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Congress returns to session this week with days to pass a
continuing resolution (CR) to keep the government open. The House
of Representatives passed a short-term bill to keep the government
open through November 21st, but a vote on that package has yet to
be scheduled in the Senate. While the Senate is expected to vote in
time to avoid a shutdown, it's possible they vote on a
"clean CR" that removes provisions looking at the impact
of the Administration's trade policies, among other
policies.
That would also have implications for a number of health care
programs that are set to expire at the end of the month. The House
did extend several programs through the November 21st deadline, but
stakeholders are pushing for a full reauthorization to avoid the
paralyzing month-to-month planning that preceded last year's
government shutdown that spilled into early 2019. With a number of
larger political fights still unresolved, we are likely looking at
an intensive fall work period where policymakers can address a
number of outstanding programs and policies in an end-of-year
megadeal.
We are seeing signs of what that might look like this week with
two hearings in the House on drug pricing. The Energy &
Commerce Health Subcommittee will be reviewing four bills centered
mostly on drug price negotiations, including the recently released
Lower Prescription Drug Costs Now Act from Speaker Pelosi and
introduced by the Chairman of leading health committees. This
legislation would require HHS to publish a list of 250
negotiation-eligible brand drugs with the greatest total cost to
Medicare. Of those, 25 would be subject to negotiation with HHS.
While negotiating drug prices has been a long sought policy of many
Democratic lawmakers, this proposal represents an incremental
approach to the issue in an effort to win over the President, who
has expressed support for the policy in the past.
INSURER TAX, DEVICE TAX UPDATE
The Health Tax Taskforce, comprised of members of the Senate
Finance Committee, failed to achieve consensus on a path forward on
a number of expiring tax provisions. This includes the
controversial medical device tax and health insurance tax, both of
which will take effect in 2020 absent action. There are bills in
both chambers to repeal or suspend the taxes but have yet to be
considered in their respective committees.
It is fair to expect continued advocacy on these issues into the
fall as Congress looks to finalize a budget and resolve a number of
outstanding, and costly, issues.
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