CMS Proposes 2.8% Physician Pay Decrease for CY2025: On Wednesday, the Centers for Medicareand Medicaid Services proposed nextyear’s Medicare Physician Fee Schedule rule, lowering the conversion factor for physician medical services by 2.8%. CMS said the drop is due to law requiringbudget neutrality across physician benefits. It is unlikely the proposed cuts go into effect, as Congress historically steps in to mitigate dramatic decreases to doctor pay. 

FTC Releases Scathing Report on PBM Practices: On Tuesday, the Federal Trade Commission, led by chair Lina Khan, released a 71-page report on pharmacy benefit manager practices, saying, “Powerful middlemen may be profiting by inflating drug costs and squeezing Main Street pharmacies.” The FTC is yet to file a suit against a PBM but said they will seek options to step up enforcement. Senate Finance Chair Ron Wyden (D-OR) released a statement on the report, saying his committee “will pass reforms” this Congress.  

House And Senate Advance Different FDA Appropriations Bills: On Thursday, the Senate Appropriations Committee passed a spending bill that would increase FDA discretionary funding by $22 million. That topline figure is quite different than that which passed the GOP-controlled House Appropriations Committee, where legislators approved a proposed $22million funding cut. House appropriators also passed a FY2025 Labor-HHS measure, which would cut funding for HHS by around 7% and call for a major NIH restructuring.  

Senate HELP Committee Holds Hearing on Medical Debt: On Thursday, the Senate HELP Committee held a hearing on the causes and potential policy remedies for the reported $220 billion in Americans’ medical debt. Committee Chair Bernie Sanders (I-VT) and several bipartisan members discussed the Health Care Price Transparency and PBM Reform Acts, while Ranking Member Bill Cassidy advocated for 340B savings transparency. 

Senate Passes Drug Patent Reform Bill: On Thursday, the Senate unanimously passed the Affordable Prescriptions for Patients Act, which limits the number of patents that pharmaceutical companies can assert in IP infringement litigations. The bill, led by Sens. John Cornyn (R-TX) and Richard Blumenthal(D-CT) seeks to promote generic and biosimilar competition for prescription drugs. 

ONC Released HTI-2 Rule Updates: On Wednesday, the Office of the National Coordinator for Health released a newHTI-2 proposed rule to implement 21st Century Cures Act provisions, focusing on expanding the horizon of interoperability and data sharing. The rule aligns with CMS' Interoperability and Prior Authorization final rule to promote electronic prior authorization. By raising US Core Data for Interoperability to Version 4 by January 2028, the rule aims to unify fragmented systems and promote a cohesive health IT ecosystem. 

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