304B Drug Pricing Program Division

The 340B Drug Pricing Program was established in 1992 to provide qualifying patients with affordable prescription drugs. The program is available to several types of safety net health providers, known as "covered entities". Eligible covered entities include Medicare/Medicaid Disproportionate Share Hospitals, children's hospitals, and other safety net providers. Benefits of the 340B Program are that qualifying providers can save from 15 to 60 percent on the costs of prescription drugs through the program. Cost savings and revenue generated by the 340B program has allowed the Barnabas Health eligible facilities to provide both access to care of needed medicines to eligible patients who have the most need and expand services in these underserved areas. The 340B program is limited to outpatient prescription drugs.

The Barnabas Health 340B Program scope and origin started with one facility in 2008 and has continued to grow to now include: Clara Maass Medical Center, Jersey City Medical Center, Monmouth Medical Center, Monmouth Medical Center Southern Campus and Newark Beth Israel Medical Center. All are eligible due to their status as a disproportionate share hospital, and MMC and NBIMC further meet eligibility as state designated children's hospitals. These facilities also have arraignments with their internal pharmacy, in-house retail pharmacy and several chain pharmacies in the surrounding area of the hospitals to provide 340B medications to eligible patients.

Pharmacy has a central role in the initiation, operations, compliance and auditing of this complex program. This requires a coordinated effort between the local facility and corporate pharmacy 340B team with the support of our 340B software program. The 340B team ensure all required data is sent by our eligible facilities and then analyzed and reviewed for accuracy and compliance. Elements of a successful program include:
  • Linking the National Drug Codes for each medication with the Barnabas Health charge codes
  • The pharmacy team is required to purchase and monitor these medications on a daily basis as oversight of this program by federal agencies demands accurate documentation of all medications purchased.
  • Maintaining a dedicated medication inventory exclusively for the 340B eligible patients
  • Policy and procedures that describe all of the elements that are required by the Federal Agency Health Resources and Services Administration (HRSA) regulations and pharmaceutical companies conditions for participation
Our facilities participating in the 340B Program are subject to audit by both drug manufacturers and the federal agency HRSA. Failure to comply with the 340B Program requirements could result in the facility liable to manufacturers for refunds of discounts or cause the health center to be removed from the 340B Program.

The corporate pharmacy 340B team staff has an instrumental role in helping to administer the program including: sharing program updates, training personnel, assisting in annual recertification, HRSA audits, updating the health system information on the HRSA web site and administering routinely scheduled internal audits ensuring:
  • Financial and compliance review
  • Assessment of competencies of local facility personnel responsible for program
  • Testing and examination of 340B software system
  • Review and recommend updated Policies & Procedures documenting all organizational 340B activities

304B Drug Pricing Program Divsion Leadership


Robert Pellechio, RPh, MPA

Corporate Vice President of Integrated Pharmacy Services

Bryan McCormick

340B Program Specialist, Corporate Pharmacy at RWJBarnabas Health

Angelina Bayruns, CPhT

340B Analyst, Corporate Pharmacy at RWJBarnabas Health

Christina Cronkite

Analyst, Corporate Pharmacy at RWJBarnabas Health