FEHBlog

Monday Roundup

David Ermer–CDC, Congress, COVID-19, FDA, Federal employment benefits, Medical / Rx research, Medicare, Telehealth, U.S. Healthcare–
Photo by Sven Read on Unsplash

From Washington, DC,

  • Per a Congressional press release,
    • “Today, House Budget Committee Chairman Jodey Arrington (R-TX) and Senate Budget Committee Ranking Member Chuck Grassley (R-IA) spearheaded a letter to Congressional Budget Office (CBO) Director Phillip Swagel asking the CBO to analyze a new Medicare Part D Premium Stabilization Demonstration program that invites an unchecked taxpayer-funded bailout to paper over the flaws in the Inflation Reduction Act (IRA). 
    • Chairman Arrington and Ranking Member Grassley were joined by Senate Finance Committee Ranking Member Mike Crapo (R-ID), House Energy and Commerce Committee Chair Cathy McMorris Rodgers (R-WA), and House Ways and Means Committee Chairman Jason Smith (R-MO).
  • Kevin Moss, now writing in Federal News Network, provides advice on whether to pay an IRMAA tax to obtain Medicare Part B coverage when you are retired with FEHB coverage. He notes that “The only question is whether you expect to be at this high IRMAA level throughout retirement.” The IRMAA tax, which for 2024 is based on your 2022 adjusted gross income, can disappear following retirement. In contrast, the hefty Medicare Part B late enrollment penalty is forever. Planning is important.
  • STAT News reports,
    • Covid caught the world flat-footed. No antiviral drugs were immediately available, and nearly two years would pass and over 800,000 Americans would die before the first pill, Paxlovid, was authorized. The Biden administration was determined not to be caught off guard again. In June 2021, it announced the Antiviral Program for Pandemics, or APP, for which $3.2 billion was to be spread across several government divisions and dozens of academic labs.  * * *
    • “That structure, STAT has learned, was never built. Just five months after the APP was announced, Omicron broke out, sending a seemingly waning pandemic into overdrive. When Congress refused to appropriate more funds to purchase variant-specific vaccines, the White House diverted money from the APP.”
    • The article goes onto to explain in depth why the APP is fizzling out.
  • Per an HHS press release,
    • “The Biden-Harris Administration today continued its historic investment in health care coverage and the Affordable Care Act (ACA) by awarding a new round of $100 million to organizations vital to helping underserved communities, consumers, and small businesses find and enroll in quality, affordable health coverage through HealthCare.gov, the Health Insurance Marketplace®. The Centers for Medicare & Medicaid Services (CMS) is awarding the grants, in advance of this year’s Marketplace Open Enrollment (which begins November 1, 2024) to 44 Navigator grantees in states using HealthCare.gov. The grants are part of a commitment of up to $500 million over five years – the longest grant period and financial commitment to date, and a critical boost for recruiting trusted local organizations to better connect with those who often face barriers to obtaining health care coverage.”
    • That’s a lot of boxes of ziti as they would say on the Sopranos.
  • Per MedTech Dive,
    • “Insulet received Food and Drug Administration clearance on Monday for its newest insulin pump to be used by people with Type 2 diabetes.
    • “The regulatory decision will bring to market the first automated insulin delivery (AID) system, also known as an “artificial pancreas,” for both Type 1 and Type 2 patients. By pairing Insulet’s Omnipod 5 pump with a continuous glucose monitor, the device will automatically adjust insulin delivery based on a person’s blood glucose levels. 
    • “Insulet’s new indication comes as other diabetes device makers target the Type 2 market. Tandem Diabetes Care is running a randomized controlled trial of its Control IQ AID system in people with Type 2 diabetes, which could lead to an expanded indication for its t:slim X2 and Mobi pumps. Meanwhile, Medtronic struck a partnership with Abbott to make a sensor that would pair with Medtronic’s insulin pumps, with the goal of expanding access to its AID algorithms.” 

From the public health and medical research front,

  • The Wall Street Journal reports,
    • “Among Covid’s superlatives is the blow it dealt to people’s career plans en masse. 
    • “Never before have so many Americans redrawn their relationships with work as a result of one public-health crisis. More than four years after the pandemic began, some are still reckoning with how to balance their livelihoods and life with long Covid, the chronic condition doctors are still trying to understand. People at the height of careers in finance, technology and healthcare are operating without clarity on when, or if, they can resume the paths they once laid out.
    • “Covid just kicked me off the train while it was still moving,” said Amie Pascal, 47, who spent years climbing the ladder at a digital-marketing agency in Oregon before getting long Covid.
    • “Long Covid has pushed around one million Americans out of the labor force, economists estimate. More than 5% of adults in the U.S. have long Covid, and it is most prevalent among Americans in their prime working years. About 3.6 million people reported significantly modifying their activities because of the illness in a recent survey by the Centers for Disease Control and Prevention.”
  • KFF offers expert observations on the newly approved Covid booster, while MedPage Today tells us that COVID Vaccine Myocarditis stays mild with a good prognosis over a year later as the evolution of postvaccine myocarditis was tracked for 18 months in a cohort study.
  • The Washington Post alerts us,
    • “A rare but deadly disease spread by mosquitoes has nearly a dozen Massachusetts communities on alert, prompting some towns to close parks after dusk, restrict outdoor activities and reschedule public events.
    • “Massachusetts health officials this month confirmed the state’s first human case of the eastern equine encephalitis virus this year — a man in his 80s exposed in Worcester County, west of Boston. Ten communities are now designated at high or critical risk for the virus, health officials said Saturday. Plymouth, about 40 miles south of Boston, closed all public parks and fields from dusk until dawn, when mosquitoes are most active. Nearby, Oxford banned all outdoor activities on town property after 6 p.m.
    • “We have not seen an outbreak of EEE for four years in Massachusetts,” Robbie Goldstein, the state’s department of public health commissioner, said in a statement. “We need to use all our available tools to reduce risk and protect our communities. We are asking everyone to do their part.” * * *
    • “Residents are urged to use mosquito repellents, drain standing water around their homes, wear clothing that covers skin, and reschedule outdoor activities to avoid the hours between dusk and dawn.”
  • STAT News points out,
    • “The U.N. health agency on Monday launched a six-month plan to help stanch outbreaks of mpox transmission, including ramping up staffing in affected countries and boosting surveillance, prevention and response strategies.
    • “The World Health Organization said it expects the plan from September through February next year will require $135 million in funding and aims to improve fair access to vaccines, notably in African countries hardest hit by the outbreak.
  • MedTech Dive adds,
    • “Roche said it is working with partners to increase laboratory capacity for mpox testing worldwide.
    • “The push to support diagnosis of mpox comes days after the World Health Organization declared an outbreak of the viral disease a public health emergency of international concern. 
    • “A new strain of mpox is spreading rapidly in parts of the Democratic Republic of the Congo (DRC), the WHO said in a statement, and a coordinated international response is needed to stop outbreaks.”
  • The Washington Post notes,
    • “For years, Amanda Smith and her husband were jolted awake at night by a buzz-buzz-beep — an alarm warning that her blood sugar was too high or too low. She would reach for juice boxes stored in her nightstand or fiddle with her pump to release a bolus of insulin.
    • “Smith, a 35-year-old nurse from London, Ontario, has Type 1 diabetes, which wipes out critical islet cells within the pancreas that produce insulin. Without them, Smith relied on vials of insulin from a pharmacy and constant vigilance to stay alive. “You have to pay attention to your diabetes, or you die.”
    • “On Valentine’s Day 2023, doctors transplanted replacement islet cells, grown in a lab from embryonic stem cells, into a blood vessel that feeds Smith’s liver. By August, she no longer needed insulin. Her new cells were churning it out.
    • “I just feel normal again,” Smith said. “You didn’t realize how much of your life it took up — until it’s taking up none, now.”
    • “Smith is at the forefront of a medical experiment that seeks to treat the root cause of diabetes by replacing the cells the disease destroys. It’s a key step forward in the long quest to develop a cure for diabetes and a front-runner to finally deliver the sci-fi promise that has enveloped the stem cell field for more than two decades.”

From the U.S. healthcare business front,

  • Per Fierce Healthcare,
    • “McKesson plans to grow its oncology platform by investing nearly $2.5 billion into a community oncology clinic operator’s business and administrative services arm.
    • “Announced Monday, the deal sees Irving, Texas-based McKesson picking up a 70% stake in Community Oncology Revitalization Enterprise Ventures (Core Ventures), which was launched earlier this year by Florida Cancer Specialists & Research Institute (FCS).
    • “The Fort Myers, Florida-based institute is a group practice of over 250 physicians, 280 advanced practice providers and almost 100 Florida locations that will remain independent following the deal’s close. Its physician owners will retain their minority interest in Core Ventures.
    • “Pending closing conditions and regulatory clearances, Core Ventures would become part of McKesson’s oncology platform.”
  • Per FiercePharma,
    • “When CVS Caremark removed AbbVie’s Humira from its national commercial formularies back in April, biosimilar prescriptions picked up at a whirlwind pace. Now, Cigna’s Express Scripts is following suit in a move that could further chip away at Humira’s market share.
    • “Express Scripts, which is Cigna’s pharmacy benefit unit, is removing branded Humira from its largest commercial formularies come 2025 in favor of biosimilar options from Teva, Sandoz and Boehringer Ingelheim.
    • “We’ve been thoughtful in developing a comprehensive approach that considers not just the formulary placement of biosimilars, but also each product’s clinical efficacy, interchangeability, available supply, dose, and concentration that will provide a seamless patient experience with these more affordable products,” Express Scripts president Adam Kautzner said in a release, adding that the company is “prepared to embrace the savings biosimilars offer.”
  • STAT News discusses the impending launch of the over-the-counter glucose monitors.
    • “By the end of the summer, both Dexcom and Abbott will begin selling CGMs over the counter, without a prescription. Dexcom will start selling its CGM, called Stelo, on Monday. Abbott previously said it planned to release its version, called Lingo, before the end of the summer. The company told STAT it plans to launch and provide pricing details “soon.”
    • “The devices are being targeted at a huge swath of potential users: The nearly 100 million Americans with prediabetes (including the majority who don’t know it), people with type 2 diabetes who don’t use insulin, and even healthy people who want to keep an eye on their blood sugar levels. It’s a giant market for Abbott and Dexcom to tackle, and one especially welcomed by Dexcom, as it recently lowered sales guidance for its prescription CGMs. The companies are also betting that the frenzy over new weight loss drugs, GLP-1s, might generate more consumer interest in tracking glucose. 
    • “But the overall impact of the devices will depend a lot on how both clinicians and consumers decide to use them. “You’re looking at questions like affordability, how often patients are going to use this, whether they’re actually going to change their behavior and keep using it,” said Marie Thibault, a medical technology and digital health analyst at finance firm BTIG.” 
  • The Society for Human Resource Management relates,
    • “Despite the importance of open enrollment, employees aren’t exactly thrilled about reviewing forms for health insurance and other benefits every fall.
    • “Nearly 7 in 10 benefits-eligible employees (67%) spend just 30 minutes or less reviewing their options during open enrollment, while 42% spend 20 minutes or less, according to a 2023 Voya Financial survey. And the overwhelming majority of employees (roughly 90%) choose the same options as they did the previous year, a report by insurance firm Aflac found.
    • “Choosing benefits is “extremely overwhelming for people,” said Christin Kuretich, vice president of supplemental products at Voya, a New York City-based financial and insurance firm. “It’s not something that people generally want to think about or take the time to focus on.” * * *
    • “It’s not that employees don’t care about benefits—they mostly feel overwhelmed, confused, and now cost-conscious, industry experts said. That’s where employers come in, as many have been falling short with their important task of communication.
    • “Educating employees on the importance of open enrollment is always a challenge,” said Jess Gillespie, head of product and underwriting at Prudential Group Insurance. “HR departments can be stretched thin and will sometimes lack the time and resources to communicate about all workplace benefits available, let alone noncore products such as supplemental health.”
    • “In short, Gillespie said, employers “need to ensure employees see the value” of benefits.”

