‘Byrd Bath’ begins for key health provisions

From: POLITICO Pulse - Monday Dec 06,2021 03:02 pm
Presented by PhRMA: Delivered daily by 10 a.m., Pulse examines the latest news in health care politics and policy.
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Quick Fix

— Senate parliamentarian meets with leaders today to review health provisions, including Democrats’ drug pricing proposal and measures to expand Medicare and Medicaid.

Biden’s push for payers to cover at-home Covid tests could take months to set up and be accessible for patients.

Regulators and providers are parsing out who benefits most from new Covid pills as an authorization looms, promising huge demand.

WELCOME TO MONDAY PULSE — Something we read this weekend: How DNA solved a longtime Pearl Harbor mystery. Send your weekend long reads and tips to sowermohle@politico.com and acancryn@politico.com.

 

A message from PhRMA:

At a time when the science has never been more promising, the Democrats’ latest drug pricing scheme puts patients in harm’s way by threatening future treatments and cures. Learn more.

 
Driving the Day

HEALTH PROPOSALS HIT THE ‘BYRD BATH’ — The Senate parliamentarian meets with Democrats today to begin to review the health care provisions of the party’s social spending plan.

It will cover a broad swath of the party’s plans to curb drug prices and expand Medicare, Medicaid and Obamacare to cover more people, a senior Democratic aide told Alice Friday.

A subsequent bipartisan meeting with the parliamentarian, in which Republicans will challenge certain provisions in the bill and Democrats will defend them, has not yet been scheduled, but could come later in the week.

Provisions on the table include Democrats' plan to control drug prices for 180 million Americans on private insurance. Republicans, advised by the pharmaceutical industry, plan to argue that the bill’s penalties on drugmakers who hike drug costs faster than inflation are in violation of reconciliation rules. Specifically, they say the provision is advancing a policy agenda that is only “incidentally” related to saving the federal government money.

Yet Sen. Ron Wyden (D-Ore.), the Senate’s lead negotiator of the drug pricing language, last week told reporters he’s confident Democrats will prevail.

“We have been making the case in every forum possible that this is all about federal spending,” he said. “And that’s what you need to be able to demonstrate to make it through the parliamentarian.”

BIDEN’S TEST PLAN BRINGS ADDED COSTS — The administration’s vision of at-home Covid-19 tests for all — a key provision of its Omicron plan — won’t be easy to execute as Americans navigate reimbursements and insurers shoulder new costs.

The administration wants to require private health insurers to reimburse customers who buy rapid tests that have been in short supply in many parts of the U.S. and cost more than they're sold for abroad. But it's unclear how consumers with private insurance will get reimbursed for tests, how long they'll have to wait — and how often payment claims will be denied, POLITICO’s David Lim and Rachael Levy write. And those who are uninsured or who have Medicare or Medicaid won’t be able to access the new insurance reimbursement program, though administration officials say they'll have free access through local health care clinics.

Michael Bagel, director of public policy at the Alliance of Community Health Plans, said setting up reimbursement systems will be an operational challenge for many payers. "It’s going to have to work its way through that manual submission process, which could take weeks or a couple of months depending on volume.”

Spokespeople for major health insurers, including Aetna and Blue Cross Blue Shield, say their companies are awaiting guidance and will work with the administration on implementation. Many specifics hinge on guidance the Health and Human Services, Labor and Treasury departments are due to publish by Jan. 15.

THE NEXT HURDLES FOR COVID ANTIVIRALSWith the FDA poised to authorize the first Covid-19 antiviral pill for at-home use as soon as this week, regulators and health providers are already deliberating about which patients would benefit most from the drugs.

The FDA will likely specify which “high risk” populations should have access to the Merck-Ridgeback Biotherapeutics pill if they contract Covid-19, particularly after its advisory panel’s close vote and concerns about risks for pregnant people.

That still will leave doctors and other providers on the hook to decide whether to prescribe the pill — and to do it within five days of a patient showing symptoms — to realize the potential benefits, Lauren Gardner and Katherine Ellen Foley write.

Because supply will be limited at first. The federal government has purchased 3.1 million courses of molnupiravir, which it will acquire between the date of FDA authorization and early next year. It has the option to purchase an additional two million doses later, if needed.

A senior federal health official said that, if authorized, the pills bought by the federal government will be provided free to localities that can distribute them through health departments, community health centers and pharmacies. “We continue to work with jurisdictions to plan for distribution and use of these products that will be consistent with clinical guidelines and recommendations for who should receive them,” the official said.

 

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Coronavirus

FAUCI: U.S. REVIEWING TRAVEL BANPresident Joe Biden’s chief medical adviser said Sunday that the U.S. is reviewing its travel ban on South Africa and other African countries daily and hopes to lift it “ within a reasonable amount of time” even as the Omicron variant spreads through the U.S.

“When the ban was put on, it was put to give us time to figure out just what is going on. Now, as you mentioned, as we‘re getting more and more information about cases in our own country and worldwide, we are looking at that very carefully on a daily basis,” National Institute of Allergy and Infectious Disease Director Anthony Fauci said on CNN’s “State of the Union.”

