Suzanna Masartis, Chief Executive Officer of the Community Liver Alliance, has called for federal reforms to the 340B Drug Pricing Program to enhance transparency and ensure it benefits vulnerable communities. This statement was made in an opinion column.
“Expanding 340B in New York without addressing the existing problems within the program fails to fix the access and equity healthcare gaps within these communities that persist today,” said Masartis. “Any real reform of 340B must happen at the federal level and require 340B entities to be transparent about how they’re using the funds they receive from 340B. Sadly, the reported statistics tell a story of abysmally low charity care rates. The state has no business expanding a federal program that’s being misused by large, profitable healthcare entities.”
The U.S. Government Accountability Office (GAO) reported in December 2020 that oversight of the 340B Drug Pricing Program has been limited. Concerns have been raised about whether covered entities are using the program’s benefits to support vulnerable populations as intended. The GAO noted that the Health Resources and Services Administration (HRSA) had taken steps to improve oversight but recommended additional measures to ensure compliance. The report emphasizes the need for greater transparency and accountability within the program.
Community Catalyst reported concerns regarding hospitals participating in the 340B Drug Pricing Program being located in wealthier communities rather than underserved areas. Their findings indicate that hospitals often prioritize revenue generation over expanding access to care for vulnerable populations. The organization advocates for reforms aimed at increasing transparency and accountability among hospitals and health systems.
According to a May 2024 report released by the North Carolina State Treasurer’s Office, 340B hospitals in North Carolina charged the State Health Plan significantly more than their discounted acquisition costs. The report found that hospitals marked up prices for oncology drugs by an average of 5.4 times their 340B acquisition costs. The Treasurer’s Office said these findings highlight the need for greater transparency in the 340B program.
Masartis is CEO of the Community Liver Alliance, a nonprofit organization based in Pittsburgh focused on liver health advocacy, education, and support services. She has worked extensively to promote patient-centered healthcare reforms and greater transparency in medical programs. Her leadership in liver health initiatives has been recognized at both state and national levels.