Weekend Update

David Ermer–Congress, COVID-19, FDA, Medical / Rx research, Mental health care, Patient safety, U.S. Healthcare–

From Washington, DC

  • The House of Representatives and the Senate remain on their District / State work breaks until September 9.
  • ABC News reports,
    • “The federal government will restart its free at-home COVID tests program in September as officials prepare the country for the upcoming respiratory virus season.
    • “Dawn O’Connell, assistant secretary for preparedness and response at the Department of Health and Human Services, said Friday that this is the seventh time the Biden-Harris administration has allowed Americans to order over-the-counter tests at no charge.
    • “It’s not clear when the website, COVID.gov/tests, will come back online. The website stopped accepting orders in early March.”
  • Cardiovascular Business lets us know,
    • “The U.S. Food and Drug Administration (FDA) has announced that Inari Medical is recalling its ClotTriever XL catheter for large blood vessels. 
    • “The news comes after the FDA received several reports of “serious adverse events” due to the device becoming entrapped or blocking arteries in the patient’s lungs. Six deaths and four other patient injuries have been associated with the issue so far. 
    • “The ClotTriever XL catheter, like Inari Medical’s other ClotTriever devices, was designed to treat deep vein thrombosis. Marketed as “a large device for the largest vein,” it was built specifically to target issues found in the vena cava.” 

From the public health and medical research front,

  • MedPage Today offers a series of interviews with public health experts on the measles, bird flu, and Covid.
  • McKinsey and Company share a string of insightful articles on closing the women’s health gap.
    • “In the quest for women’s equality, the health gap is a major player. Women live longer than men, but they spend 25 percent more of that time in poor health. This gap boils down to disparities in efficacy, data, and care delivery, say McKinsey’s Anouk Petersen, Lucy Pérez, and coauthors. 
    • “Closing this gap could add up to seven more healthy days of life per year, per woman. The key? Recognizing that women’s health is not just a scaled-down version of men’s health but is biologically distinct. Change can begin by tackling specific diseases and conditions at a country or regional level.
    • “Ahead of Women’s Equality Day [tomorrow] August 26, explore these insights to understand the widespread benefits of closing the chasm.”
  • Per Medscape,
    • “Patients with dementia may instead have hepatic encephalopathy (HE) and should be screened with the Fibrosis-4 (FIB-4) index for cirrhosis, one of the main causes of the condition, new research suggests.
    • “The study of more than 68,000 individuals in the general population diagnosed with dementia between 2009 and 2019 found that almost 13% had FIB-4 scores indicative of cirrhosis and potential HE.
    • “The findings, recently published online in The American Journal of Medicine, corroborate and extend the researchers’ previous work, which showed that about 10% of US veterans with a dementia diagnosis may in fact have HE.
    • “We need to increase awareness that cirrhosis and related brain complications are common, silent, but treatable when found,” corresponding author Jasmohan Bajaj, MD, of Virginia Commonwealth University and Richmond VA Medical Center, Richmond, Virginia, told Medscape Medical News. “Moreover, these are being increasingly diagnosed in older individuals.”
    • “Cirrhosis can also predispose patients to liver cancer and other complications, so diagnosing it in all patients is important, regardless of the HE-dementia connection,” he said.”
  • and
    • “When doctors and patients consider the appendix, it’s often with urgency. In cases of appendicitis, the clock could be ticking down to a life-threatening burst. Thus, despite recent research suggesting antibiotics could be an alternative therapy, appendectomy remains standard for uncomplicated appendicitis.
    • “But what if removing the appendix could raise the risk for gastrointestinal (GI) diseases like irritable bowel syndrome and colorectal cancer? That’s what some emerging science suggests. And though the research is early and mixed, it’s enough to give some health professionals pause .
    • “If there’s no reason to remove the appendix, then it’s better to have one,” said Heather Smith, PhD, a comparative anatomist at Midwestern University, Glendale, Arizona. Preemptive removal is not supported by the evidence, she said.”

Cybersecurity Saturday

David Ermer–Cybersecurity–

From the cybersecurity policy front,

  • Fedscoop lets us know,
    • “Five of the country’s leading software and tech advocacy organizations are urging Senate and House leadership to pass bipartisan, bicameral legislation aimed at improving federal agency oversight and management of software purchases before this congressional term comes to a close.
    • “In a letter sent Wednesday [August 21] and shared exclusively with FedScoop, the tech groups urged Senate Majority Leader Chuck Schumer, D-N.Y., Minority Leader Mitch McConnell, R-Ky., House Speaker Mike Johnson, R-La., and Minority Leader Hakeem Jeffries, D-N.Y., to take action on the Strengthening Agency Management and Oversight of Software Assets Act by the end of this session, referring to the bill to bolster transparency and communication in IT spending across federal agencies as “must-pass legislation.”
  • and
    • “The National Institute of Standards and Technology is again seeking comment on draft guidance for digital identities following updates responsive to the first round of public comments.
    • “A second version of the draft guidance, posted Wednesday [August 21], provides additional detail for passkeys — or syncable authenticators — and digital wallets after commenters on the first draft asked for those areas to be expanded, according to a release from the agency. The new draft also adds to guidance on more traditional identification methods.
    • “The draft guidelines and corresponding companion publications are aimed at providing direction to ensure various methods that people use to prove who they are when accessing government services — such as digital wallets, passkeys, and physical ID cards — stay secure, private and accessible, according to the release.”
    • The public comment deadline is October 7, 2024.
  • ArsTechnica reports,
    • “Dr. Emmanouil “Manos” Antonakakis runs a Georgia Tech cybersecurity lab and has attracted millions of dollars in the last few years from the US government for Department of Defense research projects like “Rhamnousia: Attributing Cyber Actors Through Tensor Decomposition and Novel Data Acquisition.”
    • “The government yesterday [August 22] sued Georgia Tech in federal court, singling out Antonakakis and claiming that neither he nor Georgia Tech followed basic (and required) security protocols for years, knew they were not in compliance with such protocols, and then submitted invoices for their DoD projects anyway. (Read the complaint.) The government claims this is fraud under the federal False Claims Act.
      • At bottom, DoD paid for military technology that Defendants stored in an environment that was not secure from unauthorized disclosure, and Defendants failed to even monitor for breaches so that they and DoD could be alerted if information was compromised. What DoD received for its funds was of diminished or no value, not the benefit of its bargain.
    • The Justice Department intervened in a qui tam action.

From the cyber vulnerabilities and breaches front,

  • Per Security Week,
    • “SolarWinds on Wednesday announced a second hotfix for an exploited Web Help Desk vulnerability, which also removes hardcoded credentials introduced in the first hotfix.
    • “The enterprise software maker warns that the hardcoded credential blunder, which was assigned CVE-2024-28987, with a CVSS score of 9.1, could allow a “remote unauthenticated user to access internal functionality and modify data”.
    • ‘Released for Web Help Desk 12.8.3.1813 or 12.8.3 HF1, the new hotfix not only removes the inadvertently leaked secrets, but also adds more patterns to fix an SSO issue and resolves the critical-severity remote code execution (RCE) bug that the initial hotfix was meant to address.
    • “This hotfix addresses the SolarWinds Web Help Desk broken access control remote code execution vulnerability fixed in WHD 12.8.3 Hotfix 1, as well as fixing the SolarWinds Web Help Desk hardcoded credential vulnerability, and restoring the affected product functionality found in WHD 12.8.3 Hotfix 1,” the company notes in its advisory.”
  • Bleeping Computer tells us,
    • “Halliburton, one of the world’s largest providers of services to the energy industry, has confirmed a cyberattack that forced it to shut down some of its systems earlier this week.
    • “On August 21, 2024, Halliburton Company (the “Company”) became aware that an unauthorized third party gained access to certain of its systems,” the oil services giant said in a filing with the U.S. Securities and Exchange Commission (SEC).
    • “When the Company learned of the issue, the Company activated its cybersecurity response plan and launched an investigation internally with the support of external advisors to assess and remediate the unauthorized activity.
    • “The company added that the incident (first reported by Reuters on Wednesday [August 21]) based on information provided by anonymous sources) prompted it to shut down some systems to contain the breach.
    • Halliburton also reported the breach to relevant law enforcement agencies, and its IT experts are now working on restoring affected devices and assessing the attack’s impact.”
  • and
    • A stealthy Linux malware named ‘sedexp’ has been evading detection since 2022 by using a persistence technique not yet included in the MITRE ATT&CK framework.
    • The malware was discovered by risk management firm Stroz Friedberg, an Aon Insurance company, and enables its operators to create reverse shells for remote access and to further the the attack.
    • “At the time of this writing, the persistence technique used (udev rules) is not documented by MITRE ATT&CK,” the researchers note, highlighting that sedexp is an advanced threat that hides in plain sight.

