria; it does not modify other 340B program rules or discount calculations beyond adding REHs as covered entities.