On May 1, 2024, UnitedHealth Group (UHG) CEO Andrew Witty testified before the Senate Finance Committee and the House Energy and Commerce Subcommittee on Oversight and Investigations. Read more about UHG’s response to the Change Healthcare attack.
On April 30, 2024, the House Energy and Commerce Health Subcommittee held a hearing entitled “Legislative Proposals to Increase Medicaid Access and Improve Program Integrity.” This hearing featured a discussion of several bills related to the Medicaid program.
Unseasonably cool weather in Washington last week left us feeling less than springy. However, we did see a thawing of relations between Republicans and Democrats on a foreign aid package. Additionally, the endorsement of Speaker Mike Johnson (R-LA) by former President Trump likely brings some feelings of rejuvenation to the embattled Speaker. The forecast this week calls for a return of Congress, a response to the Biden administration’s nursing home staffing mandate, and a possible rule on lab-developed tests (LDTs). Welcome to the Week Ahead!
While Congress was out of session, the Administration dispatched several highly-anticipated final rules, including the nursing home staffing ratio rule, the Medicaid managed care rule, the Medicaid access rule, and an FTC ban on non-compete agreements, among others.
Banning menthol in cigarettes did not get finalized. On April 26, Health and Human Services (HHS) Secretary Xavier Becerra acknowledged the need for more time, likely in part due to concerns that the rule would lead to increased law enforcement activity in minority communities.
4-1-1 on LDTs: Despite all the regulatory activity, we are still waiting on a proposed rule granting the Food and Drug Administration (FDA) explicit authority to regulate LDTs. We expect that rule any day now.
UnitedHealth Group CEO Comes to Town
United Healthcare Group CEO Andrew Witty testifies before Congress about the Change Healthcare cyberattack. His first stop will be a Senate Finance Committee hearing.
Some things we will be watching:
• Will GOP members use the hearing to criticize the Biden Administration’s response to the cyberattack, or will they focus their attention on UnitedHealth Group’s response?
• Will any members discuss or propose legislative action to address broader concerns about cybersecurity? In particular, we will be watching to see if Sen. Mark Warner (D-VA) uses the hearing to advocate for legislation he introduced earlier this year that would tie federal payments to health care providers after a cyberattack to the adoption of cybersecurity standards.
• How will Mr. Witty respond to allegations that United Healthcare has not done enough to help providers in the wake of the attack?
Other Notable Senate Hearings
Movement on Appropriations
What’s happening: Last week, the House Appropriations Committee released guidance for members on FY 2025 Community Project Funding (earmarks). This comes as the House just finished FY 2024 appropriations only one month ago.
The House Labor, Health and Human Services Appropriations Subcommittee holds its Member Day on April 30.
What it means: The pace is quick: members must submit programmatic and language requests by May 1 and Community Project Funding Requests by May 3. We know how deadlines drive activity in DC!
House Energy and Commerce GOP Looks to Strike Back on Nursing Home Staffing Rule
What’s happening: On April 30, The House Energy and Commerce Health Subcommittee will consider the Protecting America’s Seniors Access to Care Act (H.R. 7513), which would block the implementation of the recently finalized minimum staffing rule during its legislative hearing entitled “Legislative Proposals to Increase Medicaid Access and Improve Program Integrity.”
Some Democrats have crossed the aisle to support this bill. Rep. Jared Golden (D-ME) is one of the bill’s cosponsors, and Rep. Terry Sewell (D-AL) supported the bill’s passage out of Ways and Means. That being said, most Democratic members are supporting the administration’s action. Given the small majority Republicans hold in the House, not to mention the Democratic majority in the Senate and Democratic President, getting this bill across the finish line may be a tall order.
In Other House Committee News
What are your favorite springtime activities? Did you get to do any spring break traveling this year? Reach out to share and compare. Here’s to a great Week!
It’s Patriots’ Day, and our very own Jennifer Bell is taking this whole marathon-not-a-sprint thing seriously by tackling the Boston Marathon again. In DC this week, the drone and missile attack on Israel from Iran will dominate floor activity even as Congress has a slew of hearings ahead of the April 22 break for Passover. So, let’s see what the week holds – welcome to the Week Ahead!
