on the hill
Cyber Monday for Congress: Coverage of GLP-1s is on sale
Lawmakers on Capitol Hill have long cited the hefty price tag of allowing Medicare to cover buzzy anti-obesity medications as the primary reason why the policy hasn't passed. But now that the Biden administration has proposed a regulation to allow coverage, the policy would essentially be on sale for Congress, Rachel Cohrs Zhang reports.
When a regulation is proposed, the Congressional Budget Office updates its baseline budget to include part of the cost of the rule (often 50%, according to CBO). That means if Congress were to pass a law codifying Medicare coverage of anti-obesity medications like Wegovy and Zepbound, the cost estimate could be roughly half off of the normal price tag for the federal government.
Congress is known to play games with budget estimates, given Congress funded significant chunks of the Biden administration's domestic policy agenda by rolling back a Trump-era drug payment rule.
But Congress' window of opportunity may be small, as Robert F. Kennedy Jr. could choose to cancel the rule if he's confirmed as HHS secretary. It's unclear whether there is the will to enact a major coverage expansion in Medicare in the coming weeks.
transition watch
Former Trump official warns against RFK Jr. nomination
Trump's first FDA commissioner, Scott Gottlieb, is raising concerns with Senate Republicans about Trump's selection of RFK Jr. to lead HHS.
Gottlieb maintained during a television appearance on Friday that there is skepticism among Republicans who will vote on his nomination. "I've had conversations, and I've raised my concerns and I will continue to raise my concerns," he said on CNBC.
So far, moderate Republicans have held back from saying whether they will support RFK Jr.'s nomination. Given the Republican majority in the Senate next year, the former environmental lawyer would have to lose four Republican votes and fail to sway a single Democrat in order for his nomination to fail, Rachel notes. More from her.
drug pricing
Study: Medicare negotiated prices, by the numbers
Medicare's first batch of negotiated drug prices have some pretty varied savings, according to an analysis published in JAMA this week. Settled prices for the 10 initial drugs were 8% to 42% lower than their pre-negotiation net prices, researchers from Brown University, University of California San Diego, University of Washington and London School of Economics and Political Science wrote.
Still, the negotiated prices for all but one drug remain above the list prices in peer countries, they said.
While Trump hasn't really touched the Medicare negotiation law launched by President Biden, he has railed against the U.S. paying more for these drugs than peer countries do. Read the whole analysis.
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