Wednesday, May 1, 2024

The little nonprofit behind a big Covid theory

Presented by HCA Healthcare: Delivered daily by 10 a.m., Pulse examines the latest news in health care politics and policy.
May 01, 2024 View in browser
 
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By Chelsea Cirruzzo and Ben Leonard

Presented by 

HCA Healthcare

With Lauren Gardner 

Driving The Day

Brad Wenstrup speaks at a hearing.

Evidence uncovered by the nonprofit Right to Know will guide Rep. Brad Wenstrup, chair of the House Select Subcommittee on the Coronavirus Pandemic, as he questions EcoHealth Alliance about whether its research could have led to the outbreak of Covid. | Anna Moneymaker/Getty Images

THE RIGHT TO KNOW COVID’S ORIGINS — Congressional Republicans are relying on a tiny California-based nonprofit led by a disciple of consumer activist Ralph Nader to find out where Covid-19 came from, POLITICO’s Carmen Paun reports.

Republicans will use evidence uncovered by Gary Ruskin, the founder of U.S. Right to Know, to inform today’s blockbuster hearing on Covid-19’s origins.

They’ll question Peter Daszak, head of the nonprofit research group EcoHealth Alliance, about whether research he proposed to the Defense Department in 2018 could have been carried out — and led to Covid.

Asked by POLITICO whether Ruskin’s efforts have helped his investigation, Rep. Brad Wenstrup (R-Ohio), chair of the House Select Subcommittee on the Coronavirus Pandemic, said, “Absolutely.” Sen. Rand Paul (R-Ky.) said in March that Ruskin was “more successful than any of us in getting information from the administration.”

U.S. Right to Know uncovered EcoHealth Alliance’s draft grant application in January, prompting Wenstrup’s interest, as well as that of Sen. Joni Ernst (R-Iowa) and former Rep. Mike Gallagher (R-Wis.), who until his resignation on April 19 chaired the House Committee on the Strategic Competition Between the United States and the Chinese Communist Party.

It’s a story of how, in the politicization of the pandemic, unlikely alliances formed to turn public opinion on what caused millions to die of a mysterious new disease.

Ruskin says he merely followed the evidence and then publicized it. And the overwhelming majority of Americans now believe what was once derided as a conspiracy theory: The coronavirus that sparked the pandemic came from a Chinese lab.

The alliance between Ruskin and Paul couldn’t be stranger: Paul, the libertarian, paired with Ruskin, who followed his mentor, Nader, the arch-proponent of government regulation, into activism a generation ago to fight unhealthy food, before turning to Covid’s origins.

There’s one problem with the Republican lawmakers’ hopes for this week’s hearing: The Pentagon turned down Daszak’s grant application. Daszak declined to comment for this article.

But whether the hearing proves definitive or not, it’s sure to be a spectacle. U.S. Right to Know says Daszak tried to mislead the Pentagon about EcoHealth Alliance’s intention to conduct the research at the Chinese lab at the center of the lab leak theory, the Wuhan Institute of Virology, where biosafety practices were laxer than in the U.S., to save money, meaning the work could have gone ahead anyway.

MORE ECOHEALTH ALLIANCE WOES — Meanwhile, House Democrats are raising concerns about the environmental nonprofit’s compliance with federal funding rules, Carmen reports.

While Democrats on the select subcommittee don’t believe EcoHealth Alliance caused the pandemic, they question whether the group should continue receiving public grants in the future.

“[EcoHealth Alliance] potentially misled the federal government on multiple occasions in both their transparency obligations and reporting requirements as recipients of federal grant funding — raising serious questions about their overall commitment to the responsible stewardship of taxpayer dollars,” said Rep. Raul Ruiz of California, the top Democrat in the subcommittee.

Democrats on the subcommittee plan to release a report this morning that cites a two-year delay in the research group’s submitting a required report to the National Institute of Allergy and Infectious Diseases and the potential misrepresentation of whether the coronavirus research with the Wuhan Institute of Virology could be classified as potentially risky.

Daszak said his group has “worked assiduously” since 2020 to respond to all additional oversight requirements and shared a 2023 NIH audit letter which states that EcoHealth Alliance resolved concerns about its compliance with grant rules.

WELCOME TO WEDNESDAY PULSE. We’ve made it to May, but the temperatures in Washington feel more like July or August. Send your tips, scoops and feedback to ccirruzzo@politico.com and bleonard@politico.com and follow along @ChelseaCirruzzo and @_BenLeonard_.

A message from HCA Healthcare:

At HCA Healthcare, we provide our more than 300,000 colleagues with programs, benefits and resources that are designed to support their overall well-being and development. In 2023, we announced more than $300 million in investments to support the education and training of nurses with the opening of new HCA Healthcare Centers for Clinical Advancement and the expansion of the Galen College of Nursing. Discover more about our workforce development programs and resources here.

 
In Congress

UnitedHealthcare health insurance company signage on a building.

The CEO of United Healthcare is expected to tell the Senate Finance Committee today how hackers accessed a portal. | Patrick T. Fallon/AFP via Getty Images

WITTY’S HILL TO CLIMB — United Healthcare CEO Andrew Witty is set for a pair of grillings today about the massive ransomware attack at Change Healthcare in February, Ben reports.

Witty will face the Senate Finance Committee this morning and the House Energy and Commerce Oversight Subcommittee this afternoon. The attack disrupted links between providers and insurers, setting off a cash crunch at providers across the country.

Expect questions about how consolidation in the sector can amplify a single breach’s power. The company also said it paid a ransom, which will likely draw scrutiny. Here’s what key lawmakers plan to focus on:

Defense: Questions about the company’s cybersecurity measures are likely. According to a copy of Witty’s prepared testimony, shared first with POLITICO, he plans to testify that hackers gained access to a portal without multifactor authentication — a basic security measure.