The Iranian attack will have big implications for Washington – putting pressure on Congress to move on stalled foreign aid packages and on the Biden administration to stand with Israel as some progressive critics call for him to condition aid on efforts to prevent civilian casualties.
Everybody Wants to Rule the World…
What’s happening: On the health care front, the hospital lobby is criticizing the FY 2025 Inpatient Prospective Payment System Proposed Rule for not keeping up with inflation. The proposed rule came out just ahead of this week’s American Hospital Association Annual Meeting.
What’s on deck: While still under review at OMB, we are keeping our eyes peeled for the Medicaid access rule. We aren’t feeling the final versions of the laboratory-developed test rule or the minimum-staffing standards for long-term care rule coming out this week since OMB is still conducting stakeholder meetings.
Senate Subcommittee Weighs in on HHS Budget
What’s happening: With the 2024 appropriations process now in the rearview mirror, the Senate Appropriations Committee will hold several budget-related hearings this week—including one with Health and Human Services Secretary Xavier Becerra. Sec. Becerra will be testifying on the President’s proposed FY2025 HHS budget before the Senate Labor, Health and Human Services Subcommittee on April 16.
Why it matters: This will be the 4th appearance by the Secretary on the budget, with one additional one later in the week in the House. Will the Secretary be pressed on the administration’s response to the cyberattack on Change Healthcare or funding related to the Medicare drug negotiations in the Inflation Reduction Act? Will he be checked out as rumors fly about his potential exit to run for governor of California? We are betting the Secretary will be fully engaged.
Another Impeachment Senate Hearings
What’s Happening: While leaders debate how to respond to the attacks on Israel, we doubt the Senate will have much appetite to take up impeachment articles against Homeland Security Secretary Alejandro Mayorkas. The House voted to impeach the Secretary in February, but they have yet to send the articles over to the Senate.
Senate Hearings
Other notable hearings this week include:
Mike Gets a Win
What’s happening: Last week, the House of Representatives passed legislation to renew the Foreign Intelligence Surveillance Act (FISA) after opposition from some Republicans caused previous votes to fail.
Why it matters: Beyond the significance of the legislation itself, this vote shows (at least for now) that Speaker Mike Johnson (R-LA) can still get things through Congress. Before the weekend, the question was about whether he could maintain control of his caucus as he seeks to pass potential Ukraine aid legislation. Now, with the schedule to be dominated by yet-to-be-announced legislation regarding Israel, we expect threats to oust the Speaker will die down for a few days at least.
Jam-Packed Tuesday
What’s happening: The House is starting the week off hot with several health care-related hearings.
Why it Matters: Even though the House is spending a lot of floor time on issues than health care these days, health care legislation is still on the front burner in the committees.
Becerra Returns to the House
What’s happening: HHS Sec. Becerra is scheduled to testify before the House Energy and Commerce Health Subcommittee on April 17 about the FY25 HHS budget.
Does it matter? Even as Energy and Commerce gets its time with the Secretary, the bigger impact on the President’s budget proposal is arguably last week’s selection of Rep. Tom Cole (R-OK) as the new House Appropriations Chair.
House Energy & Commerce Subcommittee Considers Privacy Legislation
What’s happening: The House Energy and Commerce Innovation, Data, and Commerce Subcommittee is scheduled to consider several legislative proposals related to data privacy on Wednesday. Among the proposals to be considered is a draft of the American Privacy Rights Act, which includes provisions related to health care data.
Why it matters: This bill was introduced by House Energy and Commerce Chair Cathy McMorris-Rodgers (R-WA) and Senate Commerce Committee Chair Maria Cantwell (D-WA). That means this bill is bipartisan, bicameral, and has support from two committee chairs. These facts bolster chances for success. The question is, will that be enough to move this bill during an election year?
So, there you have it! Did you get your taxes in? Did you know 2 states celebrate Patriots’ Day? Reach out to us if you know the other one that is not Massachusetts. Here’s to a great week!
On April 12, 2024, the Medicare Payment Advisory Commission (MedPAC) met to discuss work for their June 2024 report on drugs and 340B hospital payments. The June report contains recommendations and research on where Medicare should go in the future – and is usually filled with new ideas and innovations.
