340B Drug Pricing Program
The U.S. Department of Health and Human Services, Health Resources and Services Administration (HRSA), Office of Pharmacy Affairs, administers the 340B Drug Pricing Program, through which certain federally funded grantees and other safety net health care providers may purchase prescription medication at significantly reduced prices.

The 340B Drug Pricing Program resulted from enactment of Public Law 102-585, the Veterans Health Care Act of 1992, which is codified as Section 340B of the Public Health Service Act. Section 340B limits the cost of covered outpatient drugs to certain federal grantees, federally-qualified health center look-alikes and qualified disproportionate share hospitals. Significant savings on pharmaceuticals may be seen by those entities that participate in this program.

340B Prime Vendor Program
The Prime Vendor Program was established to increase the discounts already offered under Section 340B of the U.S. Public Health Service Act, providing low-cost drugs, to clinics, hospitals and programs for low-income Americans. HealthCare Purchasing Partners International (HPPI), administers the program for the federal government and is responsible for negotiating and administering Section 340B Prime Vendor Program.