Journal of Preventive Medicine

Assessing the Impact of 340B and the Carve Out on New York's Federally Qualified Health Centers

Federally Qualified Health Centers (FQHCs) are a critical component of the healthcare safety net in the United States, largely serving people who are lower income and often uninsured. An important source of revenue for FQHCs comes from their participation in the Federal 340B drug program, which provides discounts on drug costs. On April 1st, 2023, FQHCs in New York will lose 340B funds due to a proposed change that will transition the prescription drug benefit away from Medicaid managed care plans. This loss has the potential to negatively impact health equity efforts in New York.

Author(s): Yvette Ng

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