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340Better Pharmacy Program

Frequently Asked Questions

How do I know if my health center is eligible for the 340BetterSM pharmacy program with Cardinal and TACHC?
If your health center is eligible for 340B pricing, listed accurately on the Office of Pharmacy Affairs (OPA) database http://www.hrsa.gov/opa/ and is not a Disproportionate Share Hospital clinic (DSH), then your health center is eligible for the 340BetterSM pharmacy program.

Is the 340BetterSM pharmacy program able to service my health center even though I am not located in Texas?
Yes. The 340BetterSM pharmacy program is a national program. It started in Texas in 1985 and has since expanded outside of Texas.

Is my health center able to use a contract retail pharmacy arrangement with the 340BetterSM pharmacy program?
Yes. The 340BetterSM pharmacy program is able to service health centers with many different types of pharmacy arrangements. For example, a pharmacy located in the health center (in-house), a dispensary (physician dispensing model), a contract retail pharmacy and more.

What drugs are available at 340B pricing?
All out-patient and over the counter drugs are available at 340B pricing.

What drugs are available at 340BetterSM contract pricing?
For a list of drugs available at 340BetterSM contract pricing, click here. For a detailed list of the 340BetterSM contract pricing, contact Lynn Ford

What is 340BetterSM contract pricing?
340BetterSM contract pricing is contract pricing BELOW 340B pricing. The pricing is locked in for at least a calendar year, unlike 340B pricing that fluctuates every calendar quarter. TACHC targets high cost/high volume drugs for 340BetterSM contract pricing. These are the drugs that affect a pharmacy budget.

I am a current Cardinal Health customer accessing 340B pricing, am I automatically attached to the 340BetterSM program?
No. A 340B eligible health center must sign up for the 340BetterSM pharmacy program via the TACHC office. The TACHC office will then inform Cardinal Health to attach your health center to the 340BetterSM pharmacy program.

What is a wholesaler?
A wholesaler is one-stop shop for purchasing pharmaceuticals. Rather than going directly to the many manufacturers and having multiple minimum order requirements, multiple delivery schedules, multiple invoice reconciliations, etc., all ordering, invoicing, deliveries, management, etc. is conducted through a wholesaler. The primary and sole wholesaler for the 340BetterSM pharmacy program is Cardinal Health.

What is a pricing schedule, cost-plus, distribution fee, or mark-up when working with a wholesaler?
A wholesaler has large strategically located warehouses to store pharmaceuticals. Because a wholesaler is servicing your health center, i.e. deliveries, management tools, etc., a fee must be paid to the wholesaler. The fee is a percentage of your base cost (the base cost for the 340BetterSM pharmacy program is the current 340B pricing). The fee can range from +10% to -5%. For the current pricing schedule contact Lynn Ford

How do I figure what the cost-plus is for my center to use the 340BetterSM pharmacy program?
The cost-plus is the same for all centers who use the 340BetterSM program. The program uses all the center's volume and pools it together to determine the cost-plus for all the centers. Most other programs determine the cost-plus for a health center by the individual health center's volume. Not the 340BetterSM program. As more health centers join the 340BetterSM pharmacy program, the group volume increases and the cost-plus decreases for all centers.

To know what the volume of the group is currently, please contact Lynn Ford.

What is the difference between Alternative A and Alternative B?
Alternative A is the cost-plus for daily deliveries in a week. Alternative B is the cost-plus for one delivery per week with additional deliveries available at $25 per delivery per week.

My health center is small and rural, what is the cost-plus for my health center since delivery is difficult to access?
All health centers are treated equally on the 340BetterSM pharmacy program regardless of location or size.

Are there any monthly or annual fees to use the 340BetterSM pharmacy program?
No. The only cost to the health center to use the 340BetterSM pharmacy program is the cost of the pharmaceuticals (340B price plus the current cost-plus).

What is the HRSA Prime Vendor with Apexus? Must my health center utilize the Prime Vendor if it is ordering pharmaceuticals?

As part of the original 340B legislation, HRSA was required to establish a prime vendor program. A health center is NOT required to use the prime vendor for purchasing pharmaceuticals. A health center must show financial reasonableness when choosing which pharmacy program is most economical for their facility.

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