Monday, August 7, 2023

Covid rancor tests friendships in Congress

Presented by PhRMA: Delivered daily by 10 a.m., Pulse examines the latest news in health care politics and policy.
Aug 07, 2023 View in browser
 
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By Ben Leonard and Chelsea Cirruzzo

Presented by

PhRMA

With Daniel Payne 

Driving the Day

Rep. Raul Ruiz  and Brad Wenstrup leave committee room  (Photo by Chip Somodevilla/Getty Images)

Reps. Raul Ruiz and Brad Wenstrup's friendship is being put to the test. | Chip Somodevilla/Getty Images

COVID COMITY CRUMBLES The battle over blame for the Covid-19 pandemic and how to tackle the next one is testing the limits of a decadeslong friendship between Reps. Brad Wenstrup (R-Ohio) and Raul Ruiz (D-Calif.), POLITICO’s Alice Miranda Ollstein reports.

The chair and ranking member of the Covid select committee have had a friendship that’s survived elections, impeachments and the Jan. 6 insurrection.

Ruiz, Wenstrup and their staffs began the year with high hopes that the lawmakers — fellow doctors who both entered Congress in 2013, had neighboring offices, regularly went out to dinner together and co-wrote several wonky health care bills — could meaningfully collaborate.

But the past six months have dashed those hopes. 

Republicans on the committee grumble that Democrats remain fixated on former President Donald Trump, while Democrats charge the GOP with pushing conspiracy theories and putting forward untrustworthy witnesses. After nearly a dozen hearings and a series of clashes that have played out in public and behind the scenes, the old friends admit there’s little to no chance of the committee unifying around findings or recommendations.

“Three million-plus individuals died, and we’re spending our time trying to push a partisan narrative that Dr. Fauci is guilty of wrongdoing,” an exasperated Ruiz told POLITICO. “How in the world will that help us prevent the next pandemic?”

Wenstrup is frustrated with the partisan divide, as demonstrated by the separate majority and minority reports on Covid’s origins, even as he says he’s happy with the committee’s work so far.

“We don’t mention ‘Republican’ or ‘Democrat’ at all — not one time in our report,” he said. “But their report mentions Republicans 34 times. Now, you can draw your own conclusions from that.”

Why it matters: The breakdown underscores the seeming impossibility of rallying around lessons from a pandemic that killed more than a million Americans and at least 2 million more abroad.

Public health experts warn that if the two friends can’t even agree on what to investigate, much less how to go about it, Covid will be further politicized and the nation will be more vulnerable to future pandemics.

WELCOME TO A NEW ERA OF PULSE. It’s the first edition from our new Pulse team — Chelsea Cirruzzo and I are taking over from the very capable Daniel Payne. Outside of our Pulse duties, Chelsea will cover HHS, and I’ll be covering health care politics and policy in Congress. We want to hear from you!

Reach out to us at bleonard@politico.com and ccirruzzo@politico.com and follow along @_BenLeonard_ and @ChelseaCirruzzo. Let us know if there’s anything you think has gone undercovered.

TODAY ON OUR PULSE CHECK PODCAST, host Evan Peng talks with Robert King, who shares more insight into his reporting, below, on how Medicaid insurers like Molina Healthcare are ramping up donations to Republican governors as states evaluate whether Medicaid enrollees are still eligible for the program.

 

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It's no surprise that hospitals pay one price for medicines and charge patients another. But a new report shows hospitals charge as much as 500% more. And that upcharge leads to higher costs for everyone. Especially patients. Get the details.

 
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Medicaid

A Molina Healthcare facility is shown.

Molina Healthcare donated $1 million to the Republican Governors Association this year. | Ashley Landis/AP Photo

MEDICAID INSURER GOP DONATION SPIKE Major Medicaid insurer Molina Healthcare gave $1 million during the first half of 2023 to Republican governors, more money than in the past two years combined, according to recent financial disclosures, POLITICO’s Robert King reports.

The donations to the Republican Governors Association come amid a historic shift in the Medicaid market as millions of people are set to lose their government health insurance over the next several months. That’s likely to affect the bottom lines of several insurers even as they told investors this week it is only a short-term problem.

Molina, which gets more than 80 percent of its revenue from Medicaid managed care, gave $505,000 in 2022 and $415,000 in 2021 to the RGA, which works to elect Republican governors. The insurer has managed care, Medicare and Affordable Care Act exchange plans in 19 states, 10 of which have Republican governors.

