Health Care Week in Review December 6, 2024

Health Care Week in Review: Senators Introduce Bill to Allow for Medicaid Direct Primary Care Models; Congress Works to Negotiate an End-of-Year Funding Package

Below is Alston & Bird’s Health Care Week in Review, which provides a synopsis of the latest news in health care regulations, notices, and guidance; federal legislation and congressional committee action; reports, studies, and analyses; and other health policy news.


Week in Review Highlight of the Week:

This week, Senators Marsha Blackburn (R-TN) and Mark Kelly (D-AZ) introduced a bill to allow state Medicaid programs to develop direct primary care models and Congressional leadership has stepped up negotiations for an end-of-year funding package before the December 20 deadline.


I. Regulations, Notices & Guidance

Event Notices

December 9, 2024: NIH announced a briefing on the National Academies of Science, Engineering, and Medicine’s (NASEM) Assessment of NIH Research on Women’s Health. This is a hybrid meeting open to the public.

December 10, 2024: ASPR announced a meeting of the National Advisory Committee on Individuals with Disabilities and Disasters. This is a virtual meeting open to the public.

December 11, 2024: CDC announced a meeting of the Lead Exposure and Prevention Advisory Committee. This is a virtual meeting open to the public.

December 12, 2024: NIH announced a meeting of the Advisory Committee to the Director, National Institutes of Health. This is a hybrid meeting open to the public.

December 12, 2024: FDA announced a hearing of the Vaccines and Related Biological Products Advisory Committee. This is a virtual meeting open to the public.

December 13, 2024: FDA announced a public workshop entitled, “Patient-Focused Drug Development: Workshop to Discuss Methodologic and Other Challenges Related to Patient Experience Data.” This is a virtual meeting open to the public.

January 7, 2025: Department of Health and Human Services (HHS) announced a meeting of the Advisory Committee on Minority Health. This is a virtual meeting open to the public.

January 13, 2025: NIH announced a meeting of the National Advisory Child Health and Human Development Council. This is a virtual meeting open to the public.

January 27, 2025: NIH announced a meeting of the National Advisory Allergy and Infectious Diseases Council. This is a virtual meeting with some sessions open to the public.

January 28, 2025: NIH announced a meeting of the National Arthritis and Musculoskeletal and Skin Diseases Advisory Council. This is an in-person meeting open the public.

January 28, 2025: NIH announced a meeting of the National Advisory Council for Nursing Research. This is an in-person meeting open to the public.

February 5, 2025: FDA announced a joint public meeting of the Drug Safety and Risk Management Advisory Committee and the Anesthetic and Analgesic Drug Products Advisory Committee. This is a hybrid meeting open to the public.

April 3, 2025: NIH announced a meeting of the Board of Scientific Counselors for the National Institute of Diabetes and Digestive and Kidney Diseases. This is a hybrid meeting open to the public.

II. Hearings and Markups

III. Reports, Studies, & Analyses

  • On December 5, 2024, the RAND Corporation released a report entitled, Key Findings from RAND Health Care Research on Telehealth Policy. According to the report, telehealth usage rose dramatically—by over 4,000 percent—early in the COVID-19 pandemic due to temporary Medicare and Medicaid policy adjustments that removed reimbursement restrictions. While usage has since stabilized, behavioral health care continues to experience elevated telehealth adoption compared to pre-pandemic levels. The report emphasizes equity concerns, noting that rural and low-income populations often face barriers due to limited broadband access. RAND highlights the importance of hybrid care models and the need for ongoing research into telehealth’s cost-effectiveness, health outcomes, and accessibility. Policymakers, the report states, must address the sustainability of telehealth reimbursement policies as temporary pandemic provisions near expiration.
  • On December 5, 2024, the Congressional Budget Office (CBO) released a report entitled, The Effects of Not Extending the Expanded Premium Tax Credits for the Number of Uninsured People and the Growth in Premiums. The report highlights that the expanded tax credits introduced by the American Rescue Plan Act (ARPA) significantly reduced premium costs for Affordable Care Act marketplace enrollees and expanded eligibility to individuals with incomes above 400 percent of the federal poverty level. CBO projects that allowing these credits to expire after 2025 will result in an average increase in the number of uninsured individuals by 3.8 million per year from 2026-2034, as well as an increase in gross benchmark premiums by an average of 7.9 percent per year over the same 2026-2034 period.
  • On December 2, 2024, the HHS Office of the Inspector General (OIG) released a report entitled, The Organ Procurement and Transplantation Network IT System’s Cybersecurity Controls Were Partially Effective and Improvements Are Needed. According to the report, while certain cybersecurity controls, such as protections against phishing attacks, were effective, the network monitoring of the Organ Procurement and Transplantation Network (OPTN) IT system was insufficient to detect or respond to most simulated cyberattacks. OIG stated that these deficiencies left the system vulnerable to attackers with moderate sophistication, who could potentially compromise the system and cause significant harm. The report identified 22 vulnerabilities across 16 cybersecurity controls, many tied to inadequate network monitoring. OIG attributed these issues to failures in implementing or maintaining federally required cybersecurity measures. The report recommended that HRSA ensure the OPTN contractor remediates these vulnerabilities, verifies the fixes, improves network monitoring, and maintains ongoing compliance with federal standards. HRSA concurred with all four recommendations.

