Daily on Healthcare: Trump administration rejects Kansas Medicaid plan…Virginia insurers propose massive rate hikes…Obamacare’s menu labeling rules start today…

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Trump administration rejects Kansas plan to impose three-year limit on Medicaid. The Trump administration will not allow Kansas to impose limits on how many years someone can be enrolled in the Medicaid program. The state had requested that people on Medicaid be allowed to stay in the program for no more than three years and then be dropped from the program. Several other states have made similar requests, and the Trump administration’s decision for Kansas indicates it will reject similar proposals. “We are determined to make sure that the Medicaid program remains a safety net for those that need it most,” Seema Verma, the administrator for the Centers for Medicare and Medicaid Services, said Monday at the American Hospital Association annual meeting. “To this end, we have determined that we will not approve Kansas’ recent request to place a lifetime limit on Medicaid benefits for some beneficiaries. We seek to create a pathway out of poverty, but we also understand that people’s circumstances change, and we must ensure that our programs are sustainable and available to them when they need and qualify for them.” ​ She said the Trump administration would continue to allow states to implement other requirements that certain Medicaid beneficiaries work or train for work as a condition of staying enrolled in the program. Kentucky, Indiana and Arkansas already have had waivers approved that would allow them to implement the provision, and Verma said in her speech that she would announce another approval later this week.​ ​

Welcome to Philip Klein’s Daily on Healthcare, compiled by Washington Examiner Managing Editor Philip Klein (@philipaklein), Senior Healthcare Writer Kimberly Leonard (@LeonardKL) and Healthcare Reporter Robert King (@rking_19).  Email [email protected] for tips, suggestions, calendar items and anything else. If a friend sent this to you and you’d like to sign up, click here. If signing up doesn’t work, shoot us an email and we’ll add you to our list.

Virginia insurers propose massive rate hikes for 2019. A majority of Virginia’s seven Obamacare insurers are proposing double-digit rate hikes for 2019, with several blaming aging high risk pools and moves by the Trump administration for the increases. Group Hospitalization and Medical Services has the biggest proposed increase with 64 percent, and Piedmont Community Healthcare came in second with about a 46 percent increase. CareFirst proposed a 26 percent increase and Cigna 15 percent, according to a summary on healthinsurance.org. Some insurers proposed smaller hikes, such as 5.6 percent for Anthem. Optima dropped its rates by 1.9 percent. A new insurer called Virginia Premier also is entering the state next year. Charles Gaba, who runs the website ACA Signups and is an Obamacare supporter, projected that the average rate increase in the state would be 15 percent.

Obamacare’s menu labeling rule takes effect today. Calories must be posted in restaurants, grocery stores, convenience stores and movie theaters beginning today, under a rule that was created by Obamacare. The rules faced nearly a decade of delays under the Obama administration, but President Trump’s Food and Drug administrator, Scott Gottlieb, has said that he believes the information will help consumers make healthier choices about what they decide to eat. The measure, he has said, is one way to combat high rates of obesity, diabetes and cancer, all of which are drivers of healthcare costs. But he also pledged to try to implement the requirements in a way that is “not overly burdensome.” The rule applies to chains that have at least 20 locations, mandating that they post their calories for every food or beverage in a place consumers can see clearly as they are ready to order. “Our goal is to implement these congressional provisions in the most efficient, effective manner that both benefits consumers without placing unnecessary barriers on industry,” Gottlieb said Monday.

Melania Trump to announce formal platform today. First lady Melania Trump will announce a formal issue platform centered around the well-being of children. Trump will use her first speech in the White House’s Rose Garden to announce what her spokeswoman described as a platform directed at a “variety of issues that affect children.” “As has been evidenced by the many events Mrs. Trump has participated in during her time as first lady, her focus will be the overall well-being of children. Something unique though: She has not narrowed her platform down to just one topic as has been done in the past,” spokeswoman Stephanie Grisham told CNN. During her husband’s 2016 presidential campaign, Melania said she would focus on combating cyberbullying, an issue she recently reinforced as part of her broader effort to help children. Former first lady Michelle Obama did not announce her “Let’s Move” campaign until February 2010, 11 months into her tenure in the position.

