Revisions to existing 340B hospital eligibility requirements

Section 340B(a)(4) of the Public Health Service Act (42 U.S.C. 256b(a)(4)) is amended— (1) in subparagraph (L)(i)— (A) by inserting and that was registered with the 340B program in the covered entity identification system established under subsection (d)(2)(B)(iv) as such a hospital on or before December 1, 2024 after formally granted governmental powers by a unit of state or local government; and (B) by striking not entitled to benefits under title XVIII of the Social Security Act and all that follows up to the semicolon at the end and inserting uninsured, as such terms are defined in subsection (a)(11); (2) by amending subparagraph (N) to read as follows: (N) An entity that is a critical access hospital (as determined under section 1820(c)(2) of the Social Security Act (42 U.S.C. 1395i–4(c)(2))) or a rural emergency hospital (as determined under the requirements in section 1861(kkk) of the Social Security Act (42 U.S.C. 1395x(kkk) and in implementing regulations set forth in parts 419, 424, 485, 488, and 489 of title 42 of the Code of Federal Regulations in effect as of January 1, 2024)), and that meets the requirements of subparagraph (L)(i).; and (3) in subparagraph (O) by inserting that demonstrates to the Secretary that at least 60 percent of annual inpatient discharges for cost reporting periods beginning after December 1, 2024, are for inpatients who reside in a county that is not part of a Metropolitan Statistical Area, as defined by the Director of the Office of Management and Budget before, or a sole community hospital.