Expanded telehealth here to stay? Maybe.

From: POLITICO Pulse - Tuesday Nov 14,2023 03:01 pm
Presented by PhRMA: Delivered daily by 10 a.m., Pulse examines the latest news in health care politics and policy.
Nov 14, 2023 View in browser
 
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By Ben Leonard and Chelsea Cirruzzo

Presented by

PhRMA

With Megan Messerly and Alice Miranda Ollstein

Driving The Day

Sen. Brian Schatz (D-Hawaii).

Legislation sponsored by Sen. Brian Schatz that would uphold some temporary telehealth rules introduced during the pandemic has plenty of bipartisan support. | Francis Chung/POLITICO

TELEHEALTHPALOOZA — The Senate Finance Committee’s health subcommittee is set to discuss Tuesday how to make expanded telehealth permanent for Medicare patients.

Eased telehealth rules that benefited Medicare, high-deductible health plans and hospital-at-home care will expire at the end of 2024.

Making the loosened telehealth rules permanent in Medicare has overwhelming bipartisan support — Sen. Brian Schatz’ (D-Hawaii) CONNECT for Health Act, which would do so, has 59 co-sponsors.

Expect lots of discussion about the value of virtual care for Medicare patients and questions from lawmakers about how telehealth has played out under the eased rules, including details about usage, fraud, waste and abuse.

What else to watch: Look for debate over the virtual prescribing of controlled substances, especially with Sens. Mark Warner (D-Va.), Sheldon Whitehouse (D-R.I.), Marsha Blackburn (R-Tenn.) and Catherine Cortez Masto (D-Nev.), who serve on the subcommittee, introducing a bill on the issue this month. That legislation would permanently allow treatment for substance use disorder without an in-person visit.

The House Ways and Means Committee approved legislation in June with some Democratic support that would allow high-deductible plans to permanently cover telehealth before customers hit their deductibles.

Other telehealth bills, like legislation that would permanently allow employers to offer telehealth as a tax-free benefit separate from their group health insurance plan or as an “excepted benefit,” have faced scrutiny from Democrats. Employers could do so under temporary pandemic rules, but that allowance will expire at the end of 2023 plan years.

Two Democrats joined Republicans in advancing legislation on excepted benefits out of the House Education and the Workforce Committee in June, but key Democrats, including ranking member Bobby Scott (D-Va.), argued the bill doesn’t include enough consumer safeguards.

What’s next: A permanent extension isn’t necessarily expected this year for most telehealth issues, given there’s more than a year to get a deal done and collect more data on virtual care’s efficacy.

However, if advocates can get key Democrats on board with the excepted benefit legislation, a deal could come in shorter order. Kyle Zebley, executive director of ATA Action, the lobbying arm of the American Telemedicine Association, said the group is looking for a three-year extension to offer more certainty to patients and providers.

However, if advocates can get key Democrats on board with the excepted benefit legislation, a deal could come in shorter order. Kyle Zebley, executive director of ATA Action, the lobbying arm of the American Telemedicine Association, said the group is looking for a three-year extension to offer more certainty to patients and providers.

WELCOME TO TUESDAY PULSE. Are you working on telehealth legislation? We want to hear from you — and can keep you anonymous. Reach us at bleonard@politico.com or ccirruzzo@politico.com. Follow along @_BenLeonard_ and @ChelseaCirruzzo.

TODAY ON OUR PULSE CHECK PODCAST, your host Ben talks with POLITICO policy reporter Arek Sarkissian about an abortion rights initiative in Florida whose organizers haven't yet been able to gather enough signatures to qualify for the ballot — and the potential for the Sunshine State to become the exception for abortion-rights supporters.

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The most profitable 340B hospitals provide the least amount of charity care. A new report shows the top performing 340B hospitals collected nearly $10 in profit for every $1 invested in charity care in 2021. 340B program discounts are meant to help hospitals care for their most vulnerable patients. Instead, 340B hospitals are making record profits while free and discounted care remains low. It's time to reset the balance with 340B. 

 
In Congress

Rep. Robert Aderholt testifies at a hearing at the U.S.

Rep. Robert Aderholt, seen here during a House Rules Committee hearing Monday, is confident the Labor-HHS bill will pass in the House. | Francis Chung/POLITICO

RULES ADVANCES HHS BILL — The House Rules Committee voted 8-4 Monday night on a bill to fund the departments of Labor, Health and Education — the latest move in House Republicans’ precarious attempts to pass all 12 government spending bills in the coming weeks and avoid a shutdown, Alice reports.

Democrats on the committee pleaded for their colleagues to vote no on the bill, calling its deep cuts to medical research and public health programs and its anti-abortion and other culture war policy riders a “disaster.”

How we got here: Lawmakers have long used the Labor-HHS bill as a vehicle for anti-abortion provisions — including the decades-old Hyde Amendment that bars government spending on abortion.

But House Republicans went much further this year in this and other spending bills, tucking in controversial provisions that would eliminate funding for family planning and teen-pregnancy prevention programs. It would also bar the NIH from using fetal tissue obtained from an elective abortion for medical research and Planned Parenthood from participating in any federally funded health program.

