340B Program
About UCI Health
UCI Health serves a substantial population comprising nearly 5.6 million individuals in Orange County, western Riverside County and southeast Los Angeles County. As the sole academic health system in Orange County, UCI Health is committed to advancing medical knowledge, educating future healthcare professionals, and delivering the highest-quality, evidence-based healthcare. The 1,461-bed system comprises its main campus UCI Health — Orange, its flagship hospital, the UCI Health — Irvine acute care hospital and medical campus, four hospitals and affiliated physicians of the UCI Health Community Network in Orange and Los Angeles counties and a network of ambulatory care centers across the region. UCI Health — Orange provides tertiary and quaternary care and is the sole Orange-based National Cancer Institute-designated comprehensive cancer center, high-risk perinatal/neonatal program and American College of Surgeons-verified Level I adult and Level II pediatric trauma center, gold level 1 geriatric emergency department and regional burn center. UCI Health is also notable for having federally qualified health centers in Anaheim and Santa Ana.
The 340B prescription drug program supports our role as a safety-net provider in offering vital healthcare services for the communities we serve. Program eligibility is based on substantial services to low-income Medicare and Medicaid patients. 340B hospitals – which include trauma centers, labor and delivery services, HIV-AIDS services and immunizations – provide significantly more money-losing but vital health services than non-340B hospitals.
Given the absence of a county hospital, roughly 75% of the UCI Health patient base relies on government payers for insurance coverage. Notably, California possesses one of the nation's lowest Medicaid provider reimbursement rates, and the costs associated with specialty services often exceed the reimbursement received. Consequently, UCI Health bears the burden of uncompensated costs related to services in areas such as cancer care, trauma care, burn care, mental health services, organ transplant procedures and emergency care.
340B by the numbers (fiscal year 2025)
- $195.66 million – Approximate annual 340B savings that benefit UCI Health patients
- $1.08 billion – Total cost of uncompensated care provided, including charity care, Medicaid underpayment, bad debt and $625 million provided to Medicare beneficiaries
- 36% – UCI Health's Disproportionate Share Hospital (DSH) percentage