Two Bipartisan Bills Introduced in 2026 to Reform 340B Drug Discount Program
In June and July 2026, lawmakers introduced bipartisan bills proposing 340B program reforms.
Why it matters: Legal and regulatory professionals must track these bills as they could change compliance standards for drug pricing and healthcare providers serving underserved populations.
- On July 6, 2026, Reps. Auchincloss, Peters, and Joyce introduced the SECURE 340B Act to pause manufacturer rebate models and clarify the definition of 'patient'.
- Senate HELP Chair Bill Cassidy released a competing bill on June 25, 2026, aiming to limit eligible prescriptions and control use of contract pharmacies.
- The 340B program requires drug manufacturers to offer discounted outpatient drugs to eligible providers serving low-income patients.
- Both bills seek to modernize 340B while balancing drug cost concerns and maintaining access for vulnerable populations.
The 340B Drug Pricing Program, created in 1992, mandates that drug manufacturers provide discounted rates on outpatient drugs to certain healthcare providers serving low-income and underserved patients.
On July 6, 2026, Representatives Jake Auchincloss (D-MA), Scott Peters (D-CA), and John Joyce (R-PA) introduced the SECURE 340B Act. This bipartisan bill proposes a four-year pause on manufacturer rebate models, which require drug makers to provide rebates to pharmacy benefit managers—middlemen that negotiate drug prices. The bill also seeks to explicitly define "patient" in the program’s statutes to clarify eligibility and directs the Health Resources and Services Administration (HRSA) to create an independent system that securely manages prescription data.
Earlier, on June 25, 2026, Senate Health, Education, Labor, and Pensions (HELP) Chair Bill Cassidy (R-LA) released the 340B Drug Pricing Integrity and Affordability for Patients Act. This proposal increases flexibility for drug manufacturers in offering discounts but limits the number of prescriptions eligible for discounts and restricts the use of contract pharmacies—pharmacies that dispense discounted drugs for providers but are not owned by them. These measures aim to halt unchecked program growth and address concerns about affordability.
Both bills respond to criticisms that the 340B program’s expansion has increased costs and complexity. They aim to reform key aspects while maintaining affordable medication access for vulnerable populations.
Legal, compliance, and regulatory teams supporting healthcare providers or manufacturers should monitor these legislative efforts closely, as final changes to the 340B program could affect drug pricing arrangements, contractual relationships, and patient eligibility standards.
By the numbers:
- July 6, 2026 — Date the SECURE 340B Act was introduced in the House
- June 25, 2026 — Date Senate HELP Chair Bill Cassidy released his 340B reform bill
- 1992 — Year the 340B Drug Pricing Program was established
Yes, but: While both bills aim to update the 340B program, they differ in approach: the SECURE 340B Act focuses on pausing rebate models and clarifying definitions, whereas Cassidy’s bill targets prescription limits and contract pharmacy restrictions. Legislative outcomes remain uncertain.
What's next: Expect further hearings and stakeholder input on both bills during the second half of 2026, with potential markup sessions and amendments before any final vote.