IV. Other Health Policy News

  • On December 6, 2024, Senator Ron Wyden (D-OR) introduced the Fast Track Apprenticeship Act to address the critical shortage of health care workers in the United States, projected to reach 100,000 by 2028. The bill seeks to make it easier for health care employers to establish registered apprenticeship programs, providing hands-on training for roles such as medical assistants, registered nurses, and home health aides. The legislation proposes modernizing the Department of Labor’s (DOL’s) application process, including requiring decisions on apprenticeship applications within 45 days, digitizing agreement forms, and improving accessibility for applicants. Senator Wyden emphasized the urgency of expediting the creation of such programs to support aspiring health professionals and address workforce gaps. The bill text is available here. A press release with more information is available here.
  • On December 5, 2024, Senators Marsha Blackburn (R-TN) and Mark Kelly (D-AZ) introduced the Medicaid Primary Care Improvement Act, aiming to expand access to primary care for Medicaid beneficiaries by authorizing state Medicaid programs to adopt direct primary care (DPC) models. These models allow patients to pay a flat monthly fee for primary care services, which may reduce administrative burdens and improve access to care, particularly in rural and underserved areas. This Senate legislation parallels H.R. 3836, the Medicaid Primary Care Access Act, introduced by Representatives Dan Crenshaw (R-TX) and Kim Schrier (D-WA), which passed the House in March 2024. Both bills aim to provide states greater flexibility to implement DPC arrangements, leveraging this innovative model to improve care coordination, enhance preventive care, and address the anticipated national shortage of primary care physicians. The Senate bill text is available here. A press release with more information is available here. The House version of the bill is available here.
  • House and Senate leadership are working to negotiate an agreement to fund the government before Fiscal Year (FY) 2025 government funding expires on December 20, 2024. A temporary funding patch known as a continuing resolution (CR) is looking increasingly more likely as the December 20 deadline approaches. A CR would likely extend federal funding until February or March 2025. It is also likely that a supplemental disaster aid package will be included in this CR: the Biden Administration has requested $98.6 billion, but Speaker Mike Johnson (R-LA) has faced some pressure from his party to either reduce that number or include policy changes that will offset some of the costs, so it remains to be seen how much disaster relief funding will be included. Several health programs are set to expire by the end of the year if they are not included within the funding package. These include Medicare telehealth flexibilities, the Medicare Acute Hospital Care at Home (AHCAH) program, the Medicare Dependent Hospital (MDH) and Low Volume Hospital (LVH) programs, the Teaching Health Center Graduate Medical Education (THCGME) program, the National Health Service Corps (NHSC), the Pandemic and All-Hazards Preparedness Act (PAHPA) programs, and the Substance Use Disorder Prevention that Promotes Opioid Recovery and Treatment for Patients and Communities Act (SUPPORT Act)  programs. In addition, a 2.83 percent cut to the Medicare Physician Fee Schedule (PFS) conversion factor is set for 2025 unless Congress intervenes. There have been bipartisan, bicameral efforts urging leadership to address these program expirations and the PFS cut in any potential end-of-year legislation package.
  • President-elect Donald Trump has continued to announce nominations for his incoming Administration—including his picks for CDC Director, NIH Director, FDA Commissioner, and Surgeon General.
    • CDC Director Nominee: Dr. David Weldon, a practicing internist and former U.S. Representative from Florida, has previously sponsored legislation aimed at expanding vaccine safety research and has been a vocal advocate for transparency in public health policy. His nomination aligns with the administration’s focus on reforming federal health agencies.
    • NIH Director Nominee: Dr. Jay Bhattacharya, a professor of medicine and economics at Stanford University, gained prominence during the COVID-19 pandemic for advocating focused protection strategies and co-authoring the Great Barrington Declaration, which called for fewer lockdowns and a pandemic strategy centered on focused herd immunity. His research spans public health policy, the economics of aging, and global health.
    • FDA Commissioner Nominee: Dr. Marty Makary, a Johns Hopkins surgeon and public health researcher, has called for greater transparency in regulatory decisions and has expressed concerns about vaccine mandates, emphasizing a data-driven approach to public health. His focus includes reducing regulatory burdens and encouraging innovation in healthcare.
    • Surgeon General Nominee: Dr. Janette Nesheiwat, medical director at CityMD and a regular media commentator on Fox News, has been an advocate for preventive care and patient education, supporting COVID-19 vaccines while opposing mandates. Her experience in urgent care and public health communication is expected to shape her approach to the role.

View our Health Care Legislative & Public Policy team.

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