Congress – Currently all congressional focus is on a potential reconciliation bill for immigration enforcement funding. The expectation is the reconciliation bill language will be revealed around May 15, with passage by June 1. The bill does not include any healthcare cuts. Some Republicans have mentioned potentially having another reconciliation bill that would include healthcare funding cuts. Given that it’s an election year this is likely tricky but worth monitoring.
Earnings Report – Overall, issuer earnings reports were positive, as costs appeared to be lower than expected. Hospital earnings reports were more mixed as decreases in ACA Exchange volume and increases in uninsured patient volume were a headwind. There were also fewer than expected respiratory related (e.g., flu) related visits. There were also reports of lower elective surgery volumes, potentially as a result of higher inflation.
Potential Change to Earnings Reports – The SEC proposed allowing public companies to report earnings only twice a year, as opposed to the current quarterly requirement. If enacted as proposed, this could reduce transparency into health sector dynamics.
CMS Officially Announces Bridge Program – CMS announced the official launch of the time limited demonstration that will provide access to GLP-1 Medications for Medicare beneficiaries for $50, starting July 1. More information can be found here
Medicaid
- Enrollment – The Washington Post recently wrote about the declines in Medicaid enrollment continues to drop. Medicaid enrollment has declined by about 3.4 million between January 2025 and January 2026. While there haven’t been definitive answers on the reasons for the decline the Washington Post noted that application approval timing is taking longer and procedural related reasons for disenrollment were up. Additionally, applications to Medicaid were down with some providers groups believing recent immigration actions may be having a chilling effect.
- Work Requirement Survey – KFF recently released a survey of states on their implementation efforts related to work requirements. A few notable findings include:
- Four states (Arkansas, Idaho, Indiana, and New Hampshire) will require additional and/or more frequent verifications.
- Three states (Iowa, Montana, and Nebraska) will implement work requirements in 2026.
- Two states (Iowa and Indiana) plan to offer hardship exemptions.
