Joe Baldacci, a state senator representing Maine’s District 9, has emphasized the importance of a bill he co-sponsors aimed at protecting 340B drug pricing rebate funds. Baldacci said that this legislation is crucial for the state's hospitals and public health centers, sharing his views in a post on X.
"This bill is a top priority for our hospitals and public health centers," said Baldacci. "The bill would ban pharmaceutical companies from steering drug pricing rebate money from preventing that money going to our local hospitals and medical providers. I will continue to work for the passage of this important bill. This bill could help hospitals alone to the tune of 50 to 70 million per year."
The 340B Drug Pricing Program was established by Congress in 1992 to enable eligible healthcare organizations to purchase outpatient drugs at significantly reduced prices. According to the Association of American Medical Colleges (AAMC), this program supports safety-net hospitals and ensures access to essential medications and services for vulnerable populations.
Citizens Against Government Waste has highlighted the significant growth of the 340B program, noting that sales reached $44 billion in 2021, up from $9 billion in 2014. Critics have expressed concerns that this rapid expansion has outpaced regulatory oversight, potentially undermining the program's original intent to support vulnerable patients.
The American Hospital Association reported that hospitals participating in the 340B program provided $67.8 billion in benefits to their communities in 2021. These benefits included uncompensated care, unreimbursed care, and programs focused on health education and prevention. The association's report for 2024 emphasized that 340B hospitals play a crucial role in maintaining healthcare access for low-income and rural populations.
Senator Baldacci represents Maine’s District 9, which includes Bangor and Hermon. In addition to his role as a state senator, he is a practicing attorney and former Bangor City Councilor, where he also served as Chair. Throughout his public service career, Baldacci has focused on issues such as affordable healthcare, veterans’ services, and economic development.
