On the Hill: Government Funding Minibus Released, Designation bill Reintroduced

House and Senate Appropriations Committees have released a new minibus package that would fund affected departments and agencies through September 30, 2026. The package includes the appropriations bills for Defense, Homeland Security, Labor, Health and Human Services, Education, and Related Agencies, and Transportation, Housing and Urban Development, and Related Agencies, as well as several health care extenders of priority to America's Essential Hospitals.

The health care extenders include a two-year elimination of the Medicaid DSH cuts until FY 2028, leaving only one year ($8B) of cuts left. It also includes a two-year extension of Medicare telehealth program flexibilities, through Dec. 31, 2027. Notably, it extends the Acute Hospital-at-Home waiver for five years through Sept. 30, 2030.

The House is aiming to vote on the bill this week, with the Senate expected to follow next week before the Jan. 30 funding deadline. There is bipartisan optimism despite some hurdles remaining, namely whether fiscal conservatives will support the overall spending in the package, whether Democrats will support a bill that funds ICE, and whether Republicans will support health provisions that do not include any elements of the President's recent proposal.

Of significant importance to America's Essential Hospitals, Reps. Lori Trahan (D-Mass.) and David Valadao (R-Calif.) have reintroduced the Reinforcing Essential Health Systems for Communities Act (H.R. 7145). This bipartisan House legislation would establish a federal definition of "essential health systems." This definition would give Congress a new tool to target support to foundational members of the nation's health care safety net. We are grateful for the work of Reps. Trahan and Valadao, who introduced the Reinforcing Essential Health Systems for Communities Act in both the 118th and 119th Congress. We also thank Reps. Darren Soto (D-Fla.), Marc Veasey (D-Texas), Troy Carter (D-La.), and Juan Ciscomani (R-Ariz.) for co-sponsoring the bill.

Committee Activity This Week

The House is in session Tuesday through Friday this week, and the Senate is out of session.

The House Energy and Commerce Subcommittee on Health is holding a hearing on "Lowering Health Care Costs for All Americans: An Examination of Health Insurance Affordability" on Thursday, Jan. 22, at 9:45 am ET.

The House Ways and Means Committee will follow that hearing with their own session "with Health Insurance CEOs" on Thursday, Jan. 22, at 2:30 pm ET.

The House Budget Committee will hold a hearing on "Reverse the Curse: Skyrocketing Health Care Costs and America's Fiscal Future." On Wednesday, Jan. 21, at 10:15 am ET.

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