Pacific Research Institute's Wayne Winegarden on 340B Drug Pricing Program's 'Lack of Transparency'

Wayne Winegarden, a fellow at the Pacific Research Institute, discusses the 340B Drug Pricing Program on the Health Policy Podcast. He highlights issues related to healthcare regulation, rising healthcare costs, and patient access to treatments.

WASHINGTON — June 30, 2026 — Wayne Winegarden, a senior fellow at the Pacific Research Institute, appeared on the Health Policy Podcast to discuss the 340B Drug Pricing Program. The episode addresses the program's lack of transparency, its impact on healthcare costs, and how it affects patient access to necessary treatments.

Winegarden emphasizes that the 340B program, initially designed to aid rural and underserved hospitals, has evolved into a system that benefits large hospital systems and pharmacies. He notes that participation in the program has expanded from 90 hospitals at its inception to 2,700 today. "340B is the most important drug program that you've never heard of," Winegarden stated, underscoring its significance in the healthcare landscape.

The financial implications of the program are substantial. Winegarden explains that the program has grown from less than $1 billion in 2012 to over $80 billion today. This growth has led to increased profits for hospitals and pharmacies, often at the expense of patient care. "The program has gone from, you know, less than a billion dollars back then, maybe $7 billion in 2012. Now it's more than $80 billion kind of purchases kind of at the discounted price," he said.

Winegarden advocates for greater transparency in the program, suggesting that understanding how funds are allocated is crucial for reform. "We need transparency. I guess that would be a great place to begin," he remarked. He also proposes that funds should follow the patient rather than simply benefiting institutions, which would help realign incentives within the healthcare system.

Pacific Research Institute is a free-market think tank based in California that focuses on finding market-based solutions to public policy challenges across various sectors, including healthcare, education, and fiscal policy.

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The Health Policy Podcast explores critical issues in health policy, energy, infrastructure, and economic growth, providing insights from experts and thought leaders in the field.