The Alliance for Integrity and Reform of 340B said that across the nation, large, tax-exempt hospitals are exploiting the 340B program for profit while patients, taxpayers, and employers are left to foot the bill.
According to the Alliance for Integrity and Reform of 340B, "What's the 340B story in your state? Across the nation, large, tax-exempt hospitals are exploiting the 340B program for profit while patients, taxpayers and employers are left to foot the bill. Explore the new 2026 AIR340B interactive map to uncover what's happening in your state."
A 2024 report by AIR340B found that 85 percent of disproportionate share hospitals earn more in 340B profit than they spend on charity care. In 2022 alone, those hospitals earned $44 billion in 340B profit but spent only $18 billion—just 42 percent of those profits—on charity care, according to AIR340B.
The Alliance for Integrity and Reform of 340B launched a new interactive map allowing users to explore 340B hospital data by state, including levels of charity care, contract pharmacy arrangements, and recent news coverage of hospital practices.
A peer-reviewed study published in Health Affairs Scholar found that 340B participation was associated with 47.5 percent greater total assets compared to non-340B hospitals, and that even after controlling for revenues, profits, and bed size, 340B hospitals spent 22.8 percent more on administrative salaries than non-participating hospitals, according to Health Affairs Scholar.
The Congressional Budget Office has warned that the gap between discounted 340B prices and the higher amounts Medicare pays participating hospitals drives up federal spending, with those added costs ultimately falling on taxpayers and higher markups for private insurers translating into higher premiums and out-of-pocket expenses for patients, according to the Congressional Budget Office.
The Alliance for Integrity and Reform of 340B is a coalition of patient advocacy groups, clinical care providers, and biopharmaceutical innovators dedicated to strengthening and sustaining the 340B program to ensure it directly supports access to outpatient prescription medicines for uninsured vulnerable patients.
