Saving on pharmaceuticals.

• Position: Statestats

A fast-growing drug pricing program for health centers, disproportionate share hospitals, and clinics for family planning, migrant health and HIV/AIDS, also can save states money when the patients are on Medicaid. To be eligible, the local facilities must be qualified and listed with the U.S. Department of Health and Human Services as "340B covered entities."

More than 11,900 federally qualified health care facilities in all 50 states buy prescription drugs at a discount through the 340B program. The number has increased by more than 500 just since July 2004.

The health facilities purchase drugs at a rate often below Medicaid prices, and that saves state funds. Outpatients at a 340B clinic or hospital can also receive the discounted prices.

States also have programs to help with drug costs. There are state funded pharmaceutical assistance programs approved in 39 states, pharmaceutical discount programs in 20 states and drug subsidy programs in 23 states, plus eight others authorized but not operating.

For information on 340B requirements and opportunities, visit www.ncsl.org/programs/ health/drug340b.htm

HEALTH FACILITIES ELIGIBLE FOR 340B...