Summary
The Wynne Health Group is excited to share that we will be announcing our new CEO, along with a new name and brand that reflects our mission-driven direction, on Thursday! Stay tuned for some exciting announcements.
To celebrate these exciting developments and introduce you to our new CEO, we’re hosting a happy hour reception on Wednesday, June 7, from 5-7pm at Bar Deco in Washington. You are cordially invited. We hope you will stop by for some drinks, apps, and good cheer. Please RSVP by emailing billy@wynnehealth.com if you plan to attend.
Congressional Update
Debt Ceiling Deal Reached: Over the weekend President Biden and House Speaker Kevin McCarthy (R-CA) reached a deal to lift the nation’s debt ceiling and avoid a potential economic disaster. The House Memorial Day recess was cancelled, and staffers spent the weekend putting the agreement into legislative text. The agreement will lift the debt ceiling for two years, thereby avoiding another potential crisis during an election year. Spending levels during those two years will be frozen at fiscal year (FY) 2023 levels for non-defense discretionary programs, with some adjustments for veteran’s benefits and other priorities. Defense spending will be funded at the President’s FY 24 request, which is a 3% increase. There are spending recommendations for an additional three years, but they are nonbinding. Also included in the deal is a provision to raise the age for work requirements for able bodied adults to receive SNAP benefits from 49 to 54, however it expands benefits for veterans, people who are homeless, and young adults transitioning out of foster care. These changes will sunset in 2030. There are no changes to Medicaid and Social Security benefits included in the deal.
The most conservative faction of the Republican Party and the most progressive Democrats have both expressed concerns with the package, leaving the fate of the bill somewhat uncertain. The first test will come when the House Rules Committee takes up the bill this afternoon. If it passes the Rules Committee, Speaker McCarthy hopes to bring it to the floor sometime tomorrow. Both McCarthy and Democratic Leader Hakeem Jeffries (D-NY) will need to deliver favorable votes from a sizeable portion of their parties to pass the bill. The Senate will need to pass the bill and get it to the President before next Monday, which is the “X” date when the government will run out of funds.
Energy & Commerce Committee Action: Last Wednesday, the House Energy & Commerce (E&C) Committee marked up several bipartisan bills focused on lowering health care costs, strengthening pharmacy benefit managers (PBMs) oversight, and bringing price transparency to patients (details). The largest of the bills, the PATIENT Act is a renamed version of the Transparent PRICE Act and promotes transparency across various health systems, including hospitals, insurers, and pharmacy benefit managers (PBMs). It also aligns payment rates for drug administration and hospital outpatient departments with the Physician Fee Schedule rate, meaning that Medicare would pay outpatient hospital departments the same rate as independent physician offices for administering the same intravenous or injected medication. Additionally, the bill cancels $16 billion in cuts to Medicaid Disproportionate Share Hospital (DSH) payments, which would help safety net providers serve vulnerable communities.
House Progress on Appropriations Bills Halts: Also last week, the House Appropriations Committee cancelled the full Committee markup of the four bills that passed through Subcommittee, including the Military Construction-VA, Agriculture, Homeland Security and Legislative Subcommittees. Appropriations Committee Chair Kay Granger (R-TX) cited the ongoing debt ceiling negotiations as a reason for the cancellation, however Ranking Member Rosa DeLauro (D-CT) questioned whether the Republicans had the votes to pass the measures. With an agreement on FY 24 spending levels, the Committees should be able to move through bills in a bipartisan manner. The Senate Appropriations Committee has stated they will start marking up their bills in June.
Regulatory Update
The Office of Management and Budget (OMB) recently completed review of the final rule that is expected to end COVID-19 vaccination requirements for staff at Medicare- and Medicaid- participating providers and suppliers. OMB is also reviewing a number of rules.
- 340B Drug Pricing Program – Proposed rule regarding potential remedies for safety-net hospitals affecting cost years 2018-2022. In American Hospital Association v. Becerra, the Supreme Court ruled in favor of safety-net hospitals that challenged Medicare reimbursement cuts for prescription drugs provided in outpatient settings.
- Calendar year 2024 Medicare payment policies – specifically, proposed updates to the Physician Fee Schedule and payment and policy updates for hospital outpatient departments and ambulatory surgical centers, home health agencies, and end-stage renal disease facilities;
- TCET Pathway – Proposed rule that would establish criteria for an alternative coverage pathways to provide transitional coverage for emerging technologies (TCET) under Medicare; and
- Short-Term Plans – Proposed rule that would ensure short-term limited duration insurance includes protections for people with pre-existing conditions and other ACA protections.