Health Care Checkup
March 19, 2021
THE BIG PICTURE
On Thursday, Xavier Becerra was confirmed by the Senate to lead the Department of Health and Human Services (HHS). The Senate voted 50-49 to confirm Becerra, with Susan Collins (R-ME) as the only Republican to vote in favor of his confirmation.
 
On Wednesday, the Senate Health, Education, Labor, and Pensions (HELP) Committee voted to advance the nominations of Dr. Vivek Murthy for U.S. Surgeon General and Dr. Rachel Levine for Assistant Secretary of Health. Both candidates received bipartisan support for their advancement.
 
On Friday, the House voted 246-175 to pass a bill (H.R.1868) that would eliminate the need for $36 billion in cuts to Medicare during the year 2022. The legislation would further delay the 2 percent sequester cuts that were scheduled to go into effect on March 31st and it would also clear the Pay-GO Scorecard, which would otherwise have required mandatory cuts to the Medicare program due to the fact that the American Rescue Plan was not offset. 29 Republicans voted in favor of passing the bill.
 
This week, House Representatives Pramila Jayapal (WA-07) and Debbie Dingell (MI-12) introduced the Medicare for All Act of 2021, which would guarantee health care to everyone in America. Benefits in the plan include primary care, vision, dental, prescription drugs, mental health, substance abuse, long-term support services, and reproductive health care.

On Thursday, Dr. Anthony Fauci, President Biden’s Chief Medical Adviser, and CDC Director Dr. Rochelle Walensky appeared before the Senate HELP Committee to discuss the federal COVID-19 response. MCRT’s summary of the hearing can be found here.

After a ten-year moratorium, earmarks are making a comeback in Congress. On March 17, House Republicans voted to allow members to utilize earmarks in the 117th Congress, following in House Democrats’ footsteps.

The Biden Administration is ahead of schedule in its goal to deliver 100 million COVID-19 vaccine doses in its first 100 days. As of March 19, Biden’s 58th day in office, the U.S. will meet Biden’s vaccination goal. Vaccination rates are occurring much faster than before, with nearly 2.5 million doses given per day for the last week.
 
Also on Tuesday, CMS withdrew a Trump-era drug policy that would have allowed health insurers to scale back the types of drugs that they are required to cover for Medicare beneficiaries. The agency said that, “Based on stakeholder feedback and other considerations, CMS is not moving forward with [the model].”

On Wednesday, HHS sent letters to health officials in both Arkansas and New Hampshire, formally notifying the states that HHS was withdrawing a Section 1115 Medicaid waiver that allowed for work requirements in the states. The waiver was originally approved by the Trump Administration.
What to Expect Next Week: There will be several health and COVID-19 related hearing in the House and Senate next week. Most notably, next Tuesday, the Senate HELP Committee’s Primary Health and Retirement Security Subcommittee, led by Senator Bernie Sanders (I-VT), will hold a hearing on the high prices of prescription drugs in the U.S. Also on Tuesday, the House Energy and Commerce Subcommittee on Health will hold a legislative hearing, titled “Building on the ACA: Legislation to Expand Health Coverage and Lower Costs.” On Thursday, the House Ways and Means Subcommittee on Oversight will hold a hearing on examining private equity’s expanded role in the U.S. health system. Also on Thursday, the Senate HELP Committee will hold a hearing, titled "Examining Our COVID-19 Response: Improving Health Equity and Outcomes by Addressing Health Disparities."
DEEP DIVE
MedPAC Issues Recommendations to Congress for Medicare Payment Rates in 2022

