09 March 2026

This Week in Health Policy for March 9

This week (March 9-13)

The House will be out of session this week, while the Senate is scheduled to be in session this week.

Senate Special Committee on Aging will hold a hearing on "Foreign Dependence: How China Captured America's Drug Supply."

  • Date: Wednesday, March 11 at 3:30pm ET
  • More information available here.

Last week (March 2-6)

Congressional Highlights

Senate passes COPPA 2.0. On Thursday (March 5), the Senate voted unanimously to pass its version of the Children and Teens' Online Privacy Protection Act (COPPA) 2.0, which would extend privacy protections for children from age 13 to age 17. A version in the House has not yet advanced and takes a different approach to the knowledge standard and state preemption than the Senate version.

Senate Finance Committee Democrats probe MFN deals. On Friday (March 6), Senate Finance Committee Ranking Member Ron Wyden (D-OR) and six Senate Democrats announced they sent letters to 11 drug manufacturers with Most Favored Nations (MFN) deals with the White House, requesting more information on the deals and potential impact for patients and taxpayers. House and Democratic Health Committee leaders also wrote to President Trump this week requesting copies of MFN agreements.

House Energy and Commerce Committee seeks information on state fraud. On Tuesday (March 3), the Committee sent letters to New York, California, Washington, Massachusetts, Pennsylvania, Vermont, Nebraska, Colorado, Oregon, and Maine seeking information on Medicaid fraud by March 17, 2026. It remains to be seen whether states will be able to fully respond by that date, and what steps the committee may take next. House Energy and Commerce Health Subcommittee Ranking Member DeGette (D-CO) issued a statement criticizing the letters.

Administrative Highlights

CMS issues guidance on Medicaid redeterminations. On Friday (March 6), CMS released a State Medicaid Director Letter to implement Medicaid eligibility redetermination provisions under the One Big Beautiful Bill Act, which requires states to complete redeterminations once every six months, beginning with renewals scheduled on or after January 1, 2027. The letter provides an overview of the changes to federal renewal requirements, operational considerations, and additional clarification for states when implementing the new 6-month renewals, such as providing two options to transition beneficiaries to the new renewal timeline as well as considerations regarding coordination with other human services recertifications (e.g. SNAP).

OPM issues RIF proposed rule. On Thursday (March 5) the Office of Personnel Management (OPM) published a proposed rule that would change the reduction-in-force (RIF) process. Under the rule, federal agencies would be required to prioritize performance over tenure when agencies determine which employees would be retained in a RIF. Comments are open until May 4.

Trump Administration takes actions on nutrition. On Wednesday (March 4), The US Department of Health and Human Services (HHS) and the US Department of Agriculture (USDA) launched an initiative that encourages private sector companies to educate the public on the recently updated dietary guidelines. In addition, on Thursday (March 5), HHS and the Department of Education announced more than 50 medical schools across the country have committed to increasing nutrition training in their programs.

Federal judge rules in favor of hospitals in 340B case. On Tuesday (March 3), a federal judge in Washington, DC, struck down parts of a Health Resources and Services Administration (HRSA) notice that required hospitals to register 340B "child sites." The ruling concluded that HRSA lacks the statutory authority to impose requirements that delay covered entity access to 340B drug discounts.

CMS probes New York Medicaid program. On Tuesday (March 3), CMS sent a letter to New York's Medicaid program requesting details about program integrity efforts and raising concerns about the program's high spending levels. CMS in the letter asked dozens of questions, including those focused on oversight of fraud, waste, and abuse and improper payments; provider screening; program integrity infrastructure and accountability; and more.

CMS extends GENEROUS model application deadline. On Monday (March 2), CMS said it will extend the application deadline for the GENErating cost Reductions for US Medicaid (GENEROUS) model, which will allow state Medicaid programs to purchase drugs at MFN prices. CMS extended the application deadline for interested drug manufacturers from March 31 to April 30.

FDA holds meeting with states on drug importation. This week, the Food and Drug Administration (FDA) held a meeting with several states to discuss the section 804 importation program (SIP), which allows states and Indian tribes to import certain prescription drugs from Canada, aimed at providing another avenue to deliver lower cost drugs to Americans. The gathering was the latest action toward the FDA's implementation of President's Trump's executive order on lowering drug prices. The FDA is working to support states and tribes with options to streamline the cost savings analysis required for SIP proposal submissions along with providing other opportunities for collaboration.

Hearings, Markups, and Other Committee Activity

Senate HELP Committee held a hearing on "Transforming Health Care with Data: Improving Patient Outcomes Through Next-Generation Care." On Thursday (March 5), the Committee heard testimony from Thomas Keane, Assistant Secretary for Technology Policy and National Coordinator for Health Information Technology, on the agency's recent regulatory actions to address prior authorizations and promote interoperability to position the US to better use AI. During the hearing, several Democrats spoke of the need for guardrails for AI use in health care and leveraging technology to increase health care affordability, while Republicans spoke positively of AI in health care but warned of individual bad actors.

  • More information available here.

House Oversight and Government Reform Committee held a hearing on "Oversight of Fraud and Misuse of Federal Funds in Minnesota: Part II." On Wednesday (March 4), the Committee heard testimony from Minnesota Governor Tim Walz and Minnesota Attorney General Keith Ellison on concerns related to fraud within state programs. During their testimony, Gov. Walz and Attorney General Ellison acknowledged fraud within the program but spoke critically of the Administration's decision to withhold Medicaid funds and deploy federal agents, saying it impedes their ability to address fraud. During the hearing, Republicans spoke of fraud in the states Feeding Out Future program, while Democrats criticized the hearing and the Administration's approach to fraud as partisan. Relatedly, Minnesota earlier this month filed a lawsuit against CMS for withholding federal matching funds for the state's Medicaid program.

  • More information available here.

Reports, Studies, and Journals

* * * * * * * * * *
Contact Information

For additional information concerning this Alert, please contact:

Washington Council Ernst & Young

Document ID: 2026-0591