summary
Introduced
02/26/2025
02/26/2025
In Committee
07/01/2025
07/01/2025
Crossed Over
Passed
Dead
Introduced Session
104th General Assembly
Bill Summary
Directs the Auditor General to conduct a comprehensive investigation of the utilization of the 340B Drug Pricing Program by covered entities within Illinois to assess the amount of 340B profit, defined as total patient and payer reimbursement less the total 340B acquisition cost, generated by 340B covered entities from both self-administered and physician-administered drugs, the amount spent on third party administrators for the management of the 340B Program, the amount going to pharmacy benefit managers (PBM) in contract pharmacy arrangements, the amount going to contract pharmacies, whether covered entities maintain title to 340B drugs in contract pharmacy locations, the average mark-up imposed by covered entities on 340B priced drugs, and the extent to which 340B entities pass 340B discounts to vulnerable patients at the point of sale for both in-house and contracted pharmacies and to also examine the impact of these practices on state health programs, such as Medicaid and the State Employees Group Insurance Program, and to make recommendations for improvement.
AI Summary
This resolution directs the Illinois Auditor General to conduct a comprehensive investigation of the 340B Drug Pricing Program, a federal initiative originally designed to help safety-net healthcare providers obtain discounted medications for low-income and uninsured patients. The investigation will assess multiple aspects of the program, including the total 340B profits generated by covered entities, the amount spent on program management, payments to pharmacy benefit managers (PBMs) and contract pharmacies, drug pricing markups, and the extent to which discounts are actually passed on to vulnerable patients. The resolution highlights concerns that the program has strayed from its original intent, noting that nationally the program reached $66.3 billion in 2023, while Illinois hospitals provide only 2.14% of charity care. The Auditor General is specifically asked to examine the program's impact on state health programs like Medicaid and the State Employees Group Insurance Program, and to develop recommendations for improving the program's transparency and effectiveness in serving vulnerable populations. The resolution will be delivered to key state officials to emphasize the commitment to understanding and potentially reforming the 340B Program.
Committee Categories
Health and Social Services
Sponsors (1)
Last Action
Rule 19(b) / Re-referred to Rules Committee (on 07/01/2025)
bill text
bill summary
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bill summary
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bill summary
Document Type | Source Location |
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State Bill Page | https://www.ilga.gov/legislation/BillStatus.asp?DocNum=158&GAID=18&DocTypeID=HR&SessionID=114&GA=104 |
BillText | https://www.ilga.gov/legislation/104/HR/10400HR0158.htm |
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