What’s next: Whether the bill can pass on the House floor is an open question. Republicans have recently pulled other spending bills after it became clear they couldn’t pass due to divisions over anti-abortion and other provisions within the GOP.

Rep. Robert Aderholt (R-Ala.), chair of the health subcommittee of the Appropriations Committee, said Monday he’s “optimistic” the bill can pass despite “maybe one or two” Republicans opposing it. Republicans have a four-seat majority.

The House is set to consider Tuesday a stopgap measure to fund the government temporarily under suspension of the rules, meaning a two thirds vote would be needed. That bill would set two funding deadlines — one on Jan. 19 and another on Feb. 2, which would include the HHS bill.

ALCOHOL, DRUG, TOBACCO MISUSE RISES — More than 49 million Americans ages 12 and older had a substance use disorder in 2022, an increase of nearly 3 million from 2021, according to survey data released Monday from SAMHSA, leading the Biden administration to call for more resources from Congress.

Biden administration officials pointed to the Covid-19 pandemic, social media and bullying as potential causes for the rise, POLITICO’s Carmen Paun reports.

The survey found that 29.5 million people had an alcohol use disorder, 27.2 had a drug use disorder and 8 million had both. Three quarters of people with substance use disorder aren’t getting the care they need, said Dr. Rahul Gupta, director of the White House Office of National Drug Control Policy.

The ask: The Biden administration cites the figures in lobbying Congress to provide supplemental funding this fall to combat illicit drug use and treat those with substance use disorder.

“It’s time for Congress to step up … to expand essential lifesaving services and crack down on illicit drug trafficking,” Gupta told reporters, referring to the nearly $2.8 billion supplemental funding for fiscal 2024 that the White House requested.

VA IN ON PSYCHEDELICS — The Department of Veterans Affairs is “committed” to evaluating whether psychedelics, including MDMA, can help with post-traumatic stress disorder, a top agency official is expected to tell Congress on Tuesday.

In prepared testimony ahead of a House Veterans’ Affairs Committee hearing, Dr. Carolyn Clancy, assistant undersecretary for health, will say the agency is conducting studies and leaning on outside research to determine whether psychedelics can help with mental health conditions, including treatment-resistant depression. Clancy said studies are being conducted at VA facilities but funded by outside groups.

“Based on our assessment of the literature to date, there is still much to learn, and much yet to be understood,” Clancy wrote.

The bigger picture: The VA’s statement comes as Democrats and Republicans have united behind psychedelics to address the nation’s mental health crisis. The FDA has approved one psychedelic for depression and is pushing for more study of their potential.

ANOTHER DOC DEPARTS — Rep. Michael Burgess (R-Texas), co-chair of the GOP Doctors Caucus, won’t seek reelection after more than two decades in Congress, he said Monday.

Burgess sits on the House Energy and Commerce Committee’s health subcommittee and leads the House Budget Committee’s health care task force. He’s the second doctor in the chamber to make such an announcement in less than a week, along with fellow co-chair Rep. Brad Wenstrup (R-Ohio).

 

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Medicaid

MEDICAID UNWINDING'S RIPPLE EFFECTS States are continuing to review eligibility for millions of Medicaid recipients as unwinding goes forward, and KFF’s 23rd annual survey of state Medicaid directors released this morning underscores the process’ dramatic effects, Megan reports.

The survey, based on responses from officials in 47 states and the District of Columbia, projects Medicaid enrollment will drop by 8.6 percent in fiscal year 2024 as states continue to remove ineligible individuals from their Medicaid rolls. At the same time, states’ share of Medicaid spending is expected to increase by 17.2 percent — largely a result of the continued phaseout of enhanced federal funding states received during the pandemic — even as total Medicaid spending growth is projected to slow to 3.4 percent.

Most states reported favorable fiscal conditions. But inflationary pressure, workforce challenges and the end of other federal pandemic relief dollars add uncertainty to Medicaid and state budgeting processes, the report said.

 

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Eye on Insurers

PRE-APPROVAL CONCERN  Prior authorization is the top regulatory issue burdening group practices, according to new data from the Medical Group Management Association.

The survey of executives representing more than 350 practices found that nearly 90 percent cited prior authorization — or advance approval from health plans before a specific medical service is delivered — as “very or extremely burdensome.”

By contrast, less than half of them said a dearth of electronic health record interoperability was “very or extremely” burdensome.

A group of lawmakers wants to reform prior authorization, but their ability to act may hinge on an upcoming CMS rule.

 

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WHAT WE'RE READING

STAT reports on life expectancy for U.S. men being more than half a decade shorter than for women.

Healthcare Dive reports on Mass General Brigham floating buyouts for employees in its digital group.

 

A message from PhRMA:

340B hospitals charge patients more. The average costs per prescription for a patient was more than 150% greater at a 340B hospital. 340B program discounts are meant to help hospitals care for their most vulnerable patients. Instead, 340B hospitals make record profits while patients often pay more. It's time to reset the balance with 340B.

 
 

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