Senate Adopts Limited Scope Budget Resolution – The Senate adopted its fiscal year 2025 budget resolution last week in a 52-48 vote, the first stage in the budget reconciliation process that would allow Republicans to bypass the filibuster and pass qualifying legislation with a simple majority. Sen. Rand Paul (R-Ky.) joined all Democrats in opposing the resolution. The upper chamber’s proposal would authorize $85.5 billion in annual spending fully offset by corresponding cuts in spending. Republicans rejected 30 Democratic amendments during the “vota-a-rama” in which unlimited amendments were permitted to be offered. Republicans unanimously adopted an amendment calling on the final budget reconciliation bill to strengthen and improve Medicaid for the most vulnerable populations, as well as an amendment calling for a reduction in spending on federal regulations. The Senate resolution sets up a two-reconciliation bill approach – with the first budget reconciliation bill targeting policies related to energy, defense, and border control, leaving tax policy for a second, future piece of reconciliation legislation.
The House of Representatives was in recess last week but returns to session on Monday. The House is scheduled to consider its budget resolution on the floor in the coming days. The House blueprint paves the way for a budget reconciliation bill that includes at least $4.5 trillion in tax cuts and $1.5 trillion in spending cuts over the next decade. The Senate budget resolution was passed shortly after President Donald Trump surprised Senate Republicans by endorsing the House-approach of one reconciliation bill.
E&C Issues RFI on Data Privacy – Republican leadership of the House Energy and Commerce Committee has issued a request for information (RFI) on the parameters of a federal comprehensive data privacy and security framework. The RFI follows the panel’s formation of a data privacy working group. The committee poses specific questions related to personal information, transparency, and consumer rights; existing privacy frameworks and protections; data security; artificial intelligence; and accountability and enforcement. Stakeholders should submit their responses to [email protected] no later than April 7, 2025.
Updates on State Coalition Lawsuit Against NIH in Response to Indirect Cost Rate Cuts – On February 10, 2025, a coalition of 22 Attorneys General filed a lawsuit against the federal government in response to new National Institutes of Health (NIH) guidance that would impose a 15% cap on indirect cost rates for NIH grants. The coalition is seeking both preliminary and permanent injunctive relief to prevent the NIH from implementing the guidance. In response to the initial complaint, Judge Angel Kelley of the U.S. District Court for the District of Massachusetts issued a temporary restraining order (TRO) that barred the implementation of the rate cuts in the plaintiff states. The TRO was then expanded nationwide.
On Friday, February 21, the court heard oral arguments from both parties, which included debate of whether the plaintiffs would suffer “irreparable harm” from the decreased funding. The plaintiffs outlined a series of potential damages, including the loss of skilled research support staff, facility maintenance challenges, equipment operation disruptions, clinical trial interruptions, and reductions in community health services. In response, the federal government argued that such harms could be mitigated by alternative funding sources, including private investments.
Beyond the question of irreparable harm, the court will examine whether NIH was obligated to follow notice and comment rules when issuing its guidance. While the plaintiffs contend that the guidance creates procedural rights and duties, the federal government has countered that the guidance is merely an interpretive statement (rather than a rule which requires notice and comment periods).
Judge Kelley is set to weigh all arguments in determining whether to issue a preliminary injunction—and if so, whether it should be confined to the plaintiff states or applied nationwide. In the interim, the TRO has been expanded until the court can rule on the injunction question.
Trump Administration Weighs in on USPSTF Braidwood Lawsuit – The Trump administration has filed its first brief in a Supreme Court case that will decide the constitutionality of the U.S. Preventive Services Task Force (USPSTF). The case, which will be heard before the Court later this year, follows a lower court ruling that the USPSTF is unconstitutional because its members wield power that resembles legislative authority without being appointed by the President and confirmed by the Senate. The Trump White House has aligned itself with its Biden administration predecessors in defending the Affordable Care Act’s preventive services mandate and requirements for no-cost access to services; however, the new administration goes further in its arguments regarding the authority of the U.S. Department of Health and Human Services (HHS) secretary. The Biden administration previously argued that USPSTF’s authority derives from the HHS secretary, who retains a supervisory role over the task force. The Trump administration further argues that the HHS secretary has full authority over USPSTF, including final say over its membership, recommendations, and course of studies.
Latest Executive Orders from the Trump White House – President Donald Trump signed an executive order (E.O.) last week that aims to expand access to invitro fertility treatments. While the E.O. requires the Domestic Policy Council to draft policy recommendations to both protect IVF access and reduce out-of-pocket and health plan costs for the treatment, congressional action would be necessary to place any coverage mandates on self-funded health plans. The President also signed an E.O. titled Commencing the Reduction of the Federal Bureaucracy. In addition to eliminating the non-statutory components and functions of the Presidio Trust, the Inter-American Foundation, the United States African Development Foundation, and the United States Institute of Peace, the order also terminates the Secretary’s Advisory Committee on Long COVID within HHS and the Health Equity Advisory Committee within the Centers for Medicare and Medicaid Services.
