Oregon House passes bill protecting 340B contract pharmacies, sparking floor debate
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Summary
After extended floor debate, the Oregon House approved House Bill 2385 to restrict manufacturer limits on 340B contract pharmacies and preserve discounts for safety-net providers, while members expressed concerns about program oversight and who benefits from savings.
Representative Noss brought House Bill 2385 to third reading on the House floor, advancing legislation aimed at protecting access to discounted medicines under the federal 340B Drug Pricing Program for safety-net providers and federally qualified health centers (FQHCs).
Supporters said the bill preserves discounts that clinics and hospitals use to stretch constrained budgets and sustain services in rural and underserved communities. Representative Javedi described individual patients who depend on 340B discounts and said the program lets clinics reinvest savings locally: "Because of programs like 340B, my friend can get that same medication for $40 a month," Javedi said.
Opponents and skeptics questioned whether the bill addresses the program's core problems and asked whether restricting manufacturers is the right tool. Representative Reschke said he could not identify a documented instance in Oregon where a provider lost 340B participation and argued the bill may punish manufacturers without ensuring savings reach patients. Representative Wallen and Representative McIntyre also voiced concerns about transparency and the distribution of savings, saying corporate entities often benefit from the spread rather than patients.
The House debate referenced federal oversight of 340B and past audits but also noted that other states are pursuing contract pharmacy protections. Proponents argued the bill responds to growing manufacturer restrictions that limit where patients may access discounted medicines and can exacerbate pharmacy deserts. Supporters cited examples of rural hospitals that use 340B savings to fund services such as cancer care and behavioral health.
After floor discussion and brief closing remarks by the sponsor, the House recorded the bill as passed by constitutional majority and the clerk declared House Bill 2385 approved.
Context and next steps: the bill clarifies state protections for contract pharmacies under 340B; it does not alter the federal 340B statute and proponents said additional federal and state-level work on transparency and program guardrails remains necessary.