Hospitals are Abusing the 340B Program: Lawmakers are Asking Why

 

On October 23, 2025, the Senate HELP Committee held a hearing titled “The 340B Program: Examining Its Growth and Impact on Patients.” Testimony from the Government Accountability Office and the Congressional Budget Office highlighted how 340B has expanded into a massive, largely unchecked federal program – one where hospitals acquire drugs at steep discounts, mark them up dramatically, and pocket the difference. Senators raised concerns about explosive program growth, vertical integration driving profits for large hospital systems, and the widening gap between what Congress originally intended and how 340B operates today. The hearing underscored a simple truth: a program designed to support patients in need has strayed into a rigged system that rewards institutions instead of delivering affordable, accountable care. Now is the moment for lawmakers and the public to demand real oversight and meaningful reform to ensure 340B serves the people it was created to help.