Reference answer · 340b-program · reviewed quarterly
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Q&A library · 340b-program

How does HRSA determine 340B hospital eligibility after an ownership change?

HRSA treats any hospital ownership or control change as creating a new legal entity that must prove continued 340B eligibility. Continuity depends on matching tax IDs, governing boards, and Medicare certifications. If these differ, HRSA usually requires termination and re-registration, with audits demanding precise documentation for each transaction date.