From the ransomware front,

  • The Wall Street Journal reports,
    • “A cyberattack on the city administration of North Miami, Fla., this month took down public services and is now serving as an early test of policies that outlaw ransom payments.
    • “Hackers attacked the small city north of Miami on Aug. 4, leading officials to close City Hall and police officers to use old-fashioned radio communication instead of newer digital systems. Two weeks later, some services are still down, said Scott Galvin, a city councilman.
    • “Galvin said hackers demanded the city pay a ransom of several million dollars. Attorneys quickly informed lawmakers and city officials that was out of the question because of a 2022 ban on ransom payments from government entities enacted by the state legislature, he said.” * * *
    • “In a survey of 5,000 IT professionals published last week by cybersecurity firm Sophos, 34% of those working in state and local governments said they were hit with a ransomware attack this year, down from 69% in 2023. Among the state and local governments that were hacked, 54% said they paid a ransom to retrieve encrypted data this year, compared with 34% last year.
    • “Legal bans on ransom payments could eventually dissuade hackers, said J. Michael Daniel, president and chief executive of the Cyber Threat Alliance, a nonprofit that shares information about hacks among cybersecurity companies.”
    • “Bans that are too rigid can have negative effects, said Jordan Rae Kelly, senior managing director at FTI Consulting. If a blanket ban on ransom payments is in place, hackers might turn to more extreme methods, like shutting down critical hospital services to force victims to pay, she said.
    • “The risk of these bans being escalatory is what I worry about,” she said.”

From the cyber defenses front,

  • Per Cybersecurity Dive,
    • “The FBI, Cybersecurity and Infrastructure Security Agency — along with international partners led by Australia — advised network defenders to adopt event logging policies. Event logs are critical to help organizations defend against the rising use of living-off-the-land techniques designed to conceal threat activity using ordinary security tools, the agencies said Wednesday. 
    • “The group of more than a dozen agencies released a guide on event logging and threat detection practices that can pinpoint a growing number of sophisticated attacks via privately-owned routers or other tools threat groups use to launch attacks that cannot be detected by normal endpoint protection. 
    • “Living-off-the-land techniques have been employed by sophisticated state-linked hackers like Volt Typhoon and ransomware groups like Medusa to mask their presence inside network computing environments and move undetected for long periods of time.”
  • and
    • “Companies with cyber insurance coverage are reducing risk and are more likely to detect, respond and recover from data breaches and malicious attacks, compared to organizations without coverage, according to two reports released this week.
    • “An At-Bay commissioned survey conducted by Omdia shows cyber insurance is helping to drive proactive security measures, mitigation strategies and targeted spending. More than 7 in 10 respondents said they view cyber coverage as important or critical to their company and reported increased spending on proactive security solutions over the past 12 months.
    • “A separate report from Forrester showed 1 in 4 global companies with standalone cyber insurance coverage were able to detect and respond to incidents in seven days or less, compared with 19% of businesses with no coverage or 18% with cyber coverage bundled into another policy.”
  • A Dark Reading commentator advises cybersecurity experts pay attention to software that is reaching the end-of-life status.
    • “Looking ahead, managing long-term risk around end-of-life software or assets has to go hand in hand with planning migrations. The results have to demonstrate business value, so that there is a business case for making the changes. Starting earlier and getting collaborative with business application owners can deliver on both counts.”
  • HHS’s Office for Civil Rights issued an August 2024 Cybersecurity Newsletter concerning “HIPAA Security Rule Facility Access Controls – What are they and how do you implement them?”

Friday Factoids

David Ermer–AHRQ, CDC, COVID-19, Federal employment benefits, Medical / Rx research, Obesity, OPM, U.S. Healthcare–

From Washington, DC

  • Fedweek posted an August update on implementation of the Postal Service Health Benefits Program (“PSHBP”).
    • “At least one major insurance carrier, FEP Blue Cross Blue Shield, has already sent letters to current participants letting them know that a plan similar to their current plan has been conditionally approved and stating that they’ll share more details on the PSHB benefits and premiums “later this year, in time for Open Season”
    • “The USPS reports new plan details will be available as of September 15, and will be sent out via hard mail in the weeks that follow.
    • “The USPS says that participants will receive a “crosswalk letter” in late October showing the new plan into which the USPS intends to enroll them. If you agree, there’s nothing to do: you’ll be enrolled in that plan.”
  • The FEHB enrollees who may be in for a surprise are those who currently participate in an FEHB plan that is not participating in the PSHBP. In October, OPM will enroll those folks in the lowest cost nationwide plan option that is not a high deductible plan or charge associate member dues. Those folks will have an opportunity to change plans during the regular federal benefits open season. The FEHBlog expects that the PSHBP navigators will be lending a helping hand to those folks, particularly those eligible for Medicare.
  • The Postal Times reminds us,
    • “If you were an annuitant entitled to Medicare Part A (typically at age 65) as of Jan. 1, 2024, and did not enroll in Medicare Part B, you and your covered eligible family members may be able to participate in a one-time PSHB Special Enrollment Period (SEP) for Medicare Part B from April 1 through Sept. 30, 2024. Those who choose to enroll during the SEP will have the late enrollment penalty paid for by the Postal Service. Eligibility letters were sent to annuitants and eligible family members in March 2024. If you have misplaced the notification letter mailed to you or believe that you are eligible to participate in the PSHB SEP and did not receive a notification letter, call the PSHB Navigator toll-free help line at 833-712-PSHB (7742) or email retirementbenefits@usps.gov.”
  • Speaking of the Postal Service, Federal News Network lets us know,
    • “The Postal Service is planning to roll out several changes next year to drive down its operating costs and ensure more reliable service to most of its customers.
    • “USPS says the next step of its network modernization plan, which will happen next year, is to get mail and packages to their destination in fewer trips between mail processing plants and post offices.
    • “The agency expects these adjustments will not only help it squeeze $3 billion of annual overhead costs out of its operations, but enable faster delivery of mail and packages to customers within 50 miles of the agency’s largest regional mail processing plants.
    • “For customers outside that 50-mile radius, however, USPS, anticipates ”some mail and packages will experience a longer service standard,”  according to a filing submitted to its regulator on Thursday. 
    • “In those cases, mail and packages in those more rural areas will remain in transit for about a day longer before reaching their final destination.
    • “USPS, however, told the Postal Regulatory Commission that these changes will have a “net positive impact” on service for first-class mail, packages and marketing mail, and will be delivered “at the same level of service or faster,” for most customers.”
  • The American Hospital News expresses distress because
    • Johnson & Johnson announced Aug. 23 that it would be fundamentally changing the way it makes 340B pricing available for two of its most popular products, Stelara and Xarelto. Starting Oct. 15, J&J will require all disproportionate share hospitals participating in the 340B Drug Pricing Program to purchase these drugs at full price and submit data to J&J. Upon verification of the drug’s 340B status, DSHs would receive a rebate for the discounted 340B price.
    • Last week, the AHA contacted the Health Resources and Services Administration for more information as soon as it was made aware that J&J was considering these actions. HRSA notified the AHA today that it has informed J&J that its rebate model is inconsistent with the 340B statute and that this model has not been approved by the Secretary of the Department of Health and Human Services. HRSA further informed the AHA that it has told J&J that HRSA will take appropriate action as warranted.

From the public health and medical research front,

  • The Centers for Disease Control and Prevention (“CDC”) announced today,
    • “Seasonal influenza and RSV activity are low nationally, but COVID-19 activity is elevated in many areas. * * * “Nationally, the wastewater viral activity level for COVID-19 is currently very high.“
    • “COVID-19
      • Many areas of the country are continuing to experience increases in COVID-19 activity, though other areas are experiencing declines in COVID-19 activity following increases this summer. COVID-19 test positivity, emergency department visits, and rates of COVID-19–associated hospitalizations remain elevated, particularly among adults 65+ and children under 2 years. Surges like this are known to occur throughout the year, including during the summer months. There are many effective tools to prevent spreading COVID-19 or becoming seriously ill.
    • “Influenza
    • RSV
      • “Nationally, RSV activity remains low.
    • Vaccination
  • The University of Minnesota’s CIDRAP adds,
    • “High-dose (HD) and adjuvanted influenza vaccines offered the best protection for people aged 65 years and older against symptoms and hospitalization during the 2022-23 flu season, concludes a real-world study published this week in Clinical Infectious Diseases.
    • “High-dose flu vaccines contain four times the standard dose (SD), while adjuvanted vaccines contain an extra immune-boosting ingredient. In 2022, the US Centers for Disease Control and Prevention’s Advisory Committee on Immunization Practices recommended high-dose, adjuvanted, or recombinant (cell-based) vaccines over SD vaccines for older adults, who are at elevated risk for severe disease and flu-related hospitalization and death.”
  • The New York Times reports,
    • “After a years long lull thanks to Covid-19 precautions like isolation and distancing, whooping cough cases are now climbing back to levels seen before the pandemic, according to data from the Centers for Disease Control and Prevention.
    • “So far this year, there have been 10,865 cases of whooping cough, or pertussis, nationwide. That’s more than triple the number of cases documented by this time last year, and is also higher than what was seen at this time in 2019. Doctors say these estimates are most likely an undercount, as many people may not realize they have whooping cough and therefore are never tested.
    • “The pandemic delayed routine childhood vaccinations, including those that protect against whooping cough, and led to fewer pregnant women getting vaccinated. Those factors have likely contributed to the current uptick in cases, said Dr. William Schaffner, an infectious disease specialist at Vanderbilt University Medical Center. Pertussis cases tend to peak in the summer and fall, he said, and so it’s particularly critical to be aware of the disease now, as children head back to school and respiratory illnesses pick up.”
  • Bloomberg tells us,
    • “US teenagers aren’t getting vaccinated against HPV at the same pace as before the Covid pandemic, a trend that could imperil efforts to control a common cause of cervical and other cancers.
    • “Immunization rates have stagnated for kids aged 13 to 17 for the past two years, according to data that the Centers for Disease Control and Prevention published Thursday. Meanwhile, routine shots for diseases like tetanus and meningitis have returned to pre-pandemic levels, according to the CDC survey, which analyzed results from nearly 17,000 teenagers.
    • “The trend could cause alarm among public health officials. Each year, human papillomavirus causes more than 21,000 cases of cancer in women and about 16,000 in men. * * *
    • “This is the only vaccine I know of that prevents cancer,” said Sunil Sood, a pediatrician who specializes in infectious disease at Northwell Health in New York. “Putting it like that has been known to make a difference” to parents who might be resistant to having their children vaccinated, he said.”
  • Per MedCity News, “Side Effects are Limiting GLP-1 Drug Efficacy: How Can Personalization Offer a Solution? By integrating digitization and machine learning, there is an opportunity to deliver personalized care to all patients and scale precision dosing with minimal physician involvement, maximizing the effectiveness and accessibility of these drugs.”
    • “There is a clear and unique opportunity to apply dose optimization to GLP-1s to improve real-world persistence and adherence, supporting patients to continue treatment long enough to experience the full benefits, such as positive cardiovascular outcomes. We know clinicians are seeing the need for this and are already making necessary interventions but struggling still to find a scalable solution. Pairing drugs with proven digital solutions, within a single label, can facilitate personalization across the GLP-1 market, improving the effectiveness of these drugs and diminishing side effects. Not only can pharma leverage this approach to deliver best-in-class clinical and commercial outcomes, but it also promises to revolutionize disease management, enhancing patient safety and outcomes by tailoring treatment to individual needs, truly bringing precision care to all.”
  • Pulmonary Advisor notes, “About two-thirds of adults who smoked wanted to quit in 2022, although fewer than 10% were successful, according to study findings published in the Morbidity and Mortality Weekly Report.