Upcoming Congressional Hearings and Markups
House Veterans’ Affairs Subcommittee on Technology Modernization hearing “From Reset to Rollout: Can the VA EHRM Program Finally Deliver?” 3:00 p.m.; February 24
House Energy and Commerce Subcommittee on Health hearing “An Examination of How Reining in PBMs Will Drive Competition and Lower Costs for Patients;” 10:00 a.m.; February 26
Senate Special Committee on Aging hearing “Combating the Opioid Epidemic;” 3:30 p.m.; February 26
Recently Introduced Health Legislation
H.R.1396 — To amend the Internal Revenue Code of 1986 to establish the generic drugs and biosimilars production credit, and for other purposes; Sponsor: Tenney, Claudia [Rep.-R-NY-24]; Committees: House – Ways and Means
H.R.1392 — To provide funding to the Bureau of Prisons, States, and localities to carry out mental health screenings and provide referrals to mental healthcare providers for individuals in prison or jail; Sponsor: Sherrill, Mikie [Rep.-D-NJ-11]; Committees: House – Judiciary
H.R.1384 — To authorize Department of Veterans Affairs health care providers to provide recommendations and opinions to veterans regarding participation in State marijuana programs; Sponsor: Mast, Brian J. [Rep.-R-FL-21]; Committees: House – Veterans’ Affairs
H.R.1381 — COVID-19 Vaccination Non-Discrimination Act – To prohibit Federal funds from being made available to entities that refuse to provide treatment based on COVID19 vaccination status; Sponsor: Houchin, Erin [Rep.-R-IN-9]; Committees: House – Energy and Commerce; Ways and Means
H.R.1370 — Unobligated Spending Adjustment to Focus Investment on Relief and Support for Taxpayers Act – To transfer unobligated funds from the United States Agency for International Development to the Disaster Relief Fund; Sponsor: Brecheen, Josh [Rep.-R-OK-2]; Committees: House – Appropriations
H.R.1364 — Automotive Support Services to Improve Safe Transportation (ASSIST) Act – To amend title 38, United States Code, to provide clarification regarding the inclusion of medically necessary automobile adaptations in Department of Veterans Affairs definition of “medical services”; Sponsor: Barrett, Tom [Rep.-R-MI-7]; Committees: House – Veterans’ Affairs
S.605 — A bill to amend title 38, United States Code, to increase the maximum age for children eligible for medical care under the CHAMPVA program, and for other purposes; Sponsor: Blumenthal, Richard [Sen.-D-CT]; Committees: Senate – Veterans’ Affairs
S.607 — A bill to require the Secretary of Veterans Affairs to establish an integrated project team to improve the process for scheduling appointments for health care from the Department of Veterans Affairs, and for other purposes; Sponsor: Hassan, Margaret Wood [Sen.-D-NH]; Committees: Senate – Veterans’ Affairs
S.609 — A bill to improve mental health services of the Department of Veterans Affairs, and for other purposes; Sponsor: Blumenthal, Richard [Sen.-D-CT]; Committees: Senate – Veterans’ Affairs
S.617 — A bill to permit the Attorney General to award grants for accurate data on opioid-related overdoses, and for other purposes; Sponsor: Scott, Rick [Sen.-R-FL]; Committees: Senate – Judiciary
H.R.1403 — To amend title XIX of the Social Security Act to require States to verify certain eligibility criteria for individuals enrolled for medical assistance quarterly, and for other purposes; Sponsor: Bilirakis, Gus M. [Rep.-R-FL-12]; Committees: House – Energy and Commerce
H.R.1404 — To amend title 38, United States Code, to increase the maximum age for children eligible for medical care under the CHAMPVA program, and for other purposes; Sponsor: Brownley, Julia [Rep.-D-CA-26]; Committees: House – Veterans’ Affairs
H.R.1405 — To direct the Comptroller General of the United States to conduct a study to assess the key regulatory barriers that impede the expansion or siting of new pharmaceutical manufacturing facilities in the United States, and for other purposes; Sponsor: Buchanan, Vern [Rep.-R-FL-16]; Committees: House – Energy and Commerce
H.R.1406 — To amend title XVIII of the Social Security Act to authorize the coverage of additional lung cancer screening tests under the Medicare program; Sponsor: Buchanan, Vern [Rep.-R-FL-16]; Committees: House – Energy and Commerce; Ways and Means
H.R.1407 — To amend title XVIII of the Social Security Act to remove geographic requirements and expand originating sites for telehealth services under the Medicare program; Sponsor: Buchanan, Vern [Rep.-R-FL-16]; Committees: House – Energy and Commerce; Ways and Means
H.R.1410 — To amend title XXXIII of the Public Health Service Act with respect to flexibility and funding for the World Trade Center Health Program; Sponsor: Garbarino, Andrew R. [Rep.-R-NY-2]; Committees: House – Energy and Commerce
H.R.1414 — To amend the Internal Revenue Code of 1986 to restore the amount of the orphan drug tax credit; Sponsor: Gottheimer, Josh [Rep.-D-NJ-5]; Committees: House – Ways and Means
