From Washington DC,

• The House Oversight and Accountability Committee held a hearing this morning titled “Oversight of Our Nation’s Largest Employer: Reviewing the U.S. Office of Personnel Management, Pt. II”. The witness was OPM acting Director Rob Shriver.
• Here are links to the opening statements from the Chairman James Comer (R KY) and Mr. Shriver.
• Here are links to articles about the hearing from Govexec and Federal News Network.
• The FEHBlog attended the hearing and he heard Mr. Shriver mention a discussion with a member of Congress about a pending OPM legislative proposal. Here is a link to OPM’s March 24 publication on its FY 2025 legislative proposals. Here is a blurb on the discussed proposal (see p. 36):
  • Beginning in FY 2026, this proposal would allow OPM to access a capped amount of mandatory funding annually from the Employees Health Benefits Fund to develop and maintain eligibility and enrollment systems for PSHB and FEHB. The cap would start at $37 million in 2026 and gradually increase, for a 10-year cost of $474 million. This proposal would provide consistent, stable funding for continued operation of the PSHB eligibility and enrollment system and potential expansion to FEHB.

• MedPage Today lets us know,
  • “Providing nutritious meals to vulnerable populations can save lives and curb healthcare costs, experts said during a hearingopens in a new tab or window of the Senate Health, Education, Labor, and Pensions (HELP) Subcommittee on Primary Health and Retirement Security on Tuesday.”Providing nutritious meals to vulnerable populations can save lives and curb healthcare costs, experts said during a hearingopens in a new tab or window of the Senate Health, Education, Labor, and Pensions (HELP) Subcommittee on Primary Health and Retirement Security on Tuesday.
  • “Poor nutrition is the top cause of death and disability in the United States … causing more harm than tobacco use, alcohol, physical inactivity, and air pollution,” said Dariush Mozaffarian, MD, DrPH, director of the Food is Medicine Institute at Tufts University in Boston.
  • “What that means, in reality, is that the inability to access healthy food is “literally lethal,” Mozaffarian said. And while thousands of Americans know their diets are making them sick, many feel powerless to fix the problem.
  • “Witnesses argued that food is medicine, which is why produce prescriptions, medically tailored meals, and counseling programs have been shown to substantially benefit patients with diabetes, depression, pain, and other chronic issues.'”

• Health Affairs Forefront brings us up to date on No Surprises Act developments. Of note,
  • “On April 23, 2024, the Administration released a status update on implementation of the [Advanced Explanation of Benefits] AEOB requirement. The update included a summary of a September 2022 Request for Information (RFI), through which the Administration had sought recommendations on how to exchange data between payers and providers. The Administration received feedback on patient privacy concerns, how surprise billing protections should be represented in the AEOB, exemptions for small and rural providers, and support for underserved and marginalized populations. Most comments also advocated the testing of data standards in real-world settings prior to a national rollout of standards for the data exchange. 
  • “In addition to the RFI, HHS explained that it had studied the needs and capabilities of providers, payers, and third-party vendors such as electronic health records vendors, clearinghouses, and standards development organizations. HHS investigated different kinds of providers and payers to understand existing claims processes, communications channels, and potential financial and operational constraints. Digital service researchers recommended that the Administration propose a single data exchange standard for the receipt of [Good Faith Estimates] GFEs by payers and the transmission of AEOBs from payers to patients to implement those provisions efficiently. * * *
  • “Lastly, the Administration reported that it is “exploring opportunities to promote real-world testing of the implementation guide” being developed by a cost transparency workgroup. HHS emphasized the importance of working with industry partners “to implement an efficient process for creating meaningful protections for patients from unexpected medical bills.”

From the public health and medical research front,

• MedPage Today tells us,
  • “A Michigan farmworker has been diagnosed with bird flu — the second human case associated with an outbreak in U.S. dairy cows.
  • “The patient had mild symptoms, Michigan health officials said in announcing the case Wednesday. The person had been in contact with cows presumed to be infected, and the risk to the public remains low, officials said.
  • “In a statement, the CDC noted that an initial nasal swab turned up negative for influenza, but an eye swab sent to the agency tested positive for influenza A(H5) virus. Similar to the other U.S. case reported earlier this year [in Texas], the Michigan patient only had eye symptoms.”