From the U.S. healthcare business front,

  • EBRI offers an Issues Brief concerning “Trends in Self Insured Health Coverage; ERISA at 50.”
  • Per MedTech Dive,
    • “Stryker said Thursday it has agreed to acquire Vertos Medical, an Aliso Viejo, California-based company whose minimally invasive technology treats chronic lower back pain, for an undisclosed sum.
    • “The Vertos procedure, which can be performed in an outpatient setting, is designed to provide pain relief for patients with lumbar spinal stenosis by restoring space in the spinal canal and reducing nerve compression.
    • “This acquisition strengthens our minimally invasive pain management portfolio with differentiated treatments and expands our reach across ambulatory surgery centers,” Andy Pierce, head of Stryker’s medical and surgical equipment and neurotechnology business, said in a statement.”

Thursday Miscellany

David Ermer–Congress, COVID-19 vaccine, FDA, Medical / Rx research, OPM, Patient safety, U.S. Healthcare–
Photo by Josh Mills on Unsplash

From Washington, DC,

  • Govexec reports,
    • “Republican leaders on the House Homeland Security Committee want to know what the Biden administration is doing about Havana syndrome, mysterious brain injuries that became public in 2016 after State Department officials in Cuba’s capital city were affected. 
    • “We are deeply alarmed that these incidents continue to take place here and abroad, and that there has been little to no explanation from the administration as to who or what has caused these phenomena,” wrote full committee Chairman Mark E. Green, R-Tenn., and Counterterrorism, Law Enforcement and Intelligence Subcommittee Chairman August Pfluger, R-Texas, in a letter to National Security Advisor Jake Sullivan Tuesday. 
    • “The brain injuries, referred to as anomalous health incidents, include symptoms of headaches, pain, nausea, disequilibrium and hearing loss. Additional reports of similar symptoms later emerged from federal employees in other countries such as China, Russia, Vietnam, Colombia and various parts of Europe.
    • “Green and Pfluger, who have held numerous hearings and briefings on this matter, requested a committee briefing from the National Security Council. They also urged the administration to prioritize expending unused funds allocated to provide care for AHI victims and to fully implement the HAVANA Act, a 2021 law that authorizes payments to impacted intelligence, diplomatic and other governmental personnel.”  
  • Reuters informs us,
    • “The U.S. Navy has received more than 546,500 claims for compensation from people impacted by decades of contaminated water at Marine Corps Base Camp Lejeune in North Carolina, a new court filing shows, putting it squarely among the largest injury cases of all time.
    • “That number may fluctuate up or down by a few thousand, the government said in the filing, opens new tab. The U.S. Navy is reviewing additional claims received up to the Aug. 10 deadline and removing claims that are found to be duplicates.
    • “The number of administrative claims filed with the U.S. Navy – a step claimants must have taken by the Aug. 10 deadline to receive compensation for injuries they attribute to the water – surpasses the nearly 400,000 lawsuits filed over 3M Co’s military-issue earplugs, which is regarded as the largest multidistrict litigation in history.”
  • The Chair and Ranking Member of the House Education and Labor Committee sent a letter to the Assistant Secretary of Labor who handles ERISA matters. The letter asks the Assistant Secretary about the Department’s efforts to “address troubling practices of certain group health plan service providers.”
  • Federal News Network interviews Colleen Heller-Stein, the first career fed to lead the CHCO Council.

From the public health and medical research front,

  • Per a Food and Drug Administration press release,
    • “Today, the U.S. Food and Drug Administration approved and granted emergency use authorization (EUA) for updated mRNA COVID-19 vaccines (2024-2025 formula) to include a monovalent (single) component that corresponds to the Omicron variant KP.2 strain of SARS-CoV-2. The mRNA COVID-19 vaccines have been updated with this formula to more closely target currently circulating variants and provide better protection against serious consequences of COVID-19, including hospitalization and death. Today’s actions relate to updated mRNA COVID-19 vaccines manufactured by ModernaTX Inc. and Pfizer Inc.”
  • Beckers Hospital Review offers three notes on the FDA action.
  • The Wall Street Journal adds,
    • “The two shots [Pfizer and Moderna] will be available to anyone over 6 months of age, a move that comes as Covid hospitalizations continue to climb and remain higher than they were at this time last year, according to data from the Centers for Disease Control and Prevention. 
    • “Doctors say everyone who is eligible should get a shot. But older people who have skipped other recent vaccine updates should especially consider it. 
    • “I saw a lot of people in the hospital who got a lot of shots in the beginning of the pandemic and then didn’t get any shots for a year or two years,” said Dr. Peter Chin-Hong, a professor of medicine at University of California-San Francisco and an infectious-disease specialist. * * *
    • “Unless you’re very concerned about acquiring Covid right now, my recommendation would be to get it in September or October,” said Dr. William Schaffner, a professor of preventive medicine at the Vanderbilt University School of Medicine. “That will provide the best protection throughout the winter season.” 
    • “The CDC recommends people get one of the new vaccines by the end of October. Both will be available at local clinics and pharmacies.” 
  • The American Hospital Association News lets us know,
    • “The Food and Drug Administration Aug. 22 granted emergency use authorization for two new combined COVID-19 and influenza tests. The Nano-Check Influenza-COVID-19 Dual Test is authorized for use by laboratories to detect and differentiate influenza A and B and SARS-CoV-2 in nasal swab specimens. The Flowflex Plus COVID-19 and Flu A/B Home Test is authorized for home use for people aged two and older.” 
  • The American Medical Association lets us know what doctors wish their patients knew about pre-eclampsia.
  • MedPage Today suggests that “Europe Offers Clues for Solving America’s Maternal Mortality Crisis.”
  • The Brown and Brown consulting group makes an urgent call for employers worldwide to become more aware of the risk of suicide among their employees and engage in suicide prevention efforts.
  • Beckers Hospital Review shares patient safety goals at top rated U.S. hospitals.
  • Per HealthDay, “The overdose-reversing drug naloxone can help save the lives of people whose hearts have stopped due to an opioid OD, a new study shows.”
  • The Institute for Clinical and Economic Review’s “independent appraisal committee voted that current evidence is not adequate to demonstrate net health benefits for imetelstat added to best supportive care when compared to best supportive care alone; treatment [for the treatment of anemia in patients with low-to-intermediate risk myelodysplastic syndrome] would meet common thresholds of cost effectiveness if priced between $94,800 to $113,000 per year, therapy currently priced at approximately $365,000 per year.”

From the U.S. healthcare business front,

  • Modern Healthcare tells us,
    • A federal judge’s ruling this week that blocked the Federal Trade Commission’s near-total ban on noncompete clauses in employment contracts is creating more uncertainty for healthcare employers as they await the agency’s next move.
    • Federal regulators have cracked down on what they view as anticompetitive behavior in recent years, particularly in healthcare. The FTC’s nationwide noncompete ban will no longer take effect Sept. 4, but that doesn’t mean the issue is resolved.
    • Noncompete agreements are common in the healthcare industry. Many organizations, including hospitals, health systems, physician groups, insurance companies and pharmacy benefit managers, use the agreements in employment contracts to protect business interests and ensure competitors don’t obtain proprietary information.” * * *
    • “The FTC has said Tuesday’s ruling does not remove its authority to challenge noncompete bans on a case-by-case basis.”
    • “There’s not going to be any certainty on this for a while,” said Jason Weber, an employment attorney at law firm Polsinelli.” * * *
    • “Polsinelli’s Weber said companies should try to reduce confusion by educating employees on the ruling and emphasizing that noncompete obligations remain in effect.
    • Weber said employers also have a good opportunity to assess their existing agreements and reevaluate whether noncompete clauses are essential to protecting their businesses. For example, employers could use less-restrictive options such as non-solicitation covenants, he said.” 
  • Beckers Payer Issues lists,
    • “Several insurers [that] landed on Forbes’ annual ranking of the “Best Employers by State.” 
    • “The 2024 ranking, published Aug. 20, sorts 1,294 top employers in the U.S. by state. Forbes surveyed more than 160,000 employees at companies with more than 500 people. Respondents evaluated their current employers, employers they’d worked with in the past two years and organizations they knew through their industry. 
    • “Insurers appeared among the top employers in most states, except for Alaska, Delaware, Washington, D.C., Idaho, Maine, Mississippi, Montana, Oklahoma, Rhode Island, Vermont and Wyoming.” 
  • Medscape relates,
    • “Most physicians oppose the way standardized relative value units (RVUs) are used to determine performance and compensation, according to Medscape’s 2024 Physicians and RVUs Report. About 6 in 10 survey respondents were unhappy with how RVUs affected them financially, while 7 in “10 said RVUs were poor measures of productivity.
    • The report analyzed 2024 survey data from 1005 practicing physicians who earn RVUs.” * * *
    • “[O]ver half of clinicians said alternatives to the RVU system would be more effective, and 77% suggested including qualitative data.” 
  • Per Fierce Healthcare,
    • “A Thursday afternoon [bankruptcy] sale hearing scheduled for several Steward Health Care hospitals was shelved in favor of an amended bankruptcy court itinerary hashing out multiple disputes related to the company’s pending deals for hospitals in Florida and Pennsylvania.”  ***
    • “Though not the focus on Thursday’s hearing, Steward’s counsel also opened the hearing with quick updates on developments in Massachusetts and Ohio.
    • “For the former, Candace Arthur, who represents Steward, said that the company’s estate is “very close to the finish line and still fully engaged in mediation” regarding the deal announced last week.
    • “As for Ohio, where closure notices were issued yesterday for two Steward hospitals, Arthur described those filings as “a deadline thing.”