“How could you not have better security when you have that much data?” Rep. Morgan Griffith (R-Va.), who chairs E&C’s Oversight Subcommittee, said to Pulse.

Senate Finance Chair Ron Wyden (D-Ore.) will ask “what steps it's taking to improve its security.”

Cybersecurity mandates: Expect division over potential minimum cybersecurity mandates, which Witty plans to support.

Sen. Mark Warner (D-Va.) has pushed for minimum standards, as have Wyden and the Biden administration.

Plan on GOP skepticism. E&C Health Subcommittee Chair Brett Guthrie (R-Ky.) told Pulse he wants to avoid “one-size-fits-all mandates.”

“If they’re going to pay interest to all the consumers … that may be sufficient,” Griffith said. “If it looks like they’re not making the providers and consumers whole…maybe we have no choice.” Griffith told Pulse he’s undecided.

Reimbursement: Wyden wants to know whether the company will “take meaningful responsibility for compensating patients and providers.”

Sen. Maggie Hassan (D-N.H.) told Pulse she wants answers on how the company will “inform and protect” impacted consumers. Witty expects that notification will take “several months,” and the company will offer free identity-theft protections for two years.

 

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PHARMA WATCH

ALZHEIMER'S DRUG MEETING EXPECTED — Eli Lilly executives said Tuesday they're confident in their Alzheimer's drug candidate, for which they expect the FDA to hold an advisory committee meeting by midyear, Lauren reports.

“We expect the focus to be around the safety and efficacy profile of donanemab, along with unique aspects of the clinical program,” Dan Skovronsky, Lilly’s chief scientific officer, said during the company’s first-quarter earnings call Tuesday. “We remain confident in donanemab's potential to offer very meaningful benefits to patients and look forward to addressing the FDA’s questions.”

The novel drug is aimed at slowing cognitive decline associated with Alzheimer’s disease.

The company said last month that the agency planned to convene a meeting of its independent advisers, a surprise development since a regulatory decision on the drug was expected by the end of the first quarter.

Lilly’s neuroscience president, Anne White, later added that the company hasn’t yet received questions from the FDA but anticipates discussion around “limited duration dosing,” which allows a patient to stop taking the drug once it clears the brain plaques thought to play a role in Alzheimer's disease.

 

THE GOLD STANDARD OF HEALTHCARE POLICY REPORTING & INTELLIGENCE: POLITICO has more than 500 journalists delivering unrivaled reporting and illuminating the policy and regulatory landscape for those who need to know what’s next. Throughout the election and the legislative and regulatory pushes that will follow, POLITICO Pro is indispensable to those who need to make informed decisions fast. The Pro platform dives deeper into critical and quickly evolving sectors and industries, like healthcare, equipping policymakers and those who shape legislation and regulation with essential news and intelligence from the world’s best politics and policy journalists.

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AROUND THE AGENCIES

GRANTS RULE FINALIZED — The Biden administration finalized a rule Tuesday clarifying nondiscrimination protections in HHS-funded programs.

It’s the latest in a string of regulations HHS has finalized in the past few weeks to shore up nondiscrimination protections in health care, particularly for LGBTQ+ patients and patients who seek abortions. A similar rule to reverse Trump-era changes that narrowed a nondiscrimination provision in the Affordable Care Act was finalized last week.

The finalized rule, called the HHS Grants Rule, leans on a 2020 Supreme Court decision, Bostock v. Clayton County, which said the 1964 Civil Rights Act protects employees from discrimination based on their sexuality. The rule also applies to services and grants that provide aid to refugees, people without homes and maternal health and community programs.

The final rule contains a provision to allow people with religious objections to obtain an exemption or a program modification.

Names in the News

Catherine Hill has joined PhRMA as deputy vice president of public affairs. She most recently was the lead spokesperson for X, formerly known as Twitter.

 

POLITICO IS BACK AT THE 2024 MILKEN GLOBAL CONFERENCE: POLITICO will again be your eyes and ears at the 27th Annual Milken Institute Global Conference in Los Angeles from May 5-8 with exclusive, daily, reporting in our Global Playbook newsletter. Suzanne Lynch will be on the ground covering the biggest moments, behind-the-scenes buzz and on-stage insights from global leaders in health, finance, tech, philanthropy and beyond. Get a front-row seat to where the most interesting minds and top global leaders confront the world’s most pressing and complex challenges — subscribe today.

 
 
WHAT WE'RE READING

POLITICO’s Arek Sarkissian reports on Florida’s six-week abortion ban, which goes into effect today.

POLITICO’s Kimberly Leonard and Arek Sarkissian report on challenges abortion-rights groups face in Florida.

POLITICO’s Natalie Fertig reports on a coming reclassification of cannabis following an HHS review concluding it has medical uses.

A message from HCA Healthcare:

At HCA Healthcare, we believe excellent people make excellence happen. That’s why we provide our more than 300,000 colleagues with programs, benefits and resources that are designed to support their overall well-being and development. In 2023, we announced more than $300 million in investments to support the education and training of nurses with the expansion of HCA Healthcare’s Centers for Clinical Advancement and Galen College of Nursing campuses.

Our 14 Centers for Clinical Advancement help nurses advance their skills and careers. New graduates use the centers to complete their Nurse Residency program while veteran nurses can earn advanced certifications. Our leading technology allows students to learn from real-life clinical scenarios and clinical experts across the country to advance their learning. Discover more about our workforce development programs and resources here.

 
 

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