The Medicare Payment Advisory Commission (MedPAC) issued recommendations to Congress regarding Medicare payment rates for the year 2022. Specifically, MedPAC recommended that Congress issue no payment increases for ambulatory surgery centers, outpatient dialysis facilities, nursing homes, and hospice providers. MedPAC recommended a 2% Medicare rate increase for both acute care hospitals and long-term care hospitals. Additionally, MedPAC recommended a 5% cut in payments to home health agencies and inpatient rehabilitation facilities. MedPAC’s report also suggested continuing with some of the expanded telehealth coverage in Medicare after the pandemic.  During the public health emergency (PHE), CMS and Congress have temporarily expanded coverage of telehealth services, giving providers broad flexibility to provide their patients with telehealth services. MedPAC recommends that once the PHE is over, Medicare “return to paying the fee schedule’s facility rate for telehealth services and collect data on the cost of providing those services.” MedPAC also recommends that CMS implement safeguards to protect Medicare beneficiaries from fraud related to telehealth.

COVID-19 Updates
 
On Monday, the Biden Administration announced that CMS will pay providers nearly double the current Medicare payment rate to administer the COVID-19 vaccine to patients. The move is geared toward incentivizing providers to administer the shots. The change is slated to take effect immediately and will increase Medicare payment rates from approximately $23 per shot to $40 per shot for two-dose vaccines. Additionally, the payment rate will increase from $28 to $40 for single-dose vaccines.

On Tuesday, former President Donald Trump said on Fox News that he recommends Americans get vaccinated against coronavirus. The move came after a poll was released last week showing that 49% of Republican men and 47% of those who supported Trump in the 2020 election said they would not receive the COVID-19 vaccine.

Moderna announced that the first participants in its pediatric clinical trial have been dosed with its COVID-19 vaccine. Moderna’s study is expected to enroll 6,750 healthy pediatric participants from ages six months to less than 12 years old. The study is enrolling children in both the U.S. and Canada.
 
The U.S. Department of Health and Human Services (HHS) announced that it is investing $150 million to increase access to COVID-19 monoclonal antibody therapeutic treatments for vulnerable populations across the country. The agency also announced that it will “invest $10 billion from the American Rescue Plan to ramp up screening and testing to help schools reopen, [invest] $2.25 billion to scale up testing in underserved populations, and provide new guidance on asymptomatic screening testing in schools, workplaces, and congregate settings.”
 
The Biden Administration is ahead of schedule in its goal to deliver 100 million COVID-19 vaccine doses in its first 100 days. As of March 19, Biden’s 58th day in office, the U.S. will meet Biden’s vaccination goal. Vaccination rates are occurring much faster than before, with nearly 2.5 million doses given per day for the last week.
 
Biden Administration Continues to Solidify Agency Assignments 
 
On Wednesday, the Senate HELP Committee voted to advance the nominations of Dr. Vivek Murthy for U.S. Surgeon General and Dr. Rachel Levine for Assistant Secretary of Health. Both candidates received bipartisan support for their advancement.
 
On Thursday, Xavier Becerra was confirmed by the Senate to lead HHS. The Senate voted 50-49 to confirm Becerra, with Susan Collins (R-ME) as the only Republican to vote in favor of his confirmation. Becerra makes history as the first Latino HHS Secretary.

On Tuesday, the U.S. Department of Agriculture announced senior positions at the agency. Sandra Eskin was named the new Deputy Undersecretary for Food Safety at the Department of Agriculture. Eskin previously served as the Project Director for Food Safety at The Pew Charitable Trusts. Additionally, Eyang Garrison was named Chief of Staff of the Deputy Secretary’s office. Garrison previously served as the Deputy Chief of Staff and Legislative Director to Congresswoman Marcia Fudge (D-OH).

House Passes Bill to Avert Medicare Cuts

On Friday, the House voted 246-175 to pass a bill (H.R.1868) that would eliminate the need for $36 billion in cuts to Medicare during the year 2022. The legislation would further delay the 2 percent sequester cuts that were scheduled to go into effect on March 31st and it would also clear the Pay-GO Scorecard, which would otherwise have required mandatory cuts to the Medicare program due to the fact that the American Rescue Plan was not offset. 29 Republicans voted in favor of passing the bill. While both parties typically agree that Medicare cuts should be avoided, Congressional Republicans have disagreed with Democrats’ method toward achieving this. Representative Tom Cole (R-OK) said, “It’s disappointing Democrats have chosen not to work with Republicans in putting together a bipartisan bill.” The bill will now head to the Senate where its future is uncertain.
 