Midweek Update

David Ermer–CDC, Congress, COVID-19, Federal employment benefits, Medical / Rx research, Medicare, OPM, U.S. Healthcare–
Photo by Manasvita S on Unsplash

From Washington, DC,

  • Beckers Payer Issues explains how members of Congress receive their health benefit coverage. Of course, since 2014, the answer has been and remains the DC Affordable Care Act exchange. However, retired members of Congress often are eligible for federal pension which includes FEHB coverage with the full government contribution.
  • Federal News Network lets us know,
    • “The Office of Personnel Management is starting to see the light at the end of the tunnel on its never-ending journey to modernize its retirement systems.
    • “A pilot to test out a new online retirement application platform is showing promise with several federal payroll providers.
    • “Guy Cavallo, OPM’s chief information officer, said the pilot includes the Agriculture Department’s National Finance Center and several others to reduce both the amount of paper needed and the error rate in processing retirement applications.
      Guy Cavallo is the CIO at the Office of Personnel Management.
    • “We believe doing the online checking will help really reduce that back and forth that often is needed. We’re also rebuilding the way calculations are done, and we’re implementing a digital file system so that we can stop dealing with millions and millions of pages of paper to be part of retirement,” Cavallo said in an interview with Federal News Network. “It’s going to take many years for us to do this, but by taking the heart of that, we’re improving the way somebody starts to retirement. We’re making sure the calculation service is correct, and then we’re working to get rid of paper versions and move to digital. Those are our first three building blocks.
    • “Cavallo said the goal of the test is to test out the technology and the process changes and continually improve them. He said there is no specific time frame for how long the pilot will last.”
  • Per Beckers Hospital Review,
    • “The FDA is building a post-market surveillance program for medical devices.
    • “The agency will look for medical device-related safety issues reported in EHRs, billing claims and pharmacy data, according to a U.S. Government Accountability Office report released Aug. 15.
    • “The program will begin surveillance of two medical devices by December, with plans to increase the number of devices under investigation each year over the next five years. 
    • “There were more than 1.7 million injuries, and 83,000 deaths linked to medical device safety issues over a 10-year period, according to FDA data from 2018, the report said.”

From the public health and medical research front,

  • The Wall Street Journal reports
    • “The average age of hip- and knee-replacement patients is getting younger.” * * *
    • “For patients ages 45 to 64, there was a 211% increase in inpatient hip replacements and a 240% increase in inpatient knee replacements between 2000 and 2017, according to data from the U.S. Department of Health and Human Services’ Agency for Healthcare Research and Quality. (Records after 2017 are less accurate due to changes in Medicare coding.)
    • “There was also an increase in joint replacements for patients ages 65 to 84, but the rise wasn’t as steep.
    • “This tracking doesn’t include the growing share of replacements that are outpatient surgeries, which allow patients to go home the same day as their procedure. More than a million hip and knee replacement surgeries are performed in the U.S. every year.”
  • The New York Time warns us,
    • “Without a sharp pivot in state and federal policies, the bird flu virus that has bedeviled American farms is likely to find a firm foothold among dairy cattle, scientists are warning.
    • “And that means bird flu may soon pose a permanent threat to other animals and to people.
    • “So far, this virus, H5N1, does not easily infect humans, and the risk to the public remains low. But the longer the virus circulates in cattle, the more chances it gains to acquire the mutations necessary to set off an influenza pandemic.
    • “I think the window is closing on our ability to contain the outbreak,” said Dr. Krutika Kuppalli, an infectious-disease physician who worked at the World Health Organization until April.”
  • Here’s a link to the CDC’s website on the disease.
  • STAT News tells us,
    • “Lack of research into miscarriage in the U.S. — its prevalence, its causes, and how best to treat people who’ve experienced pregnancy loss — has helped to reinforce what has long been a culture of silence and shame around miscarriage. That knowledge gap means that people who miscarry, and miscarry repeatedly, like Hanson, aren’t given the emotional support they need at a time when they are most vulnerable. Equally important, they aren’t given the medical treatment, screening, and support from the health care system that might help them avert future miscarriages. And research into the possible reasons for recurrent pregnancy loss has been limited and siloed, several experts told STAT.”  * * *
    • “When Carol Gilbert, an assistant professor at the University of Nebraska Medical Center College of Public Health, examined CDC data for her 2021 Ph.D. dissertation on perinatal periods of risk, she realized that she needed more complete data for losses before 20 weeks. For public health researchers like Gilbert, incomplete data prevents them from making accurate comparisons between states.When she examined the data, she understood why the CDC doesn’t publish statistics on fetal losses before 20 weeks of gestation. 
    • The individual case data on pregnancy losses are collected by hospitals, assembled by states, and then forwarded to the CDC. But a trifecta of quality problems may explain why the CDC does not publish what data it does receive on losses before 20 weeks of gestation. First, laws regarding the gestational age at which fetal losses need to be reported vary across states. The second problem Gilbert found was that states were inconsistent in their reporting, failing to follow their own laws. This was especially true for fetal deaths between 20 and 24 weeks. 
    • “The third problem was that not all states fill forms completely, leaving out data elements like birthweight and basic maternal characteristics. Some of this is inevitable because it is difficult to weigh fetal tissue in the early stage of pregnancy loss. A CDC spokesperson told STAT that “information regarding early pregnancy losses before 20 weeks’ gestation, including ectopic pregnancies and miscarriages, is challenging to obtain as these outcomes are not routinely reported to CDC.”
  • and
    • “Rachel Gross wants to clear up misconceptions about children and Covid-19. A pediatrician and population health researcher, she recalls a time four years ago when people didn’t think children could even contract the disease. Then, after accepting kids’ vulnerability to the virus, it was thought only adults could suffer from the myriad symptoms that persist or crop up post-infection, collectively known as long Covid.
    • “Now that it’s clear kids can also develop long Covid, Gross wants to correct assumptions that the condition looks the same in adults as in children, no matter their age. In new research published Wednesday in JAMA, Gross and the RECOVER-Pediatrics Consortium report that school-age children and adolescents experience similar long Covid symptoms across multiple organ systems, but those symptoms cluster in ways that vary depending on their age while diverging to some degree from the pattern seen in adults.” * * *
    • “Gross told STAT the study’s purpose was to learn how to identify children experiencing long Covid and how these symptoms change over time. “Then we will be able to better understand the question we really want to know: Why is this happening?”
  • Medscape adds, “Severe COVID-19 was associated with elevated risks for depression and serious mental illness months after infection, especially among unvaccinated people, a cohort study involving more than 18 million individuals in the U.K. found.”

From the U.S. healthcare business front,

  • Per Beckers Hospital Review,
    • “Renton, Wash.-based Providence posted an operating loss of $123 million in the second quarter of 2024, a $79 million improvement from the $202 million loss the 51-hospital system posted during the same period last year.
    • “Operating revenues increased by 6% compared to the same period last year, according to an Aug. 21 Providence news release shared with Becker’s. Operating expenses increased 5% for the three months ended June 30. 
    • “Providence saw higher volumes in the second quarter of 2024, according to the release. Inpatient admissions and case mix adjusted admissions were both up 5% compared to the same period last year. 
    • “Despite ongoing headwinds, our strategies for renewal and recovery are driving positive results, and we remain focused on continued improvement in 2024,” Providence CFO Greg Hoffman said in the release.” 
  • and
    • “Dallas-based Steward Health Care plans to close Trumbull Regional Medical Center and Hillside Rehabilitation Hospital, both in Warren, Ohio, on or around Sept. 20 after the facilities failed to attract qualified buyers, the health system said in an Aug. 21 statement shared with Becker’s.
    • “Steward, which sought Chapter 11 protection May 6, shared that the “regrettable but unavoidable situation” has occurred due to its “significant cash constraints.”
    • “We remain hopeful we can find an alternative solution that would keep the hospitals open and preserve the jobs of our dedicated team members,” the statement said. “We want to help save this hospital and will continue to work with qualified bidders during this process.”

Tuesday’s Tidbits

David Ermer–AHRQ, CDC, CMS, FDA, Medical / Rx research, No Surprises Act, Rx coverage, U.S. Healthcare, Uncategorized–
Photo by Patrick Fore on Unsplash

From Washington, DC

  • Bloomberg reports,
    • “A federal judge ruled the US Federal Trade Commission can’t enforce its near-total ban on noncompete agreements that was set to go into effect next month, blocking an effort by the agency to make labor markets more competitive. 
    • “In a ruling Tuesday, US District Judge Ada Brown in Dallas sided with the US Chamber of Commerce and a Texas-based tax firm that sued to block the measure. The judge said the FTC lacked the authority to enact the ban, which she said was “unreasonably overbroad without a reasonable explanation.” 
    • “The ruling represents a significant blow for the FTC and further divides the judiciary over the regulator’s powers. A federal judge in Pennsylvania had previously sided with the FTC. The rule is likely to be headed for appellate review. Brown had previously delayed implementation of the ban, which was scheduled to take effect on Sept. 4.” 
  • The American Hospital Association News lets us know,
    • “The Centers for Medicaid and Medicare Services Aug. 20 released a report presenting data on complaints and enforcement efforts by the agency concerning title XXVII of the Public Health Service Act, which includes both the surprise billing and price transparency provisions of the No Surprises Act. As of June 30, 2024, CMS received more than 16,000 complaints and closed 12,700 with 400 complaints with PHS violations. In total the agency reported over $4 million in restitution for closed cases. Top complaints against plan issuers include non-compliance with Quality Payment Amount requirements, late payment after independent resolution determination, and non-compliance with 30-day initial payment or notice of denial payment requirements. Top complaints against providers relate to surprise bills and good faith estimates.”
  • Per an HHS press release,
    • “Today, the Health Resources and Services Administration (HRSA) of the U.S. Department of Health and Human Services (HHS), announced more than $1.4 billion in Ryan White HIV/AIDS Program funding for the HRSA AIDS Drug Assistance Program and related awards. This HRSA funding ensures that individuals with HIV who have low incomes receive lifesaving medication, quality HIV health care and essential support services. This announcement supports and advances the Biden-Harris Administration’s National HIV/AIDS Strategy.
    • “HRSA-supported AIDS Drug Assistance Programs pay for HIV medication, co-pays and co-insurance for HIV medication, and premiums for health insurance that covers HIV medication. This critical support helps individuals with HIV receive antiretroviral therapies, which help people reach viral suppression, meaning they cannot sexually transmit HIV and can live longer and healthier lives. Without access to lifesaving HIV medication provided by HRSA-supported AIDS Drug Assistance Programs, HIV medication could cost an individual more than $40,000 per year, putting it otherwise out of reach. HRSA supports critical HIV care and medication in all 50 states, the District of Columbia, Puerto Rico, the U.S. Virgin Islands, and six U.S. Pacific territories.”
  • Federal News Network tells us,
    • “The Postal Service is facing a potential “retirement wave,” its inspector general’s office warns, with nearly one in five of its employees now retirement-eligible, and more than half its workforce eligible to retire within a decade.
    • “The USPS OIG, in its latest report, found USPS experienced no significant shortage of career employees last year, despite a tight labor market in the U.S. and record-low unemployment rates.
    • “Between fiscal years 2019 and 2023, USPS grew its workforce by more than 8,000 employees — a more than 1% growth rate. The agency employs about 637,000 total workers.
    • “The agency, however, may also need to prepare for a large contingent of its workforce to retire.”

