Federal Government Remains in Shutdown: No deal has been struck between Congressional leaders, marking this the seventeenth day of government shutdown. There are potential discussions to reportedly include the Department of Agriculture, Veterans Affairs, FDA and Legislative Branch full-year funding measures to a coming funding measure, which GOP leadership would hope to entice needed Democrat cooperation. On Wednesday, Senate Majority Leader John Thune (R-SD) said he can “guarantee” a vote on the Obamacare subsidies central to Democrats’ demands after the shutdown. Democrats have so far rebuffed those offers due to Thune being noncommittal about when a subsidy vote would take place.  

Trump Furthers Political Power at HHS: On Wednesday, President Donald Trump issued an Executive Order placing senior political appointees in charge of all hiring, tightening political control over the federal workforce at HHS and other agencies. The EO also requires agencies to submit annual staffing plans to align new career staff appointments with the administration’s goals.  

CMS’ Oz Calls Out Medicare Advantage Programs: On Tuesday, CMS Administrator Mehmet Oz called on Medicare Advantage insurers to standardize their prior authorization rules, saying claim denials are “infuriating.” For the second time this year, Oz warned CMS prior authorization regulations could be coming if the problem persists.

Senate Passes NDAA: On Tuesday, the full Senate passed their version of the FY2026 NDAA, with several healthcare-related policies at the center of final deliberations. The bill allows telehealth mental health providers to offer services across state lines and language from the REWARD Experience Act, allowing medical staff promotions based on licensures rather than Federal experience. A proposal by Sen. Bernie Sanders (I-VT) to provide VA-based universal dental care failed, however.  

California Enacts Several Healthcare Reforms: Last Friday, California Gov. Gavin Newsom (D) signed a bill banning PBM spread pricing in California and requiring all benefit managers to register with the state’s Department of Insurance. Additionally, Newsom signed bills to phase out insurance plans' use of prior authorization by 2028, prohibit private equity groups from making staff or care decisions at practices they own, and further telehealth options in the state.