HHS Withdraws Arkansas and New Hampshire’s Medicaid Work Requirement Waiver

On March 17, HHS sent letters to health officials in both Arkansas and New Hampshire, formally notifying the states that HHS was withdrawing a Section 1115 Medicaid waiver that allowed for work requirements in the states. The waiver was originally approved by the Trump Administration. In the letters, HHS stated that requiring poor adults to work in order to receive health care benefits would decrease Medicaid enrollment without significantly increasing employment rates. Arkansas and New Hampshire will have 30 days to appeal the determination before HHS’s Departmental Appeals Board. The move comes as part of a broader effort of the Biden Administration to reverse Medicaid work requirements approved during the Trump Administration. HHS’ letter to Arkansas can be found here and the letter to New Hampshire can be found here.

Biden Administration Rolls Back Trump-era Drug Policy

On Tuesday, the Centers for Medicare and Medicaid Services (CMS) withdrew a Trump-era drug policy that would have allowed health insurers to scale back the types of drugs that they are required to cover for Medicare beneficiaries. The agency said that, “Based on stakeholder feedback and other considerations, CMS is not moving forward with [the model].” Currently, Medicare health plans are required to cover anticonvulsants, antidepressants, antineoplastics, antipsychotics, antiretrovirals, and immunosuppressants. The Trump-era policy would have provided health plans greater flexibility in how they treated these protected drug classes of drugs.

Progressive Democrats Reintroduce Medicare for All Legislation 
 
This week, House Representatives Pramila Jayapal (WA-07) and Debbie Dingell (MI-12) introduced the Medicare for All Act of 2021, which would guarantee health care to everyone in America. Benefits in the plan include primary care, vision, dental, prescription drugs, mental health, substance abuse, long-term support services, and reproductive health care. The bill was endorsed by more than half of the House Democratic Caucus, including 14 committee chairs. Additionally, the bill was cosponsored by the Chair of the House Committee on Energy and Commerce, Representative Frank Pallone (D-NJ). This substantial support among the Democratic caucus shows that expanding Medicare coverage remains a top goal for Democrats in Congress and could be a factor in subsequent budget reconciliation legislation this Congress. It should be noted, however, that the American Rescue Plan just expanded the Affordable Care Act, and the Energy & Commerce Committee is holding a legislative hearing next week on ACA improvements.
 
Other Congressional Democrats are keen on pushing a government-run public health insurance option. In late February, Senators Tim Kaine (D-VA) and Michael Bennet (D-CO) announced the reintroduction of the Medicare-X Choice Act of 2021. The Senators’ plan would create a public option by expanding on the ACA and Medicare.  Senators Chris Murphy (D-CT) and Jeff Merkley (D-OR) plan to introduce a public option bill in the coming weeks. President Joe Biden promoted a public option plan during his presidential campaign.
 
Earmarks Make Comeback in Congress
 
After a ten-year moratorium, earmarks are making a comeback in Congress. On March 17, House Republicans voted to allow members to utilize earmarks in the 117th Congress, following in House Democrats’ footsteps. In late February, House Appropriations Chair Rosa DeLauro (D-CT) announced the House Democratic Appropriations Committee would restore earmarks. Earmarks will now be referred to as “Community Project Funding.” Congress placed a moratorium on earmarks a decade ago. Historically, members of Congress utilized earmarks to provide federal funding to companies, groups, and organizations in their district. The resurrected earmarks will come with new restrictions, and the total amount of money that can be spent on earmarks will be capped at 1 percent of total discretionary spending.
 
