Pharma Is Losing Where It Counts

Big Pharma isn’t used to losing but that’s exactly what’s happening in a growing number of states across America as more chose to protect the 340B Drug Discount Program.

The drug industry has spent decades trying to kill 340B in Washington. It’s spent millions on lobbying, fake grassroots groups and campaign donations. Why? Because the program cuts into profits. It requires drug companies to supply discounted medications to safety-net hospitals that treat high numbers of poor patients. These nonprofit facilities use the savings to provide better levels of care. Not a single taxpayer dime is required.

340B has proven to be a health-policy Whack-A-Mole. As much as Big Pharma mashes the hammer in Washington, laws protecting the program keep popping up at the state level. To date, 13 states – both Red and Blue – have passed laws blocking drug companies from denying discount prices to local pharmacies that partner with 340B hospitals and clinics.

The most recent are North Dakota and Utah and they join West Virginia, Mississippi, Arkansas, Kansas, Louisiana, Maryland, Michigan, Missouri, Nebraska, South Dakota and New Mexico. These actions by the states make it very clear that legislators and governors — irrespective of political party — are less susceptible to Pharma’s political influence machine.

The drug industry has filed suit to block these new laws and is losing there too. In March, a federal judge ruled against PhRMA in Arkansas and we expect more such outcomes to follow.

States are passing new pro-340B laws despite a filthy campaign of lies spread by dark money interests. We applaud the courage of both legislators and governors to see through such sleaze to the truth: The 340B program works as designed and helps millions of Americans get better healthcare every year.

Tennessee is poised to become the 14th state to protect the program and we encourage Governor Billy Lee to sign it into law. Oregon and Oklahoma also have legislation pending.

We call on all remaining states to pass similar 340B protection laws. Big Pharma deserves to keep losing.