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340B Eligibility Questions

Q: Which patients are eligible? Do they have to be below a certain income level?

A: The 340B Program does not have any income requirements. Any patient of a participating 340B entity is considered a 340B patient provided the entity maintains control of the patient's medical records and has the primary responsibility for the patient's care. For more information, please refer to the October 1996 Final Notice Regarding Section 602 of the Veterans Health Care Act of 1992 Patient and Entity Eligibility.

  

Q: Are there any circumstances in which a mental health center would qualify to participate in the 340B Program?

A: No free standing mental health facility can qualify under the 340B drug pricing program as an eligible entity, because mental health facilities were not included in the 340B legislation; however, there are special cases where programs can participate:

 

1. If a mental health outpatient clinic is listed on a Disproportionate Share Hospital's Medicare cost report then that program can participate under the larger entity.

2. If a Community Health Center (under a 330 grant) has a mental health program that is a part of the facility, then mental health services can be provided and 340B drugs purchased.

 

In other cases, a Community Health Center may make a referral to a mental health facility, but ultimately the responsibility for care lies with the CHC and would require the patient to return to the CHC's pharmacy for a prescription

 

Q: Under the 340B Program, are inmates of jails eligible to participate as 340B patients? Are the jails considered eligible entities?

A: Jails cannot be considered 340B eligible entities under the 340B legislation. Only if residents of the jail are patients of an eligible covered entity, then the patients can gain access to 340B drugs, but the jail facility itself cannot participate in the 340B Drug Pricing Program.

 

In only a few cases, jails have been able to fall under the designation of a disproportionate share hospital. In these cases, the jails are listed as outpatient facilities on a hospital's Medicare Cost Report and the physicians of the hospitals provide care to the inmates. The inmates are considered patients of the hospital.

 
 
 
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