LUGPA Policy Brief: Concerns Regarding IL HB 2371 and the 340B Drug Pricing Program

July 2026

Overview

Illinois HB 2371, now on Governor JB Pritzker’s desk, would expand protections for 340B covered entities and contract pharmacies. LUGPA opposes this bill because it would reinforce a rapidly growing contracting model without ensuring that 340B savings benefit underserved patients or safety‑net care.

Importantly, Illinois HB 4327 which is also now on Governor JB Pritzker’s desk, would create new transparency requirements intended to shed light on how 340B arrangements operate across the state. LUGPA signed onto a coalition letter of support for the bill, emphasizing Illinois should first evaluate how these transparency measures perform before considering any expansion of 340B contracting models.

Concerns with HB 2371

Although HB 2371 includes reporting requirements, transparency alone does not resolve the structural problems created by unchecked contract‑pharmacy expansion. This bill would legitimize arrangements that:

  • Concentrate 340B activity in higher‑income areas
  • Increase cost pressures on independent specialty practices
  • Fail to ensure savings support underserved patients

How HB 4327 Fits In

HB 4327 would establish new transparency requirements designed to help Illinois understand how 340B contract‑pharmacy arrangements operate and whether they advance the program’s safety‑net mission. The coalition letter LUGPA joined stressed that the state must:

  • Evaluate HB 4327’s transparency data before expanding 340B contracting models
  • Determine whether current arrangements benefit underserved patients
  • Ensure accountability before growth

HB 2371 moves ahead of this evaluation, expanding protections before Illinois has the evidence needed to understand whether existing models are working—or whether reforms are needed.

Impact on Independent Urology Practices

LUGPA member practices provide essential community‑based cancer and urologic care. By reinforcing current contracting models, HB 2371 would intensify market distortions, undermine value‑based care, and further destabilize independent specialty practices.

Conclusion

LUGPA urges Illinois to pursue balanced, evidence‑based 340B reform rather than expanding protections for the current contracting model. Reform should:

  • Increase transparency and accountability
  • Ensure savings benefit underserved patients
  • Address inequitable program expansion
  • Protect community‑based specialty care

Illinois should allow HB 4327’s transparency framework to take effect and be evaluated before considering any expansion of 340B contracting models.