On March 8, Congress passed the first of two funding bills to extend federal funding for Departments and Agencies, including the FDA. This bill included a very small number of “riders” (popular authorizing policies outside the funding bills) in healthcare. Of interest to HTCs, is the reduction in the 3.4% cut to physician fees by Medicare, which was initiated on January 1, 2024. A reduction remains, but it has been cut in half starting on March 9, 2024. The second much larger 2024 funding package is expected to be considered by Congress before the March 22 deadline. This bill will include funding for the Department of Health and Human Services and the Department of Defense.

On March 11 President Biden released his $7.3 trillion budget for fiscal year 2025. The budget is more of a political statement than anything and has little chance of moving forward in such a divided Congress. Funding for the hemophilia programs at HRSA and CDC are extended at current levels. The budget includes Medicare proposals originally authorized under the Inflation Reduction Act to expand the number of drugs subject to price negotiations, speeding up the pace of implementation, and expanding the $2000/year out-of-pocket cap on drug costs to private insurance plans. More information on the Department of Health and Human Services Budget along with links to the agency congressional justifications with information on the hemophilia programs can be found at https://www.hhs.gov/about/budget/fy2025/index.html

While the Alliance is yet to hear from any HTCs impacted by the cyberattack on Change Healthcare, a subsidiary of United Health Group, we wanted to provide you with information released by the Department of Health and Human Services – https://www.hhs.gov/about/news/2024/03/05/hhs-statement-regarding-the-cyberattack-on-change-healthcare.html and CMS’ published FAQs. The cyberattack occurred on February 21, 2024 and was the largest shutdown of a payment system in the US.