Critical Access Hospitals

The Centers for Medicare and Medicaid Services designate Critical Access Hospitals through Section 1820(c)(2) of the Social Security Act.

To be eligible to participate in the 340B Drug Pricing Program, Critical Access Hospitals must meet the requirements of 42 USC 256b(a)(4)(L)(i).

To be eligible to participate in the 340B Program and purchase outpatient drugs at significantly discounted prices, Critical Access Hospitals must be classified as:

• A private nonprofit hospital under contract with state or local government to provide health care services to low-income individuals who are not eligible for Medicare or Medicaid
• Owned or operated by a unit of state or local government
• A public or private nonprofit corporation that is formally granted governmental powers by a unit of state or local government

For-profit hospitals are not eligible to participate in the 340B program.

Eligibility in Multiple Categories

Hospitals that are eligible to participate in the 340B Drug Pricing Program in more than one category must select only one. For example, a hospital that is both as a Disproportionate Share Hospital and a Sole Community Hospital must choose only one category and must abide by requirements and guidelines for that category of eligible organization/covered entity once enrolled.

340B Registration