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ADAP Advocacy Launches Commercial Targeting 340B Hospitals Over Declining Charity Care

By Advos•
ADAP Advocacy's new digital commercial accuses large 340B-eligible hospital systems of failing to provide charity care to low-income patients while pursuing aggressive debt collection, intensifying a national debate over how hospitals use federal drug discounts.
ADAP Advocacy Launches Commercial Targeting 340B Hospitals Over Declining Charity Care

ADAP Advocacy released a second digital commercial on the 340B Drug Pricing Program, sharply criticizing large hospital systems for failing to help low-income patients even as they benefit from federal drug discounts. The organization said the commercial reinforces the central message of the policy paper it published earlier this year under the same name, "340B PROGRAM: The Glue That Should Hold Our Healthcare System Together (Charity Care)."

The announcement matters because it places a spotlight on the gap between the program's original intent and what critics say is its real-world operation. Congress created the 340B Program to extend federal resources and improve patient care. The Affordable Care Act later added requirements for hospitals to provide free care and financial aid to poor patients, known as charity care. According to ADAP Advocacy, charity care continues to decline year after year even as the program's reach has expanded.

The financial stakes for patients are substantial. The organization said patients owe at least $220 billion in medical debt, and nearly 75% of it is owed to hospitals, with Black and Hispanic communities disproportionately impacted. That concentration of debt at hospitals is central to the group's argument that 340B-eligible institutions are not delivering the community benefits the program was designed to encourage.

Brandon M. Macsata, CEO of ADAP Advocacy, said the organization's own data confirms what has already been widely documented: patients are not being made aware that discounted or free care is available to them if they are low-income and deemed eligible for charity care. He added that what is even more particularly striking is the number of 340B-eligible hospitals that engage in predatory debt collection and actually sue patients for medical debt.

The commercial will air across numerous digital and social platforms. It continues ADAP Advocacy's 340B Too Big To Fail national advocacy campaign, which highlights hospitals' declining charity care, rising healthcare executive compensation, and exploding patient medical debt, among other issues. The commercial itself is available online at https://tinyurl.com/tdhfba6k.

The implications extend beyond the hospitals named in the campaign. The 340B Program is a major channel through which federal resources flow to safety-net providers, and the debate over whether those providers are meeting charity care obligations could shape future oversight and public perception. For patients in low-income and minority communities, the campaign raises questions about whether they are being told about financial assistance before debt accumulates. For hospitals, it adds pressure to demonstrate that program savings translate into care for the poor. ADAP Advocacy said its mission is to promote and enhance the AIDS Drug Assistance Programs and improve access to care for persons living with HIV/AIDS, working with advocates, community groups, health care providers, government, patients and pharmaceutical companies to raise awareness and foster collaboration.

Advos

Advos

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