FY 2001 Labor-HHS Appropriations Bill
Negotiators from the House and Senate have agreed to a bill that would increase NIH funding by $2.7 billion next year to $20.5 billion, which is a 15.2 percent increase. They seem to have also weakened considerably the language in both bills that was designed to assure that the government gets a return on its investment when it funds research that produces profitable drugs and devices. The final deal may include narrowly drawn report language that asks NIH to prepare a plan to ensure “that taxpayer’s interests are protected” when FDA-approved drugs developed through NIH-funded research, have reached $500 million per year in sales in the U.S. The full House and Senate will be asked to approve the FY 2001 Labor-HHS appropriations bill this fall. At the moment, a veto is being threatened over what the President perceives is inadequate funding for some of his education initiatives. Stay tuned, as this will not be resolved quickly.
More on the BBA
All 50 state hospital associations and the American Hospital Association sent a letter in the beginning of August to every member of the House and Senate asking for BBA relief - in the form of a restoration of the full Medicare payment update for 2001 and 2001 - this year.
Worth noting
In the beginning of August, HCFA issued its new policy for Medicare coverage of the routine patient care costs associated with clinical trials. Also released in mid-August were the final rules setting standards for electronic transmissions under HIPAA. The companion to these rules - covering privacy protection - will be released later this year.
• In Massachusetts: Governor Cellucci signed the budget supplemental for FY 2000—Under this bill, $10 million of the $25 million set aside for increasing Medicaid payments to hospitals will be reserved for “distressed” hospitals, and an extra $7 million will be available to distressed community health centers.
• Health Care for All: At least some of the original supporters of the health care initiative on the ballot this fall are going to push for approval of the initiative. Although Health Care for All and the major unions are said to have backed away from the proposal, the Massachusetts Nurses Association, the League of Women Voters and some physicians are still planning to push the measure.