REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF SAN BERNARDINO COUNTY
AND RECORD OF ACTION
August 5, 2025
FROM
JOSHUA DUGAS, Director, Department of Public Health
SUBJECT
Title
Non-Financial Memorandum of Understanding with the California Department of Public Health for Participation in the 340B Drug Pricing Program
End
RECOMMENDATION(S)
Recommendation
1. Approve non-financial Memorandum of Understanding with the California Department of Public Health, Sexually Transmitted Disease Control Branch, for participation in the 340B drug pricing program, effective upon execution through January 31, 2026.
2. Authorize the Assistant Director of Public Health, to execute the Memorandum of Understanding with the Department of Public Health, Sexually Transmitted Disease Control Branch, as the Authorizing Officer of the 340B drug pricing program, and any subsequent non-substantive amendments related to the Memorandum of Understanding, subject to County Counsel review.
3. Direct the Assistant Director of the Department of Public Health to transmit the executed Memorandum of Understanding and any subsequent non-substantive amendments to the Clerk of the Board of Supervisors within 30 days of execution.
(Presenter: Joshua Dugas, Director, 387-9146)
Body
COUNTY AND CHIEF EXECUTIVE OFFICER GOALS & OBJECTIVES
Provide for the Safety, Health and Social Service Needs of County Residents.
Pursue County Goals and Objectives by Working with Other Agencies and Stakeholders.
FINANCIAL IMPACT
Approval of this item will not result in the use of Discretionary General Funding (Net County Cost). The Memorandum of Understanding (MOU) is non-financial in nature. The 340B drug pricing program (340B program) MOU will allow the Department of Public Health (DPH) to purchase reduced priced medications and receive supplies, as well as additional support from the California Department of Public Health (CDPH), Sexually Transmitted Disease (STD) Control Branch, through training and program technical assistance.
BACKGROUND INFORMATION
Approval of the MOU enables DPH to collaborate with CDPH to participate in the 340B program in effort to reduce the incidence and transmission of STDs throughout the region. The purpose of the 340B program is to reach a greater number of patients, to provide more comprehensive services, including treatment and reduce health disparities.
The 340B program was created by Congress in 1992 to help hospitals and other entities provide care to low-income patients and communities by federally mandating pharmaceutical manufacturers to sell certain outpatient drugs at a discount to qualified participating health organizations. In addition, only covered entities specified in Section 340B(A)(4) of the Public Health Service Act are eligible to participate, including sexually transmitted disease clinics and recipients of federal grants authorized under the Section 318 of the U.S. Public Health Services Act. DPH is a recipient of federal grants and currently operates several Federally Qualified Health Centers, which qualify as covered entities eligible for the 340B program.
Under the terms of the MOU, CDPH will provide DPH with annual support to advance STD prevention, screening, and treatment goals, including medication and supplies, as well as training and program technical assistance.
As required by CDPH, the MOU must be reviewed and executed by the Authorized Officer on file with the CDPH STD Control Branch, for DPH this is currently the DPH Assistant Director. Either party may terminate this MOU at any time, effective immediately, by providing the other party with written notification.
DPH recommends approval of the MOU to allow the department to purchase discounted medications to treat STDs, reduce transmission, and improve health outcomes for county residents.
PROCUREMENT
Not applicable.
REVIEW BY OTHERS
This item has been reviewed by County Counsel (Adam Ebright, Deputy County Counsel, 387-5455) on July 16, 2025; and County Finance and Administration (Iliana Rodriguez, Administrative Analyst, 387-4205) on July 17, 2025.