Drug Discount Program: Federal Oversight of Compliance at 340B Contract Pharmacies Needs Improvement, Report to Congressional Requesters [open pdf - 5MB]
"Covered entities can provide 340B drugs to eligible patients and generate revenue by receiving reimbursementfrom patients' insurance. The number of pharmacies covered entities have contracted with has increased from about 1,300 in 2010 to nearly 20,000 in 2017. GAO [Government Accountability Office] was asked to provide information on the use of contract pharmacies. Among other things, this report: 1) describes financial arrangements selected covered entities have with contract pharmacies; 2) describes the extent that selected covered entities provide discounts on 340B drugs dispensed by contract pharmacies to low-income, uninsured patients; and 3) examines HRSA's [Health Resources and Services Administration] efforts to ensure compliance with 340B Program requirements at contract pharmacies. GAO selected and reviewed a nongeneralizable sample of 30 contracts between covered entities and pharmacies, 20 HRSA audit files, and 55 covered entities to obtain variation in the types of entities and other factors. GAO also interviewed officials from HRSA and 10 covered entities."
United States Government Accountability Office: https://www.gao.gov/