• The Hill reports,
  • “HIV infections in men decreased by an estimated 12 percent in 2022 compared to 2018, according to the latest data from the Centers for Disease Control and Prevention (CDC), with the largest notable decline observed among the youngest age group.
  • “The data published in the CDC’s HIV Surveillance Supplemental Report found there was a 12 percent decrease in HIV incidence between 2018 and 2022 among boys and men aged 13 and older. Among those between the ages of 13 and 24, the drop was 30 percent. * * *
  • “HIV+Hepatitis Policy Institute lamented that while rates of new cases are dropping, they still remain high. The organization noted this current pace keeps the U.S. from reaching its goal of ending the HIV epidemic by 2030 and called for increased investment into this endeavor.”

• The American Hospital Association News reports,
  • “The AHA May 22 released a new infographic and blog highlighting how increasing drug prices and shortages are jeopardizing patient access to hospital care and exacerbating challenges hospitals are experiencing. The documents show that in 2023 drug companies continued to introduce new drugs at record prices while existing drug prices skyrocketed and consistently outpaced general inflation. The median annual price for new drugs was $300,000, an increase of 35% from the prior year. In addition, the documents highlight how drug shortages were the highest in a decade, and managing drug shortages adds as much as 20% to hospitals’ drug expenses. 
  • “Though the problem of high drug prices is not a new issue for hospitals and health systems, the rate at which drug prices are increasing combined with the problem of drug shortages is becoming unsustainable for the field and having a direct impact on patient outcomes,” the blog notes. “Higher drug prices and increasing drug shortages mean more costs for hospitals and health systems to bear, further stretching their limited resources and ultimately jeopardizing patients’ access to needed care.”

• The New York Times points out “Despite Setback, Neuralink’s First Brain-Implant Patient Stays Upbeat; Elon Musk’s first human experiment with a computerized brain device developed significant flaws, but the subject, who is paralyzed, has few regrets.”

• Here’s a link to the National Cancer Institute’s latest Cancer Information Highlights.

• Per MedTech Dive,
  • “Boston Scientific’s modular cardiac rhythm management system met pre-specified safety and efficacy endpoints in a pivotal clinical trial, the company said Saturday at the Heart Rhythm Society annual meeting.
  • “The company designed the system, which consists of an implantable defibrillator and leadless pacemaker, for people who are at risk of sudden cardiac death from ventricular arrhythmias that existing subcutaneous implantable cardioverter-defibrillators (ICDs) are unable to treat.
  • “J.P. Morgan analysts said Boston Scientific reported “good results” and “solid” safety data, with the trial beating the performance goals for communication success and pacing thresholds.”

From the U.S. healthcare business front,

• Per Biopharma Dive
  • “Biogen is scooping up a closely held immunology startup to bring more diversity to a pipeline best known for neurology products.
  • “Per deal terms, Biogen will pay $1.15 billion in cash up front to acquire Human Immunology Biosciences, or HI-Bio, and as much as $650 million more if the startup’s lead drug achieves certain milestones. The medicine, felzartamab, has completed Phase 2 trials for two kidney conditions, with a third study ongoing.
  • “The acquisition won’t affect Biogen’s 2024 financial guidance, the company said Wednesday. It plans to finance the purchase with cash and possibly draw on a revolving credit agreement. Biogen expects the transaction to close in the third quarter.”
• and
  • “Pfizer, already in the midst of an aggressive effort to trim spending, on Wednesday disclosed new plans to cut at least $1.5 billion in additional costs over the next several years. 
  • “The program is meant to reduce what Pfizer spends on producing its medicines and will include “operational efficiencies, network structure changes and product portfolio enhancements,” the company said in a securities filing. 
  • “Given the complexity in manufacturing and longer lead times required to make changes, this program will be a multi-phased effort,” Pfizer added. The $1.5 billion target, which Pfizer expects to be realized by the end of 2027, is associated with the program’s first phase.”

• Beckers Payer Issues lists seven providers being acquired by payers in 2024.

• Fierce Healthcare informs us,
  • “Mayo Clinic is partnering with Zipline to provide drone delivery service for medications and supplies directly to patients’ homes as part of its advanced hospital-at-home program.
  • “The health system will integrate Zipline’s Platform 2 drone system into its campuses in Jacksonville, Florida, and Rochester, Minnesota. Mayo Clinic will use Zipline’s zero-emission, autonomous drones for quick deliveries, the organizations announced Wednesday.
  • “Through the drone service, if a caregiver notices a need for an acute medical intervention, Zipline can deliver medications and supplies from the hospital to a person’s home within minutes.
  • “Mayo Clinic’s Advanced Care at Home model has since seen 2,600 patients to date.”