From the public health and medical research front,

  • ABC News reports,
    • “The number of births declined in the United States in 2023, ending two years of upticks during the COVID-19 pandemic, according to a new federal report.
    • “A report published early Tuesday by the Centers for Disease Control and Prevention’s National Center for Health Statistics showed there were 3,596,017 babies born in 2023.
    • “This is a decrease of 2% from the 3,667,758 babies born in 2022 and the 3,664,292 babies born in 2021.”
  • The AP informs us,
    • “Public health experts from some of the nation’s leading research institutions have deployed a massive medical trailer to rural parts of the South to test and survey thousands of local residents. The goal: to understand why the rates of heart and lung disease are dramatically higher there than in other parts of the U.S. 
    • “This rural health disadvantage, it doesn’t matter whether you’re white or Black, it hurts you,” said Dr. Vasan Ramachandran, a leader of the project who used to oversee the Framingham Heart Study — the nation’s longest-running study of heart disease. “No race is spared, although people of color fare worse.
    • “The researchers aim to test the heart and lung function of roughly 4,600 residents of 10 counties and parishes in Alabama, Kentucky, Louisiana and Mississippi while collecting information about their environments, health history and lifestyles. They are also giving participants a fitness tracker and plan to survey them repeatedly for years to check for any major medical events.”
  • The U.S. Preventive Services Task Force made the following final recommendation today:
    • For asymptomatic pregnant adolescents and adults:
      The current evidence is insufficient to assess the balance of benefits and harms of screening for iron deficiency and iron deficiency anemia in pregnant persons.
      Grade: I statement
    • This recommendation aligns with the prior 2015 recommendation.
  • MedPage Today notes
    • “Researchers Challenge USPSTF’s Lung Cancer Screening Criteria — Alternate criteria based on years of smoking has higher sensitivity and specificity, study says.
  • Per Healio,
    • Messaging strategies led to higher support for breast cancer screening cessation [among older women].
    • Messages from multiple vs. one or no source led to higher intentions of screening cessation.
    • “One important contributor to overscreening is that patients have received pro-screening messages for many years from the media, the broader social environment and health care professionals. In contrast, there has been little messaging about the harms of overscreening, or that stopping screening may be appropriate for some women,” Eli Lilly’s LLY 3.05%increase; green up pointing triangle anti-obesity drug Zepbound significantly reduced the risk of Type 2 diabetes among people with excess weight and elevated blood-sugar levels in a new study.
    • The finding widens the list of additional health benefits beyond weight loss for a hot new crop of anti-obesity drugs. Prior studies have found that Novo Nordisk’s Wegovy reduces the risk of heart attacks and strokes, and Lilly’s Zepbound eases the severity of obstructive sleep apnea.  associate professor in the division of geriatric medicine and gerontology in the department of medicine at Johns Hopkins University School of Medicine, and colleagues wrote in JAMA Network Open. “Messaging strategies have been used successfully to reduce other unwanted health behaviors such as smoking but are an understudied approach to reduce overscreening.”
  • To top things off, the Wall Street Journal reports,
    • “Eli Lilly’s anti-obesity drug Zepbound significantly reduced the risk of Type 2 diabetes among people with excess weight and elevated blood-sugar levels in a new study.
    • The finding widens the list of additional health benefits beyond weight loss for a hot new crop of anti-obesity drugs. Prior studies have found that Novo Nordisk’s Wegovy reduces the risk of heart attacks and strokes, and Lilly’s Zepbound eases the severity of obstructive sleep apnea.  * * *
    • “In the study, weekly injections of Zepbound for more than three years reduced the risk of progression to Type 2 diabetes by 94%, compared with a placebo, among people with excess weight and prediabetes, Lilly said Tuesday.
    • “The drug also led to significant weight reduction at an average of between 15% and nearly 23%, depending on the dosage, compared with the 2.1% reduction in patients who received a placebo.
    • “Some of the benefits appeared to last, however, only as long as patients were taking the drug. During a 17-week off-treatment follow-up period, patients who discontinued Zepbound began to regain weight and had some increase in the progression to Type 2 diabetes. Including the 17-week off-treatment period, patients who took Zepbound in the study had an 88% reduction in the risk of progression to Type 2 diabetes compared with the placebo.”
  • Fierce Pharma adds,
    • “Regulators in both the U.S. and Europe have looked into the potential link between suicidal thoughts and Novo Nordisk’s blockbuster semaglutide franchise after reports sounded the alarm last year. While the agencies found no increased risk for the popular diabetes and obesity drug, a new study could fuel the debate.
    • “In a study recently published in the Journal of the American Medical Association (JAMA), researchers found a “significant disproportionality” for semaglutide-associated suicidal ideation compared with other medicines, particularly among patients who also use antidepressants. 
    • “No such link was found for Novo’s earlier-generation GLP-1 med, liraglutide, according to the team. The study was based on the World Health Organization’s (WHO’s) database of suspected suicidal and self-injurious adverse drug reactions.
    • “Branded as Wegovy, Ozempic and Rybelsus, Novo’s semaglutide medicines—and their liraglutide counterparts Victoza and Saxenda—all fall under the GLP-1 umbrella.”

From the U.S. healthcare business front,

  • Modern Healthcare reports,
    • “Epic is planning to deepen its relationships with health insurance companies, the electronic health record giant said at its annual user group meeting Tuesday.
    • “The EHR company is working with health systems and large insurers such as CVS Health subsidiary Aetna, Elevance Health and multiple Blue Cross and Blue Shield plans to streamline prior authorization requests and ease provider appeals to payers, Epic founder and CEO Judy Faulkner said during a keynote address. The event was held at Epic’s headquarters in Verona, Wisconsin.
  • The Business Group on Health announced,
    • “Projected health care cost trend jumped to almost 8% for 2025, the highest amount in more than a decade, according to Business Group on Health’s 2025 Employer Health Care Strategy Survey.
    • “The predicted surge in employer health care spending – actual health care costs have grown a cumulative 50% since 2017 – comes against a backdrop of inflation, heightened demand for expensive drugs such as GLP-1s, potentially curative but high-cost cell and gene therapies, and the ongoing burden of treating cancer and other chronic conditions.
    • “Employers are steadfast in their desire to provide comprehensive offerings to their workforces,” said Ellen Kelsay, president and CEO of Business Group on Health. “They continue to absorb much of the upticks in cost and remain keenly focused on lowering spending and improving outcomes and experiences for employees. However, the foreboding cost landscape has accelerated the need for bold transformation, and employers seek partners who will make that happen.”
    • “The Business Group survey, released today in Washington, D.C., also showed that pharmacy spending was largely responsible for the increased health care trend in 2023; that GLP-1s have created challenges for employers; and that while cancer and musculoskeletal conditions remained the top two cost drivers, this year saw more employers reporting cardiovascular conditions as the third costliest.
    • “The survey gathered data on a range of critical topics related to employer-sponsored health care for the coming year. A total of 125 large employers across varied industries, who together cover 17.1 million people in the United States, completed the survey between June 3, 2024, and July 12, 2024.”
  • Per Fierce Healthcare,
    • “Mass General Brigham’s operating income slipped to $47 million for the quarter ended June 30 despite a 7% year-over-year increase in total operating revenue, the major nonprofit system reported last week.
    • “The fiscal third-quarter numbers, which reflect a 0.9% operating margin, follow the prior year’s $69 million operating income and 1.4% operating margin.
    • “When including nonoperating items such as investment income, Mass General Brigham logged a net income of $277.5 million, also down from the third quarter of 2023.
    • “The Massachusetts system is showing a slight year-over-year improvement across the first months of its 2024 fiscal year, having turned the prior year’s $5 million loss into a $41 million operating income (0.3% operating margin, not inclusive of $118 million of onetime revenue tied to prior year healthcare provider activity).”
  • Per BioPharma Dive,
    • “The Food and Drug Administration has approved a new combination drug regimen from Johnson & Johnson to treat a common type of advanced lung cancer with certain genetic mutations.
    • “J&J’s Rybrevant is now cleared for use with another drug called Lazcluze in people with previously untreated non-small cell lung cancer that’s metastasized or advanced locally. Only people with specific mutations in a gene known as EGFR are eligible for treatment.
    • “The approval is based on results from a study that compared the combination to AstraZeneca’s lung cancer drug Tagrisso. In a statement, J&J described the new treatment as the first chemotherapy-free regimen that’s demonstrated superiority to Tagrisso in this setting.”
  • Per MedTech Dive,
    • “Johnson & Johnson has agreed to acquire V-Wave, the maker of an implantable device to treat heart failure, in a deal worth up to $1.7 billion.
    • “J&J will pay $600 million upfront, plus potential additional payments up to about $1.1 billion if regulatory and commercial milestones are met, the company said Tuesday. J&J expects the acquisition to close before the end of the year.
    • “V-Wave’s device, known as the Ventura Interatrial Shunt, is designed to reduce elevated left atrial pressure in people with congestive heart failure by creating a shunt between the left and right atrium. It received the Food and Drug Administration’s breakthrough device designation in 2019 and Europe’s CE mark in 2020. J&J said the device could be the first of its kind to reach the market.”

Monday Roundup

David Ermer–CDC, COVID-19, FDA, Medical / Rx research, Mental health care, Rx coverage, U.S. Healthcare–
Photo by Sven Read on Unsplash

From Washington, DC,

  • Per an HHS press release,
    • “The U.S. Department of Health and Human Services (HHS) launched a new national campaign today to inform the public about common respiratory viruses and available vaccines. The campaign, Risk Less. Do More., aims to increase awareness of vaccines that reduce serious illness from influenza (flu), COVID-19, and respiratory syncytial virus (RSV) in high-risk populations and to limit the spread of these viruses among all Americans.” * * *
    • “For more information on the Risk Less. Do More. campaign, please visit RiskLessDoMore.hhs.gov.”
    • “For more information about respiratory illnesses, please visit cdc.gov/RiskLessDoMore.”
  • The American Hospital Association News lets us know,
    • “The Organ Donation and Transplantation Alliance has created new resources for health care providers to encourage more organ donation and transplants. It has launched an educational guide to enhance collaboration between organ procurement organizations, transplant centers and hospitals. The Alliance last week hosted a workshop complementing the guide launch. An on-demand learning pathway video and other supporting materials will be available in September.”
  • Federal News Network tells us,
    • “The Biden administration says federal agencies are getting rid of office space they no longer need, and will shed millions of square feet in the coming years, now that many federal employees are on a hybrid schedule of in-office and work-from-home days.
    • “The Office of Management and Budget, in a sweeping report released earlier this month, said telework-eligible federal employees are working in their offices about 60% of the time.
    • “That hybrid schedule allows agencies to reevaluate their office space needs, and shed excess leased and government-owned real estate.
    • “While agencies reach more durable, long-term decisions about their telework and work environment posture, they are also considering the impacts of these changes on their real property portfolios,” OMB wrote. “Agencies have undertaken considerable work to dispose of unneeded property, reduce costs, and improve overall utilization of real estate.”