Molina didn’t respond to a request for comment on why the donations to Republicans spiked.

 

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Telehealth

APPLAUSE FOR DEA PROPOSAL Telemedicine advocates are largely applauding a Friday Drug Enforcement Administration filing that said the agency is open to relaxing its stance on a key telemedicine prescribing provision and allowing the public to respond in September.

The agency is granting attendance requests for sessions via lottery and speaking requests via its discretion “to select a cross-section” of people.

“They would need a football stadium to accommodate everyone,” Michael Petegorsky, general counsel at psychedelic telehealth firm Mindbloom, told Pulse. “I’m confident they’ll have appropriate representation.”

Kyle Zebley, executive director of telehealth lobbying group ATA Action, told Pulse his group hopes to participate and, while what will happen is still uncertain, the news is encouraging.

The details: The DEA said it’s considering creating a special registration process that would allow providers to prescribe controlled substances without first meeting with patients in person. That’s more in line with eased pandemic rules that have allowed prescribing without an in-person visit than its previous proposals.

A shift: In February, the agency had proposed making it more difficult for patients to access controlled substances and didn’t include a special registration process, saying it would add more burdens. Congress called on DEA to create the process in a 2008 law, but it hasn’t done so yet.

Telemedicine groups and the American Hospital Association, among others, have been clamoring for the agency to do so, and Sen. Mark Warner (D-Va.) said he’s “pleased that the DEA is finally looking into” doing so.

 

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SURPRISE BILLING

ANOTHER NSA WIN FOR DOCS — A U.S. District Court ruled against HHS’ interpretation of the No Surprises Act after the Texas Medical Association sued the agency, Daniel reports.

HHS’ interpretation of the law, created to limit the amount of money an insured patient must pay for some out-of-network providers at in-network facilities, has been challenged by providers on multiple fronts.

In this case, doctors’ groups argued that policy changes — such as significant increases to fees for the arbitration process and limits on batching disputes — were improper. The ruling means no new disputes can begin until the agency can change its process.

HHS didn’t respond to a request for comment.

Eye on the FDA

A POSTPARTUM DEPRESSION FIRST The FDA approved a new prescription drug Friday to treat postpartum depression, green-lighting the first pill marketed for people experiencing the debilitating condition after pregnancy, POLITICO’s Katherine Ellen Foley and Lauren Gardner report.

The agency cleared Biogen and Sage Therapeutics’ Zurzuvae, the brand name for zuranolone, which is to be taken once a day for 14 days.

Background: The only other treatment marketed specifically for postpartum depression is brexanolone, an infusion approved in 2019 that’s administered over 60 hours.

What’s next: The drug’s price and when it will be available have yet to be announced.

Eye on Insurers

ACA PREMIUM HIKES Insurers on the Affordable Care Act’s marketplace are asking for a median premium hike of 6 percent in 2024, a KFF analysis found.

That request could change during the process, KFF noted, and enrollees aren’t expected to deal with the increased costs due to subsidies, but it could increase federal spending on subsidies.

Why it’s happening: Insurers say that care and prescription drug costs are key factors driving growth, as are inflation and increasing health care use.

 

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VETERANS' HEALTH

PACT ACT DEADLINE The Department of Veterans Affairs is making a “full-court press” to ensure veterans apply for benefits under the PACT Act signed into law last year. The act boosted benefits for veterans exposed to toxic substances like burn pits during service.

While there’s no cutoff to apply for benefits, the White House and top lawmakers in both parties encourage veterans to file or submit an intent to file before Wednesday so their benefits can be backdated a year.

The VA told Pulse it taped an ad targeting women veterans set to air during Women’s World Cup games and coordinated videos with comedian and activist Jon Stewart. The agency is also spending more than $7.5 million on advertising and sending 400 million emails to veterans and their families.

Top lawmakers have largely been happy with how the VA has implemented the legislation, but some have raised concerns about claims backlogs. VA has touted “aggressive” hiring to help process the incoming claims.

What We're Reading

The Associated Press reports on a cyberattack that’s interrupted care at hospitals across the country.

STAT reports on early-stage cancer diagnoses falling during the pandemic but late-stage diagnoses surging.

 

A message from PhRMA:

You already know that billing at hospitals can be complicated. But a new report reveals something that might come as a shock. Did you know hospitals mark up some medicine prices 500%? Those costs get passed throughout the health care system and they lead to higher costs for patients. See the new data.

 
 

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