Happy Monday! Health policy drama continues to dominate Washington as lawmakers tackle complex budgetary battles and contentious health reforms that could reshape research funding and healthcare access nationwide. At the same time, industry leaders race to innovate while navigating emerging public health concerns. Let’s dive in.

In this week’s Nimitz Health:

• Federal News: House Republicans pass sweeping Medicaid and ACA changes, Trump administration pushes dramatic NIH budget cuts, and the WHO raises alarms on vaccination efforts.

• State News: North Carolina braces for higher premiums in CVS Caremark clash, Oklahoma grapples with escalating measles outbreak, and states challenge MAHA’s nutrition reforms.

• Industry News: Eli Lilly eyes breakthrough obesity pill, while public health concerns rise sharply amid sports betting expansion.

WHO’S HAVING EVENTS THIS WEEK?

Tuesday, June 10th

• House Oversight & Government Reform: “Privacy & National Security Concerns Surrounding 23andMe’s Bankruptcy Sale” at 10am. Watch here.

• *Senate Appropriations: Hearings to Examine Proposed Budget Estimates for FY26 for the National Institutes of Health” at 10am. Watch here.

Wednesday, June 11th

• *House Appropriations: “Markup of FY26 Agriculture, Rural Development, FDA, & Related Agencies Bill” at 10am. Watch here.

• *House Energy & Commerce: “Made in America: Strengthening Domestic Manufacturing and Our Health Care Supply Chain” at 10am. Watch here.

• Senate Judiciary: “Hearings to Examine the Privacy and National Security Implications of the 23&Me Bankruptcy” at 10:15am. Watch here.

*Will be covered by Nimitz Health. Please email [email protected] if you would like a readout of any other hearings.

NEWS DRIVING THE WEEK

Federal News

The U.S. House has passed the "One Big Beautiful Bill Act" (OBBBA), significantly altering Medicaid and ACA Marketplace provisions. According to the Congressional Budget Office (CBO), these changes could leave 10.9 million more Americans uninsured by 2034. Combined with the expiration of enhanced ACA premium tax credits, this number may rise to 16 million uninsured nationally. The most impacted states would include Florida, Texas, California, New York, and Georgia, potentially exacerbating regional disparities in healthcare access.

In parallel, OBBBA introduces dramatic funding reductions for the National Institutes of Health (NIH), potentially cutting research budgets by $18 billion. This proposed decrease threatens the NIH's ability to issue critical research grants, intensifying competition among researchers and potentially stifling scientific breakthroughs and public health innovations. The planned cuts have generated widespread concern, prompting rare public dissent from NIH leaders and researchers who warn of severe consequences for biomedical advancements. NIH Director Jay Bhattacharya is set to appear before the Senate Appropriations Labor, HHS, & Education Subcommittee tomorrow to defend these cuts.

Additionally, the World Health Organization (WHO), despite previous disagreements with the Trump administration, continues its proactive engagement by issuing urgent warnings regarding recent measles outbreaks in the U.S. The WHO emphasizes the critical need for stronger political commitment to vaccination efforts and warns that ongoing mixed messages around vaccine policy could significantly endanger public health

State News

A dispute has erupted between the North Carolina State Health Plan and CVS Caremark, potentially leading to litigation and significantly higher premiums for state employees. The plan alleges CVS Caremark owes tens of millions in unpaid rebates and has failed to honor their existing contractual obligations, which could impose substantial financial burdens on state employees and retirees

In Oklahoma, a rapidly spreading measles outbreak has increased to 19 confirmed cases, mainly affecting unvaccinated populations. Public health authorities stress the urgent need for improved vaccination coverage, highlighting broader national vulnerabilities to infectious disease outbreaks.

Additionally, the Trump administration's "Make America Healthy Again" (MAHA) initiative is causing friction in multiple states, particularly over proposed restrictions on pesticides like glyphosate and changes to school lunch programs, facing pushback from farming and food manufacturing groups. Debates specifically around nutritional standards for school pizza underscore practical and economic challenges in implementing healthier food standards across public school districts.

Industry News

Eli Lilly is moving toward a transformative breakthrough in obesity treatment, as Chugai Pharmaceutical's obesity drug orforglipron gains momentum. Analysts predict peak annual sales could reach $40 billion, potentially reshaping clinical approaches to obesity management by addressing common side effects such as muscle wasting.

Meanwhile, the rapidly expanding legal sports betting industry faces increased scrutiny due to growing public health concerns about gambling addiction, particularly among young men. Advocates warn that the current healthcare infrastructure lacks adequate resources for addressing gambling-related disorders, highlighting a need for robust federal investment in addiction treatment and preventive measures.

FOR FUN

The Congressional Baseball Game is this Wednesday at 7pm. Get your tickets here. The Nimitz Group team will be there, so come say hi!

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