While Omicron is becoming the dominant variant in South Africa, Fauci said there's no current evidence that the new variant causes more severe illness than previously detected Covid-19 variants. “We feel certain,” he added, that booster shots and vaccines provide protection against the new variant.

In Congress

ANTI-PBM LOBBYING BLITZ — Lobbyists for drugmakers, pharmacists and large employers are blanketing Congress with calls, emails and advertisements, pressing lawmakers to rein in pharmacy benefit managers after Democrats opted to repeal the rebate rule through the reconciliation package.

“Pretty much everyone in the supply chain is pointing at the PBMs right now,” said Karry La Violette, the senior vice president of government affairs at the National Community Pharmacists Association.

While there is little agreement among PBM opponents about what actions Congress should take, lobbyists’ asks include requiring PBMs to pass more rebates on to consumers or employers or ban spread pricing, POLITICO’s Megan Wilson writes.

PBMs have responded with their own lobbying and advertising blitz, and insist they’re being scapegoated. JC Scott, who leads the Pharmaceutical Care Management Association, the trade group for PBMs, said targeting his members might be good politics and take the focus off drugmakers during a critical moment in the debate, but it would not lower drug costs.

 

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Around the Agencies

HHS REPORTS 97%+ VAX RATE — More than 97 percent of staff across HHS are vaccinated against the coronavirus with some departments — CDC, the Indian Health Service and the Assistant Secretary for Preparedness’ and Response’s Office among them — leading the pack, the agency said Friday.

“No matter how you slice and dice the data at HHS, nearly every member of our workforce has answered the President’s call, and I couldn’t be prouder,” HHS Secretary Xavier Becerra said in a statement. His immediate office reported 100 percent vaccination.

TODAY: LEADERS MEET ON GLOBAL VACCINATION — USAID Administrator Samantha Power will meet with “key development partners [and] world leaders” today to strategize about “how to step up our fight” against the coronavirus, she wrote in a tweet.

Like President Joe Biden and other top officials, Power noted that the U.S. has led the world in vaccine donations, but she added that the Omicron variant “underscores the urgency of accelerating our progress.”

 

BECOME A GLOBAL INSIDER: The world is more connected than ever. It has never been more essential to identify, unpack and analyze important news, trends and decisions shaping our future — and we’ve got you covered! Every Monday, Wednesday and Friday, Global Insider author Ryan Heath navigates the global news maze and connects you to power players and events changing our world. Don’t miss out on this influential global community. Subscribe now.

 
 
Around the Nation

MISSISSIPPI GOV. VOWS TO ENFORCE ABORTION BAN — Gov. Tate Reeves said Sunday he'd enforce a ban on abortion in his state if the long-standing Roe v. Wade abortion decision is overturned by the U.S. Supreme Court, Maeve Sheehey writes.

Reeves reiterated his staunch support for his state’s current ban on abortions after 15 weeks on CNN's "State of the Union," arguing the time frame is “not at all radical” and suggesting he has “some reason for optimism” that the Supreme Court will overturn Roe after initial arguments last week.

YET: The Roe threat might not move the midterms needle. Interviews with more than a dozen Democratic strategists, pollsters and officials reveal skepticism that the court’s decision will dramatically alter the midterm landscape unless — and perhaps not even then — Roe is overturned, POLITICO’s David Siders writes.

Privately, several Democratic strategists suggest the usefulness of any decision on abortion next year will be limited, and some may advise their clients not to focus on abortion rights at all in their contests.

An early indicator for some: Virginia’s gubernatorial race last month, when just 8 percent of voters in exit polls listed abortion as the most important issue facing the state.

Read more: Nick Niedzwiadek and Michael Cadenhead break down where each justice stands on abortion and their history weighing in on the debate.

Names in the News

Ryan Smith is joining digital health care company Graphite Health as chief operating officer. Smith most recently was vice president and chief information officer for Intermountain Healthcare and worked for Health Catalyst and Banner Health previously.

What We're Reading

House Budget Chair John Yarmuth (D-Ky.) is battling accusations that he inserted a vape tax in the sweeping reconciliation package, Fox Business’ Samuel Dorman and Andrew Murray report.

Joshua Replogle, a photojournalist for CNN, recounts the stillborn birth of his third child and discusses how Texas’ restrictive abortion law could make it even harder for parents to navigate those tragedies.

A cyberattack froze Maryland’s health department over the weekend, hitting amid state and national efforts to prepare for the Omicron variant, The Washington Post’s Dan Diamond reports.

 

A message from PhRMA:

The Democrats’ hyper-partisan drug pricing plan is a detriment to patients and the future of medical research.

The plan guts the very incentives necessary to encourage investment in further research and development after medicines are approved, giving the government the power to pick winners and losers for lifesaving medicines.

While some would have you believe this is “negotiation,” it isn’t. It’s government price setting that does little to address patient affordability and will decimate the competitive ecosystem in the United States that has brought hope to so many Americans in the form of new medical advances where before there were none. No matter what they call it, this plan will result in the same outcome: negative consequences for the patients with the most need. Read more.

 
 

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