Senator Bernie Sanders to Hold Hearing Next Week on Drug Prices
 
Next Tuesday, the Senate Health, Education, Labor, and Pensions Committee’s Primary Health and Retirement Security Subcommittee, led by Senator Bernie Sanders (I-VT), will hold a hearing on the high prices of prescription drugs in the U.S. Additionally, next week Senator Sanders plans to reintroduce his three bills on direct negotiations, reimportation, and international pricing.
SENATE HEARINGS AND EXECUTIVE SESSIONS
Senate Health, Education, Labor and Pensions Committee - Hearing
Full Committee Hearing: "Why Does the US Pay the Highest Prices in the World for Prescription Drugs?"
Tuesday, March 23 at 10:00 AM ET

Senate Banking, Housing and Urban Affairs Committee – Hearing
Full Committee Hearing: "The Quarterly CARES Act Report to Congress."
Wednesday, March 24 at 10:00 AM ET

Senate Veterans' Affairs Committee – Hearing
Full Committee Hearing: Coping during COVID: Veterans' Mental Health and Implementation of the Hannon Act
Wednesday, March 24 at 3:00 PM ET

Senate Health, Education, Labor and Pensions Committee - Hearing
Full Committee Hearing: "Examining Our COVID-19 Response: Improving Health Equity and Outcomes by Addressing Health Disparities."
Thursday, March 25 at 10:00 AM ET   
HOUSE HEARINGS AND EXECUTIVE SESSIONS
House Committee on Education and Labor - Hearing
Subcommittee on Civil Rights and Human Services Hearing: Ending the Cycle: Examining Ways to Prevent Domestic Violence and Promote Healthy Communities
Monday, March 22 at 12:00 PM ET

House Committee on Veterans' Affairs – Hearing
Subcommittee on Disability Assistance and Memorial Affairs Hearing: VA Compensation and Pension Exams During the COVID-19 Pandemic: A Path Forward
Tuesday, March 23 at 10:00 AM ET

House Committee on Appropriations - Hearing
Subcommittee on the Departments of Labor, Health and Human Services, Education, and Related Agencies Hearing: Addressing the Maternal Health Crisis
Tuesday, March 23 at 10:00 AM ET

House Committee on Energy and Commerce - Hearing
Subcommittee on Health Hearing: "Building on the ACA: Legislation to Expand Health Coverage and Lower Costs"
Tuesday, March 23 at 11:00 AM ET

House Committee on Financial Services – Hearing
House Committee on Financial Services Hearing: Oversight of the Treasury Department's and Federal Reserve's Pandemic Response
Tuesday, March 23 at 12:00 PM ET

House Committee on Appropriations - Hearing
Subcommittee on Commerce, Justice, Science, and Related Agencies Hearing: Management, Performance Challenges, and COVID Response at the Department of Justice
Wednesday, March 24 at 10:30 AM ET

House Committee on Financial Services - Hearing
Subcommittee on Housing, Community Development, and Insurance Hearing: Preserving a Lifeline: Examining Public Housing in a Pandemic
Wednesday, March 24 at 12:00 PM ET

House Committee on Appropriations - Hearing
Subcommittee on Interior, Environment, and Related Agencies Hearing: The Effects of COVID-19 on Arts and Humanities Organizations
Thursday, March 25 at 1:00 PM ET

House Committee on Education and Labor - Hearing
Subcommittee on Early Childhood, Elementary, and Secondary Education Hearing: Lessons Learned: Charting the Path to Educational Equity Post-COVID-19
Thursday, March 25 at 1:00 PM ET

House Ways and Means Committee – Hearing
Subcommittee on Oversight Hearing: Examining Private Equity’s Expanded Role in the U.S. Health System
Thursday, March 25 at 1:00 PM ET
ADMINISTRATION ANNOUNCEMENTS
Centers for Medicare & Medicaid Services
 
Food and Drug Administration
 
Guidance Documents from the Centers for Disease Control and Prevention

National Institutes of Health
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