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Washington Highlights: May 30, 2008

Federal Court Rules in Favor of Hospitals on Medicaid Moratorium

The U.S. District Court for the District of Columbia May 23 ruled that the Centers for Medicare and Medicaid Services (CMS) violated a congressionally imposed, one-year moratorium by attempting to issue the Medicaid IGT rule in final form on May 25, 2007, the same day President Bush signed the moratorium into law. Judge James Robertson ordered the rule vacated and remanded to CMS. In his decision, Judge Robertson noted, "[i]n this case, the Court is asked to decide whether a maneuver by the Executive Branch deliberately designed to outfox a clear directive of Congress was successful. The answer is no."

The AAMC, the National Association of Public Hospitals, and the American Hospital Association March 11 initiated the lawsuit, Alameda County Medical Center v. The Honorable Michael O. Leavitt [see Washington Highlights, March 14]. The legal complaint filed by the associations asserted that: (1) CMS overstepped its authority by dictating to states the governmental status of entities within their jurisdiction; (2) the agency was barred by Congress from imposing a cost limit on Medicaid payments to government providers; and (3) CMS improperly issued a final rule on the very day that a Congressional moratorium blocking the rule took effect.

In a press release, the hospital community applauded the Court's ruling, but strongly urges Congress to complete its work on broadly supported legislation to extend the current Medicaid moratorium. The regulation, which would cut $5 billion in funding to safety net hospitals, must now be re-issued by CMS.

Information:
Ivy Baer, Director & Regulatory Counsel
AAMC Health Care Affairs
ibaer@aamc.orc
(202) 828-0490

NIH Expands CTSA Consortium

The National Institutes of Health (NIH) May 29 announced that 14 research institutions in 11 states will be added to the NIH's Clinical and Translational Science Award (CTSA) consortium. Total funding for these new awards is $533 million over 5 years. The intent of the awards, which establish cooperative agreements between NIH and the funded institutions, is to create support structures, systems and shared resources that provide “homes” for patient-oriented and population based researchers, and for new investigators and trainees.

The new members include: Albert Einstein College of Medicine of Yeshiva University; Boston University; Harvard University; Indiana University School of Medicine; Northwestern University; The Ohio State University; The Scripps Research Institute; Stanford University; Tufts University; The University of Alabama at Birmingham; University of Colorado Denver; The University of North Carolina at Chapel Hill; The University of Texas Health Science Center at San Antonio; and The University of Utah.

These 14 academic health centers join 24 others announced in 2006 and 2007. This was the largest number of awards made in a single round, although NIH noted last September that funding for the program remains quite tight, and the agency implemented a revised funding policy [see Washington Highlights, Sept. 21, 2007]. The AAMC, through its Group on Research Advancement and Development and the Advisory Panel on Research, is working with NIH and National Center for Research Resources to promote more efficient use of national research "cores," or shared resources, within the CTSA program. The CTSA program replaces the General Clinical Research Centers awards, which will phase out over the next several years.

Information:
Irena Tartokovsky, Senior Science Policy Analyst
AAMC Biomedical and Health Sciences Research
itartakovsky@aamc.org
(202) 862-6134

Stephen Heinig, Lead Science Policy Analyst
AAMC Biomedical Health Sciences Research
sheinig@aamc.org
(202) 828-0488

NHGRI Director Resigns

Francis S. Collins, M.D., Ph.D., founding director of the National Human Genome Research Institute, May 28 announced his resignation, effective Aug. 1, 2008. Dr. Collins joined the National Institutes of Health (NIH) in April 1993 to direct the National Center for Human Genome Research, which became an NIH Institute in June 1997. In his resignation statement, Dr. Collins said he plans to explore writing projects and other professional opportunities. Alan E. Guttmacher, M.D., the current deputy director of NHGRI, will be appointed acting director of NHGRI on Aug. 1.

On the Hill…

Rep. Vito Fossella (R-N.Y.) May 20 announced his decision to retire from the House of Representatives at the end of the current term (Jan. 3, 2009). Rep. Fossella has served for 5 terms and currently sits on the House Committee on Energy and Commerce.