Trump administration gathering data from volunteers to study diseases. The National Institutes of Health today launched the “All of Us” research program, which aims to collect data from 1 million volunteers to answer lingering questions about health conditions. In a piece published in USA Today, Health and Human Services Secretary Alex Azar and NIH Director Francis Collins said they were especially focused on enrolling people who have been overlooked in past research studies. The aim is to have better cures for medical conditions by knowing more about how certain types of individuals respond to conditions, medications, treatments or other factors, a field that is known as “precision medicine.” They hope findings will lead to a treatment or cure for Alzheimer’s disease, diabetes, or to finding non-addictive treatments for pain. Anyone is allowed to volunteer for the program at JoinAllofUs.org.

Trump speech on drug prices set for May 11, sources say. President Trump is scheduled to deliver a major speech on tackling high drug prices May 11, according to lobbyists familiar with the decision. The details of the speech have not been announced, but top administration officials have been criticizing the system used between insurers and drug makers to negotiate rebates. Neither the White House nor the Department of Health and Human Services confirmed the new date for the speech. The speech was scheduled for April 26 but was postponed after Azar was hospitalized with a stomach infection.

Pharmacy benefit manager group ditches CEO. The top trade group representing pharmacy benefit managers is leaving by the end of the year. Mark Merritt, president and CEO of the Pharmaceutical Care Management Association, will leave at the end of 2018 after 15 years at the helm. His departure comes as PBMs are under fire from the pharmaceutical industry aiming to blame them for high drug prices. A PBM oversees the drug plan for employer-sponsored and union health plans. “We deeply appreciate his leadership guiding PCMA during a time when our industry grew and evolved dramatically amidst a political period often dominated by contentious healthcare debates,” said Chairman Tim Wentworth of the PBM giant Express Scripts.

Mike Pence’s doctor resigns in wake of Ronny Jackson fiasco. Vice President Mike Pence’s physician, Dr. Jen Pena, resigned Friday following the failure of Trump’s nomination of White House physician Ronny Jackson to become secretary of Veterans Affairs. Pena, who worked with Jackson in the White House’s medical unit, had brought allegations against Jackson to Trump and to former President Barack Obama. Jackson withdrew his name from consideration as VA secretary following anonymous claims that he was not judicious in prescribing pain and sleep medication to White House staff and that he drank on the job. Pena had raised concerns about Jackson’s conduct in memos that were leaked to CNN, in which she accused Jackson of improperly intervening in a medical situation involving Pence’s wife, Karen, and accused him of disclosing details to other providers that he should not have.

Conservative groups demand overhaul of family planning funds. In a letter sent to Azar last week, 85 conservative groups that oppose abortion asked the Trump administration to block Title X grants from going to organizations that also provide abortions, are housed in the same place that abortions are provided, or that refer women to places where they can receive them. The regulations are similar to those set under former President Ronald Reagan. Liberty Counsel Action, the Pro-Life Action League, Susan B. Anthony List, and the Family Research Council are among the organizations that signed the letter. A similar letter from 40 senators and 150 House members had the same request.

Iowa governor signs nation’s strictest abortion ban. Iowa Gov. Kim Reynolds signed a bill into law that would ban an abortion roughly six weeks into a pregnancy, as soon as a fetal heartbeat can be detected. The bill, which is likely to trigger immediate lawsuits, will make Iowa the most restrictive state for abortions in the country. It requires doctors to conduct an ultrasound on pregnant women to test for a fetal heartbeat and to refuse to provide an abortion if it is detected. The bill, which reached the governor’s desk without any Democratic support, provides for exemptions in the cases of rape, incest or when a woman’s pregnancy endangers her life. The ban will go into effect July 1 if it isn’t stopped by the courts. Pro-abortion rights groups say women often don’t know they are pregnant until later in a pregnancy, and Planned Parenthood of the Heartland and the American Civil Liberties Union have said they plan to sue.

