The agency issued the notice regarding the rebate model pilot on July 31 and published it in the Federal Register on August 3. Program Behind the ChangeThe 340B Drug Pricing Program requires manufacturers to sell covered outpatient drugs at discounted prices to eligible providers, known as covered entities. For many safety-net providers, 340B revenue is a structural part of the budget rather than a bonus. Under the current model, a covered entity buys at the discounted 340B price directly. Key Questions AnsweredWhat is the 340B program?