From the public health and medical research front,

  • The New York Times reports,
    • “In the study, which was published Monday in the journal Nature Medicine, researchers transformed deep brain stimulation — an established treatment for Parkinson’s — into a personalized therapy that tailored the amount of electrical stimulation to each patient’s individual symptoms.
    • “The researchers found that for Mr. Connolly and the three other participants [with Parkinson’s Disease], the individualized approach, called adaptive deep brain stimulation, cut in half the time they experienced their most bothersome symptom.
    • “Mr. Connolly, now 48 and still skateboarding as much as his symptoms allow, said he noticed the difference “instantly.” He said the personalization gave him longer stretches of “feeling good and having that get-up-and-go.”
    • “The study also found that in most cases, patients’ perceived quality of life improved. “That’s very important,” said Dr. Sameer Sheth, a professor of neurosurgery at Baylor College of Medicine who was not involved in the research.
    • “Although the study was small, it represents the strides being made in using brain implants and artificial intelligence to personalize treatment for neurological and psychiatric disorders — essentially developing pacemakers for the brain.”
  • STAT News points out,
    • “The distress from receiving a cancer diagnosis is something that clinicians widely anticipate in patients, but suffering often doesn’t just afflict the patient. It can blanket an entire household, burdening spouses and other family members with stress and anxiety and the exhausting routine of treating a life-threatening disease.
    • “But while standards exist for assessing and managing distress in patients, it’s often “hidden” in family members, sometimes with devastating consequences, said Weiva Sieh, an epidemiologist at MD Anderson Cancer Center. In a study published in JAMA Oncology on Thursday, spouses of cancer patients were found to be at significantly higher risk of suicide attempt and death compared to those married to people without cancer.  
    • “Psychosocial distress in cancer patients themselves are better anticipated, widely known, and accepted,” said Sieh, who did not work on the study but wrote an accompanying editorial in JAMA Oncology. “This problem is not extremely well recognized. Fortunately, mental health is often treatable. It’s just a question of recognizing it.”
  • MedPage Today notes,
    • “Primary care practitioners (PCPs) provided the majority of prescriptions for HIV preexposure prophylaxis (PrEP) in the U.S., but the odds of patients filling a PrEP prescription were better when it came from an infectious disease (ID) specialist, according to a cross-sectional study.”
  • Fierce Healthcare asserts that “Insurers push ‘food is medicine’ interventions but rarely weigh in on ultra-processed food.”

From the U.S. healthcare business front,

  • Beckers Hospital Review reports,
    • “Rochester, Minn.-based Mayo Clinic reported an operating income of $449 million (8.9% margin) in the second quarter, a substantial improvement on the $300 million operating gain (5.9% margin) it posted in the same period last year.
    • “Second-quarter revenue increased 12.1% year over year to $5 billion while expenses grew by 9.4% to $4.6 billion, according to financial documents published Aug. 19. Solid patient volumes and increased donor contributions drove revenue growth during the second quarter. 
    • “Labor costs increased 7% year over year to $2.6 billion while supplies and services expenses rose 13.3% to $1.6 billion. The 7% increase in labor costs — which accounted for 56.9% of total second-quarter expenses — is attributed to staff growth to accommodate higher volumes and a 4% annual salary increase for all allied health staff.
    • “After factoring in nonoperating items, including philanthropy and returns from investments, Mayo reported a net income of $613 million in the second quarter, compared to $547 million in the second quarter of 2023.” 
  • Healthcare Dive adds,
    • “Bankruptcy filings in the healthcare sector have slowed so far in 2024 after spiking last year, according to a report by healthcare restructuring advisory firm Gibbins Advisors.
    • “This year is on track to see 58 filings by healthcare companies with at least $10 million in liabilities, compared with 79 cases in 2023.
    • “But the decline doesn’t necessarily mean the financial headwinds driving bankruptcies have lessened, according to the advisory firm. Restructuring could be taking place outside of courts, and case volumes might increase later this year, Clare Moylan, principal at Gibbins Advisors, said in a statement.”
  • Per BioPharma Dive,
    • “Bristol Myers Squibb’s highly anticipated schizophrenia drug KarXT is fast approaching a September deadline for the Food and Drug Administration to decide on approval. Yet competition already looms for a market that’s estimated to soon be worth billions of dollars.
    • “KarXT, a so-called muscarinic agonist, may become the first new kind of schizophrenia drug in decades. Close behind it is AbbVie’s emraclidine, which works in a similar fashion.
    • “People with schizophrenia experience a broad range of symptoms, from hallucinations and delusions to cognitive impairments and social withdrawal. Clinical testing has shown that, like KarXT, emraclidine, which AbbVie acquired from Cerevel Therapeutics in a multibillion-dollar deal, is effective at controlling symptoms without the debilitating side effects or drawbacks of traditional antipsychotics, which cause almost three-quarters of patients to abandon treatment.
    • “But experts say once-daily dosing versus twice-daily treatment, and a potentially more gut-friendly formulation, may give emraclidine an edge over KarXT, which Bristol Myers Squibb acquired in a $14 billion acquisition of Karuna Therapeutics.”
  • MedCity News considers “Why Primary Care Physicians Are Reluctant to Join Value-Based Care.”

Weekend Update

David Ermer–CMS, Congress, COVID-19, Medical / Rx research, Medicare, OPM, U.S. Healthcare–

From Washington, DC,

  • The House of Representatives and the Senate remain on their August recess until September 9.
  • Roll Call reported on August 14,
    • “New Jersey Democratic Gov. Phil Murphy intends to appoint his former chief of staff, George Helmy, to fill the Senate seat that Sen. Bob Menendez will vacate next week, multiple New Jersey media outlets reported Wednesday evening, citing sources.
    • “Helmy, who has most recently worked as executive vice president and head of external affairs for RWJBarnabas Health, will serve until the end of the 118th Congress. The seat for the full term starting in January will be filled by the winner of the November election between Rep. Andy Kim, the Democratic nominee, and Republican Curtis Bashaw.”
  • On August 16, the Congressional Budget Office released to the House Oversight and Accountability Committee a report on H.R. 7868, the FEHB Protection Act.
    • The problematic aspect of the bill is that it focuses on tightening up oversight of family member eligibility when OPM does not give FEHB plans the information to confirm that plan enrollees are paying the proper premium or any premium for their coverage, which creates a yawning gap in internal controls. OPM can cure this problem by implementing the HIPAA 820 enrollment roster transaction.

From the public health and medical research front,

  • Fortune Well identifies where COVID has been spiking in the U.S. this summer.
    • “In the four-week period ended Aug. 10, the national test positivity rate was 15.6%. During that time, five states in the South-Central U.S. saw the highest test positivity, 21%. These states collectively make up the CDC’s Region 6:
      • Arkansas
      • Louisiana
      • New Mexico
      • Oklahoma
      • Texas
    • “States in Region 9—Arizona, California, Hawaii, and Nevada—had the next-highest four-week positivity rate, 18.8%. Ten other states across two Midwestern regions were also above the national average. No state—as well as the District of Columbia, Puerto Rico, and the Virgin Islands—had a positivity rate below 10%.”
  • The Washington Post lets us know,
    • “The Centers for Disease Control and Prevention is warning clinicians to be on the lookout for a viral disease that is spread by small flies and some types of mosquitoes and that causes sudden fever, severe headaches and chills.
    • “Cases of Oropouche virus disease have been climbing in South America and the Caribbean in the past two years and turned deadly for the first time this year.
    • “The CDC advisory issued Friday recommends that pregnant people reconsider nonessential travel to Cuba, which reported its first confirmed case in June.”
  • and
    • “Though appendectomies have been the gold standard of care since before the turn of the 20th century, doctors have been treating appendicitis with antibiotics since the 1950s, as soon as they became available — a “dark secret” in the surgery world, says David R. Flum, professor of surgery and director of the Surgical Outcomes Research Center at the University of Washington. A 1959 paper detailed the use of antibiotics to treat nearly 500 people (a mix of adults and children) with appendicitis. They were — and still are — often used in people whose appendicitis is so advanced that surgery risks spreading the infection further. The military relied on antibiotics for service members who got appendicitis while in inaccessible locations, like submarines.
    • “But the treatment didn’t get wider attention until the late 1990s and early 2000s, Flum says, when researchers began to collect data on how often antibiotics don’t work and found that failure was not as common as they thought.
    • “Then came two large, randomized trials in adults. In the first, published in 2015, 257 adults received an antibiotic treatment. Seventy of those patients, or 27 percent, had to have an appendectomy within one year. But the rest were fine.
    • “A second, larger study of 1,552 adults had similar results: Twenty-nine percent of the 776 people who received antibiotics underwent surgery within 90 days; 4 percent of people in the antibiotics group had serious adverse events, compared with 3 percent in the appendectomy group. The New England Journal of Medicine published the results in 2020. The same year, the American College of Surgeons added nonoperative management as an option in its guidelines for treating appendicitis.
    • “It wasn’t a slam dunk, but the studies showed that antibiotics could be a good choice.”
  • The New York Times discusses “The Painkiller Used for Just About Anything. In huge numbers, older people are taking gabapentin for a variety of conditions, including itching, alcohol dependence and sciatica.”
    • “It’s crazy how many [off label] indications it’s used for,” said Dr. Michael Steinman, a geriatrician at the University of California, San Francisco, and a co-director of the U.S. Deprescribing Research Network. “It’s become a we-don’t-know-what-else-to-do drug.”
    • “What has fueled this multipurpose popularity? “The history of gabapentin is really a history of uses getting ahead of the evidence,” said Dr. Joseph Ross, an internist and health policy researcher at Yale School of Medicine.” * * *
    • Dr. Steinman called it a “sticky” drug. He was an author of a 2022 study on older adults who were prescribed gabapentin after surgery, most commonly hip and knee replacements. One in five refilled the prescription more than three months later, when “presumably their surgical pain has long since resolved,” he said.
    • As older patients seek to find relief from chronic pain, “we don’t have a lot of great options,” Dr. Steinman said of health care providers. Prescribers try to avoid opioids, and nonsteroidal anti-inflammatories like ibuprofen are recommended only for short-term use.
    • Some find relief from medical cannabis, topical medications like creams and patches, and non-pharmacological approaches such as acupuncture, therapeutic massage and exercise.
    • “Often the single best thing I can do for patients with pain is to get them to physical therapy,” Dr. Steinman added.