Apple’s digital health venture ramps up privacy stakes. Apple’s entry into digital healthcare places a new burden on the iPhone maker’s data-protection mechanisms at a time when corporate America is reeling from high-profile security breaches. With congressional attention at a fever pitch, the stakes have never been higher. Healthcare data is governed by strict federal laws, and any data breach or improper use of consumer information could constitute a violation. For a company to succeed, it will need to build trust with its consumers, says Deven McGraw, the former deputy director for health information privacy at the Department of Health and Human Services. “For a tech company that’s getting into the healthcare space … there has to be a certain level of trust,” said McGraw, the chief regulatory officer at California-based health information startup Citizen. Even a scandal minor in comparison to Facebook’s could harm Apple’s reputation and hinder its expansion in the new market, the most significant move of which is a partnership with 12 hospital systems. The agreement allows patients to access their medical records through an application available on all iPhones with updated software.

RUNDOWN

The Hill Five things to watch as Trump takes on high drug prices

Kaiser Health News Alarming suicide rate jolts Texas community into action

New York Times As Trump prepares plan to lower drug prices, big pharma girds for a fight

Associated Press Idaho, feds wading through details of insurance proposal

STAT News FDA is ready to cope with wave of retirements, Gottlieb says

NPR Reversing and overdose isn’t complicated, but getting the antidote can be

Columbus Dispatch Ohio shies away from drug plan that saved West Virginia $38 million

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Calendar

MONDAY | May 7

Senate and House in session after week-long recess.

May 5-9. American Hospital Association annual meeting. Agenda.

May 6-9. Las Vegas. HLTH: The Future of Healthcare event. Agenda.

TUESDAY | May 8

May 8-11. Baltimore. 2018 International Congress on Integrative Medicine and Health. Agenda.

9 a.m. 29 14th St. NW. National Press Club. Health Affairs briefing on precision medicine. Details.

9 a.m. 1225 I St. NW. Bipartisan Policy Center event on “Investing in the Nation’s Future – A Renewed Commitment to Federal Science Funding. Details.

10 a.m. 2175 Rayburn. House Committee on Education and the Workforce Subcommittee on Workforce Protections hearing on “The Opioid Epidemic: Implications for the Federal Employees’ Compensation Act.” Details.

10 a.m. 2141 Rayburn. House Judiciary Committee hearing on “Challenges and Solutions in the Opioid Abuse Crisis.” Details.

10 a.m. 1100 Longworth. House Ways and Means Committee hearing on Medicare Advantage. Details.

1 p.m. Rayburn 2123. House Energy and Commerce Committee to hold hearing on “Improving the Coordination and Quality of Substance Use Disorder Treatment.” Details.

2 p.m. Cannon 334. House Veterans Affairs Committee hearing on “VA Logistics Modernization.” Details.

WEDNESDAY | May 9

May 9-11. Sheraton Tysons Hotel. Health Workforce Research Conference. Agenda.

9 a.m. 1300 Pennsylvania Ave. NW. Kaiser Family Foundation forum on “Why are Healthcare Prices So High, and What can be Done about Them?” Details.

10 a.m. 2154 Rayburn. House Oversight Committee hearing on “Program Integrity for the Supplemental Nutrition Assistance Program.” Details.

11 a.m. 2360 Rayburn. House Small Business Committee hearing on “Ready, Willing, and Able to Work: How Small Businesses Empower People with Developmental Disabilities.” Details.

THURSDAY | May 10

8 a.m. New York. Financial Times “US Healthcare & Life Sciences Summit.” Details.

8 a.m. 415 New Jersey Ave. NW. Politico event on “Health Care Innovations: A Turning Point in Health IT?” Details.

8:30 a.m. New York. Wall Street Journal festival on the “Future of Everything: Medicine.” Details.

FRIDAY | May 11

9:30 a.m. 529 14th St. NW. National Press Club. Former Sen. Tom Harkin to release report on wellness. Details.

Noon. Association Building. Alliance for Health Policy Event on “State Opportunities to Address Prescription Drug Costs in Medicaid.” Details.

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