What does the 340B program require states to do regarding entity policies?

The 340B Program requires states to ensure that entity policies are addressed in order to maintain compliance with the requirements set forth by the program. This includes ensuring that eligible entities, such as certain hospitals and clinics, have policies that govern their participation in the 340B Program. These policies typically encompass aspects such as the acquisition and use of drugs purchased at reduced prices, the management of patient eligibility, and the reporting of program-related data to ensure transparency and accountability.

By addressing these entity policies, states help to safeguard the integrity of the 340B Program, ensuring that the reduced-pricing benefits are used appropriately to support vulnerable populations. This requirement is crucial for the effective operation of the program, as it mandates that covered entities adhere to specific guidelines that promote the program’s goals of reducing healthcare costs for eligible patients.