H.R.1417 — To expand and codify the Rural Hospital Technical Assistance Program of the Department of Agriculture and rename it as the Rural Health Care Facility Technical Assistance Program; Sponsor: Jackson, Ronny [Rep.-R-TX-13]; Committees: House – Agriculture
H.R.1424 — To amend the Internal Revenue Code of 1986 to increase the employer tax credit for paid family and medical leave; Sponsor: Mackenzie, Ryan [Rep.-R-PA-7]; Committees: House – Ways and Means
H.R.1427 — To amend the Internal Revenue Code of 1986 to increase the amount of the adoption credit and to establish the in vitro fertilization expenses credit; Sponsor: Mackenzie, Ryan [Rep.-R-PA-7]; Committees: House – Ways and Means
H.R.1432 — To prohibit any Federal law from making the manufacturer of a COVID-19 vaccine immune from suit or liability, or limiting the liability of such a manufacturer, with respect to claims for loss caused by, arising out of, relating to, or resulting from the administration to or the use by an individual of a COVID-19 vaccine, and for other purposes; Sponsor: Roy, Chip [Rep.-R-TX-21]; Committees: House – Judiciary
H.R.1433 — To amend title XIX of the Social Security Act to renew the application of the Medicare payment rate floor to primary care services furnished under the Medicaid program, and for other purposes; Sponsor: Schrier, Kim [Rep.-D-WA-8]; Committees: House – Energy and Commerce
H.R.1435 — To amend title V of the Social Security Act to extend funding for the family-to-family health information centers; Sponsor: Sherrill, Mikie [Rep.-D-NJ-11]; Committees: House – Energy and Commerce
S.628 — A bill to suspend the entry of covered aliens in response to the fentanyl public health crisis; Sponsor: Scott, Tim [Sen.-R-SC]; Committees: Senate – Judiciary
S.632 — A bill to amend the Indian Health Care Improvement Act to allow Indian Health Service scholarship and loan recipients to fulfill service obligations through half-time clinical practice, and for other purposes; Sponsor: Cortez Masto, Catherine [Sen.-D-NV]; Committees: Senate – Indian Affairs
S.635 — A bill to amend title 38, United States Code, to direct the Secretary of Veterans Affairs to recognize nurse registries for purposes of the Veterans Community Care Program, and for other purposes; Sponsor: Tuberville, Tommy [Sen.-R-AL]; Committees: Senate – Veterans’ Affairs
S.641 — A bill to amend the Federal Food, Drug, and Cosmetic Act to allow for the personal importation of safe and affordable drugs from approved pharmacies in Canada; Sponsor: Klobuchar, Amy [Sen.-D-MN]; Committees: Senate – Health, Education, Labor, and Pensions
S.652 — A bill to provide for the regulation of certain communications regarding prescription drugs; Sponsor: Durbin, Richard J. [Sen.-D-IL]; Committees: Senate – Health, Education, Labor, and Pensions
S.653 — A bill to amend the Internal Revenue Code of 1986 to treat membership in a health care sharing ministry as a medical expense, and for other purposes; Sponsor: Budd, Ted [Sen.-R-NC]; Committees: Senate – Finance
S.654 — A bill to amend title 38, United States Code, to establish an external provider scheduling program to assist the Department of Veterans Affairs in scheduling appointments for care and services under the Veterans Community Care Program, and for other purposes; Sponsor: Moran, Jerry [Sen.-R-KS]; Committees: Senate – Veterans’ Affairs
S.664 — A bill to replace the National Institute of Allergy and Infectious Diseases with 3 separate national research institutes; Sponsor: Paul, Rand [Sen.-R-KY]; Committees: Senate – Health, Education, Labor, and Pensions
S.665 — A bill to amend title XIX of the Social Security Act to establish the Health Engagement Hub Demonstration Program to increase access to treatment for opioid use disorder and other substance use disorders, and for other purposes; Sponsor: Cantwell, Maria [Sen.-D-WA]; Committees: Senate – Finance
S.666 — A bill to increase access to mental health, substance use, and counseling services for first responders, and for other purposes; Sponsor: Gillibrand, Kirsten E. [Sen.-D-NY]; Committees: Senate – Health, Education, Labor, and Pensions
S.668 — A bill to amend title 38, United States Code, to establish the Office of Falls Prevention of the Department of Veterans Affairs, and for other purposes; Sponsor: King, Angus S., Jr. [Sen.-I-ME]; Committees: Senate – Veterans’ Affairs
S.678 — A bill to amend title XIX of the Social Security Act to require States to verify certain eligibility criteria for individuals enrolled for medical assistance quarterly, and for other purposes; Sponsor: Scott, Rick [Sen.-R-FL]; Committees: Senate – Finance
S.Res.87 — A resolution designating February 2025 as “American Heart Month”; Sponsor: Durbin, Richard J. [Sen.-D-IL]; Latest Action: Submitted in the Senate, considered, and agreed to without amendment and with a preamble by Unanimous Consent.