The Daily Scan

July 30, 2018

Last Updated: 8:55 AM EST 

Litigation 

  • The U.S. District Court for the Northern District of Illinois has entered a permanent injunction against three related Chicago companies, Global Marketing Enterprises, Inc., Lifeline Nutrients, Corp., and Pronto Foods Company as well as their owner Eduardo S. Chua, and their operations manager Haidee V. Dawis.  The injunction prevents the defendants from manufacturing, selling, and distributing adulterated and misbranded dietary supplements and unapproved and misbranded drugs. The defendants are alleged to be manufacturing, packaging, labeling and distributing a number of products in violation of the Federal Food, Drug and Cosmetic Act (FDCA).  The complaint alleges that defendants’ dietary supplements were adulterated because they were not manufactured, prepared, packed, labeled or held in compliance with federal current good manufacturing practice (CGMP) regulations. Melinda Plaisier, FDA associate commissioner for regulatory affairs, commented “Companies that market dietary supplements with unproven health claims and also continue to violate manufacturing regulations put consumers’ health in jeopardy." (Justice.gov

  • Pennsylvania will have to return $3 million in Medicaid reimbursement to the Centers for Medicare and Medicaid Services (CMS) because Medicaid funds can't cover provider training costs. The training program implemented educates skilled care nurses on how to properly use both physician and chemical restraints. The U.S. Court of Appeals for the Third Circuit July 25 ruled a State Medicaid Director Letter (SMDL), published in 1994, was an interpretive rule rather than a substantive rule and prohibited states from claiming provider training costs as part of the cost of administering a state’s Medicaid plan. (BloombergLaw.com)

Legislation 

  • Charles Blahous from the Mercatus organization has published a study putting prices on Senator Bernie Sanders (I-VT) bill, Medicare for All Act or M4A. Blahous' key findings were that M4A would add approximately $32.6 trillion to federal budget commitments during the first 10 years of its implementation and this project would increase in federal healthcare commitments approximately 10.7% of GDP in 2022. The dramatic federal cost would rise from several factors including from the new responsibility for financing nearly all current national health spending and increased spending on the currently uninsured. Blahous commented "the M4A would markedly increase the demand for healthcare services while simultaneously cutting payments to provid­ers by more than 40 percent, reducing payments to levels that are lower on average than providers’ current costs of providing care. It cannot be known how much providers will react to these losses by reducing the availabil­ity of existing health services, the quality of such services, or both." (Mercatus.org)

Medicare 

  • Medicare has lowered its star ratings for staffing levels in 1 in 11 of the nation's nursing homes. This is almost 1,400 nursing homes. The reasoning is because they either had inadequate numbers of registered nurses or failed to provide payroll data that proved they had the required nursing coverage. Medicare has only recently began collecting and publishing payroll data on the staffing of nursing homes, which became a requirement by the Affordable Care Act of 2010. The records released revealed lower overall staffing levels than homes had disclosed, particularly among registered nurses. David Grabowski, a professor of health care policy at Harvard Medical School, commented "It’s a real positive that they actually are taking the payroll-based system seriously, that they’re using it to punish those nursing homes that either aren’t reporting staffing or those that are below the federal limit." (KHN.org)

 

 

 

 

 

 

 

 

 

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