From the U.S. healthcare business front,

  • Per Fierce Healthcare,
    • “Orlando Health has offered to buy Steward Health Care’s three “Space Coast” Florida properties, including three hospitals and a medical practice, for $439 million, according to a court document filed Wednesday.
    • “Bankrupt Steward Health Care and Orlando Health have entered into a binding asset purchase agreement to sell Rockledge Regional Medical Center, Melbourne Regional Medical Center, Sebastian River Medical Center. The proposed deal also includes Steward Medical Group Practices in East Central Florida.
    • “According to the court document, filed in U.S. bankruptcy court in the southern district of Texas, Steward designated Orlando Health a “stalking horse bidder,” which is the first to negotiate a purchase agreement with a debtor in bankruptcy. The bidder sets a minimum price and protects the debtor from low bids.
    • “The purchase agreement for Steward’s northern Florida assets is for $439.42 million in cash, according to the court document.
    • “Orlando Health’s bid will be subject to higher or better-qualified bids received by August 26, at which time a bankruptcy court-approved auction may occur, according to a press release from Steward Health Care.”
  • The Wall Street Journal adds
    • “Steward Health Care System was in such dire straits before its bankruptcy that its hospital administrators scrounged each week to find cash and supplies to keep their facilities running. 
    • “While it was losing hundreds of millions of dollars a year, Steward paid at least $250 million to its chief executive officer, Dr. Ralph de la Torre, and to his other companies during the four years he was the hospital chain’s majority owner.
    • “Steward filed for bankruptcy in May, becoming one of the biggest hospital failures in decades.” * * *
    • “The Senate Committee on Health, Education, Labor and Pensions in a bipartisan vote authorized an investigation and subpoenaed de la Torre to testify at a Sept. 12 hearing.”

Cybersecurity Saturday

David Ermer–Cybersecurity, Generative AI–

From the CrowdStrike outage front,

  • TechTarget offers lessons learned from the CrowdStrike outage.
  • Cybersecurity Dive includes an opinion piece from Deepak Kumar, the founder and CEO of Adaptiva.
    • “Patching remains a top priority for every organization, but slow, manual, and reactive patching presents far more risk than benefit. Automated patching without the capability to pause, cancel, or roll back can be reckless and lead to disruptions or worse. 
    • “Automated patching, with the necessary controls, is undoubtedly the best path forward, offering the speed needed to thwart bad actors and the control required to prevent an errant update from causing widespread issues.”

From the cybersecurity policy front,

  • Cyberscoop informs us,
    • “Federal contractors would be required to implement vulnerability disclosure policies that align with National Institute of Standards and Technology guidelines under a bipartisan Senate bill introduced last week.
    • “The Federal Contractor Cybersecurity Vulnerability Reduction Act of 2024 from Sens. Mark Warner, D-Va., and James Lankford, R-Okla., is a companion to legislation from Rep. Nancy Mace, R-S.C., which was advanced by the House Oversight Committee in May.
    • “The bill from Warner and Lankford on vulnerability disclosure policies (VDPs) aims to create a structure for contractors to receive reports of vulnerabilities in their products and then act against them before an attack occurs.
    • “VDPs are a crucial tool used to proactively identify and address software vulnerabilities,” Warner said in a statement. “This legislation will ensure that federal contractors, along with federal agencies, are adhering to national guidelines that will better protect our critical infrastructure, and sensitive data from potential attacks.”
  • Cybersecurity Dive reports from the Black Hat cybersecurity conference held at Las Vegas in the first week of August,
    • Despite a stream of devastating cyberattacks or mistakes that halt or disrupt large swaths of the economy, Jen Easterly, director of the Cybersecurity and Infrastructure Security Agency, says the war against malicious activity is not lost.
    • It is possible to elevate organizations’ ability to repel or mitigate attacks and place a greater emphasis on vendors’ responsibilities, Easterly said Wednesday during a media briefing at Black Hat. “We got ourselves into this, we have to get ourselves out,” she said.
    • Easterly’s optimism isn’t the result of blind trust. “We have made enormous progress, even just over the past several years,” she said.” * * *
    • “We have to recognize that the cybersecurity industry exists because technology vendors for decades have been allowed to create defective, flawed, insecure software that prioritizes speed to market features over security,” Easterly said. 
    • “There is more we can do but that’s where the war will be won,” Easterly said. “If we put aside the threat actors and we put aside the victims and we talk about the vendors.”
  • and
    • It’s time to stop thinking of threat groups as supervillains, experts say
    • “These villains do not have superpowers. We should not treat them like they do,” * * *
    • “The vast majority of organizations don’t have the time or resources to keep up with the chaos of tracking cybercriminal groups, Andy Piazza, senior director of threat intel at Palo Alto Networks Unit 42, said in an interview at Black Hat.
    • “You as a defender shouldn’t care about that,” Piazza said. Defenders can better serve their organizations by developing capabilities to detect and respond to malicious tactics, techniques and procedures, Piazza said.
    • “It’s hard to ignore the drama when groups are given names like Scattered Spider, Midnight Blizzard and Fancy Bear, but mythologizing the criminals responsible for cyberattacks can diminish defenders’ ability to detect and thwart malicious activity.”
  • FedScoop lets us know,
    • “The National Institute of Standards and Technology has officially released three new encryption standards that are designed to fortify cryptographic protections against future cyberattacks by quantum computers.
    • “The finalized standards come roughly eight years after NIST began efforts to prepare for a not-so-far-off future where quantum computing capabilities can crack current methods of encryption, jeopardizing crucial and sensitive information held by organizations and governments worldwide. Those quantum technologies could appear within a decade, according to a RAND Corp. article cited by NIST in the Tuesday announcement.
    • “Quantum computing technology could become a force for solving many of society’s most intractable problems, and the new standards represent NIST’s commitment to ensuring it will not simultaneously disrupt our security,” Laurie E. Locascio, director of the Department of Commerce’s NIST and undersecretary of commerce for standards and technology, said in a statement. “These finalized standards are the capstone of NIST’s efforts to safeguard our confidential electronic information.”
    • “The new standards provide computer code and instructions for implementing algorithms for general encryption and digital signatures — algorithms that serve as authentication for an array of electronic messages, from emails to credit card transactions.”
  • Federal News Network adds,
    • “CISA Director Jen Easterly said in a keynote at The White House Office of Management and Budget will soon direct agencies to map out plans for adopting post-quantum encryption to protect their most sensitive systems and data.
    • “Federal Chief Information Office Clare Martorana said the new guidance will help agencies begin to adopt new cryptographic standards from the National Institute of Standards and Technology.
    • “We will be releasing guidance directing agencies to develop a prioritized migration plan to ensure that the most sensitive systems come first,” Martorana said during an event hosted by the White House today. “We can’t do it alone. It’s critical that we continue to foster robust collaboration and knowledge sharing between public and private sectors, which is why conversations like the one we’re having today are so incredibly critical.”

From the cybersecurity vulnerabilities and breaches front,

  • The Cybersecurity and Infrastructure Security Administration (CISA) added seven known exploited vulnerabilities (KEV) to its catalog this week. NIST initially identifies the KEVs, which explains the Senate bill discussed above, and then CISA publicizes those KEVs in its catalog
  • Cybersecurity Dive notes,
    • “A vulnerability in the common log file system of Microsoft Windows can lead to the blue screen of death, impacting all versions of Windows 10 and Windows 11, researchers from Fortra said Monday.  
    • “The vulnerability, listed as CVE-2024- 6768, is caused by improper validation of specified quantities of input data, according to a report by Fortra. The vulnerability can result in an unrecoverable inconsistency and trigger a function called KeBugCheckEx, leading to the blue screen. 
    • “A malicious hacker can exploit the flaw to trigger repeated crashes, disrupting system operations and the potential loss of data, according to Fortra.”
  • TechTarget explains why “recent cyberattacks against OneBlood and McLaren Health Care shed light on the operational challenges that targeted organizations face.”

From the ransomware front,

  • A Dark Reading commentator explains that to avoid losing the ransomware battle, companies that are “institutionalizing and sustaining fundamental cybersecurity practices” also must “commit to ongoing vigilance, active management, and a comprehensive understanding of evolving threats.”
    • “The challenge of institutionalizing and sustaining fundamental cybersecurity practices is multifaceted. It requires a commitment to ongoing vigilance, active management, and a comprehensive understanding of evolving threats. However, by addressing these challenges head-on and ensuring that cybersecurity practices are implemented, measured, and maintained with rigor, organizations can better protect themselves against the ever-present threat of ransomware attacks. Focusing on the basics first — such as implementing foundational controls like 2FA, fostering maintenance skills to integrate IT and security efforts, and adopting performance management practices — can lead to significant improvements in cybersecurity, providing robust protection with less investment.”
  • Cybersecurity Dive points out,
    • “Cyber risk company Resilience said in a report unveiled Tuesday that ransomware has remained a top threat since January 2023, with 64% of related claims in its portfolio resulting in a loss during that period.
    • “Increased merger-and-acquisition activity and reliance on ubiquitous software vendors created new opportunities for threat actors to unleash widespread ransomware campaigns by exploiting a single point of failure, the report said.
    • “Now more than ever, we need to rethink how the C-suite approaches cyber risk,” Resilience CEO Vishaal Hariprasad said in a press release. “Businesses are interconnected like never before, and their resilience now depends on that of their partners and others in the industry.”
  • Per Bleeping Computers,
    • “RansomHub ransomware operators are now deploying new malware to disable Endpoint Detection and Response (EDR) security software in Bring Your Own Vulnerable Driver (BYOVD) attacks.
    • “Named EDRKillShifter by Sophos security researchers who discovered it during a May 2024 ransomware investigation, the malware deploys a legitimate, vulnerable driver on targeted devices to escalate privileges, disable security solutions, and take control of the system.
    • “This technique is very popular among various threat actors, ranging from financially motivated ransomware gangs to state-backed hacking groups.”
  • and
    • “Background check service National Public Data confirms that hackers breached its systems after threat actors leaked a stolen database with millions of social security numbers and other sensitive personal information. 
    • “The company states that the breached data may include names, email addresses, phone numbers, social security numbers (SSNs), and postal addresses.”

From the cybersecurity defenses front,

  • The American Hospital Association’s National Advisor for Cybersecurity and Risk, John Riggi, explains how healthcare entities should prepare for third party cyber risk.
  • The Wall Street Journal shares remarks from a June 2024 WSJ conference on what can be learned from the Change Healthcare cyber-attack. “Two security experts explain why the hack affected so many institutions and people—and what could be done to protect the healthcare system.”
  • For several months, the FEHBlog has not been able to access the HHS 405(d) program website. Magically this week, he regained access. Here is a link to the program’s July 2024 post which concerns the urgent need for data security in healthcare AI.