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Report examines charity care levels of 340B hospitals

March 25, 2014

The AHA today said a report examining the charity care levels of 340B hospitals “ignores the fact that the 340B program enables hospitals to provide essential health care services to the nation's most vulnerable populations.” The Alliance for Integrity and Reform of 340B report found that some hospitals enrolled in the 340B Drug Pricing Program provided only a minimal amount of charity care. However, AHA Senior Vice President for Public Policy Analysis and Development Linda Fishman noted that the report is “based on Medicare’s worksheet S-10, which is still in the development stages and judged by Medicare policymakers to be not yet ready for use in payment calculations.” Fishman also said that 62% of all uncompensated care provided by U.S. hospitals is provided by 340B hospitals, and “charity care alone does not account for the myriad programs and services that hospitals provide, which are tailored to the needs of their own unique community.”