Washington, D.C. – Today, Advocates for Community Health (ACH) sent a letter to Congressional leaders urging legislative action to pause the rollout of the 340B Rebate Model Pilot Program, which is set to take effect January 1, 2026. The letter was signed by ACH and 263 national, state, and local partner organizations.

The 340B program enables safety net providers to stretch federal resources to care for underserved and rural communities. ACH and other signatories warn that the new rebate model, through its fundamental restructuring of the program for a subset of medications, would impose significant financial and administrative burdens, particularly on smaller, community-based providers.

“Community health centers in rural and underserved communities are already grappling with funding uncertainties, severe workforce shortages, and rising operational pressures,” said Amanda Pears Kelly, CEO of Advocates for Community Health. “This rebate model threatens to disrupt care for the patients who rely on these services the most.”

ACH and the other signatories emphasized that alternative approaches exist to ensure fair pricing without placing undue burden on providers. They are calling on Congress to take legislative action to pause the rollout of the rebate model, protecting access to care for vulnerable populations.

“The 340B program has been a lifeline for over 30 years, helping providers serve patients in rural and underserved communities,” said Pears Kelly. “Congressional leadership has the opportunity to safeguard these essential services before changes take effect.”

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About Advocates for Community Health 

Advocates for Community Health (ACH) is a nonpartisan, nonprofit membership organization of community health centers dedicated to forward-thinking and ambitious federal policy and advocacy on behalf of health centers, their patients, and their communities nationwide. Learn more at advocatesforcommunityhealth.org.