340B PATIENTS Act of 2025
Congress Proposes $2 Million Daily Fines for Drug Makers Blocking Discounts to Health Clinics
Stalled
No legislative action in over 90 days.
Legislative Progress
Key Points
- This bill, introduced in Congress, protects a federal program that requires drug companies to sell medicine at a discount to hospitals and clinics serving low-income or rural areas. It ensures these health centers can use local and specialty pharmacies to get cheaper drugs to their patients.
- It stops drug manufacturers from placing restrictions on where these discounted medicines are sent. This is important because many clinics do not have their own on-site pharmacies and rely on partnerships with local drugstores to make sure patients can actually pick up their prescriptions.
- The policy is designed to help clinics stretch their limited budgets. By saving money on medicine, these health centers can afford to offer more services, like extra check-ups or mental health support, to people in their communities who might not have insurance.
- If a drug company tries to block these discounts or refuses to ship medicine to a clinic's chosen pharmacy, they could face serious consequences. The bill allows the government to charge companies up to $2 million in fines for every day they break the rules.
- This change is especially helpful for people with serious illnesses like cancer or multiple sclerosis. These patients often need specialty drugs that are only available through specific pharmacies, and this bill ensures the discounts apply to those life-saving medicines no matter where they are delivered.
Impact Analysis
Personal Impact
How this policy affects specific groups of people
Milestones
Referred to the House Committee on Energy and Commerce.
Introduced in House
The bill was officially filed and given a number. It now enters the legislative queue.
Votes
No votes have been recorded for this legislation yet.
Related News
4 articlesFirst Look: Senate gets a 340B pharmacy bill
Sen. Peter Welch is introducing the 340B PATIENTS Act to clarify that providers can access discounted drugs through contract pharmacies. The bill seeks to resolve a perennial source of friction between drugmakers and hospitals by codifying the right to use outside pharmacies for distribution.

The 340B Drug Pricing Program: Origins and Ongoing Questions
The 340B PATIENTS Act, reintroduced by Rep. Doris Matsui and Sen. Peter Welch, would prohibit manufacturers from conditioning the provision of 340B-priced drugs on the location or method of dispensing, specifically protecting contract pharmacy arrangements from industry restrictions.
Senators working toward introducing 340B reform legislation
A bipartisan group of senators is hammering out legislation to reform the 340B drug discount program. While hospitals push for protections like the PATIENTS Act to codify contract pharmacies, drugmakers argue for more guardrails to ensure discounts directly benefit low-income patients.
Source Information
Document Type
Congressional Bill
Official Title
340B PATIENTS Act of 2025
Data Sources
Sponsor
Cosponsors
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