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Wednesday, Apr 16 2025

Full Issue

Confusion Over PACT Act Has Led To $6.8M In Improper Disability Claims

In a report released Tuesday, the Department of Veterans Affairs' internal watchdog found the wrong "effective date" on about 26,000 claims, resulting in overpayment by the government, Military.com reported. In other administration news: President Trump threatens to revoke Harvard's tax-exempt status, but it's up to the IRS.

A sampling of disability claims filed under the 2022 PACT Act found that roughly one-quarter listed incorrect start dates, resulting in improper payouts of about $6.8 million to some veterans and shortchanging an estimated 2,300 others, the Department of Veterans Affairs' internal watchdog found. In a report released Tuesday, the Veterans Affairs Officer of Inspector General concluded that the legislation's complexity, along with inadequate guidance from the Veterans Benefits Administration, led claims adjudicators to assign the wrong "effective date" to an estimated 26,000 claims, resulting in overpayment by the government in the first year of the legislation. (Kime, 4/15)

On emissions, transgender care, and tariffs 鈥

The Trump administration has granted nearly 70 coal-fired power plants a two-year exemption from federal requirements to reduce emissions of toxic chemicals such as mercury, arsenic and benzene. A list quietly posted as of Tuesday on the Environmental Protection Agency鈥檚 website lists 47 power providers 鈥 which operate at least 66 coal-fired plants 鈥 that are receiving exemptions from the Biden-era rules under the Clean Air Act, including a regulation limiting air pollution from mercury and other toxins. (Daly, 4/16)

The Trump administration is seeking to limit coverage of gender-affirming care for adults and minors in Affordable Care Act marketplace health insurance plans beginning next year. Why it matters: The rule, if finalized, would not ban marketplace plans from covering gender-affirming care services. But it could raise out-of-pocket costs for patients, add administrative burdens for insurance companies and inject confusion into state operations, health policy experts say. (Goldman, 4/15)

Johnson & Johnson is predicting tariffs will cost it $400 million this year, largely affecting its medtech business. Joseph J. Wolk, executive vice president and chief financial officer, said during the company鈥檚 earnings call Tuesday the financial hit could change due to the fluid nature of the tariffs. (Dubinsky, 4/15)

On federal funding and DEI 鈥

President Trump threatened Harvard University鈥檚 tax-exempt status on Tuesday after the school rebuffed his administration鈥檚 demands for a series of policy changes, a dramatic escalation in the feud between the president and the nation鈥檚 richest and oldest university. ... White House officials said Tuesday that the Internal Revenue Service would make its decision about Harvard鈥檚 tax-exempt status independently, but the president has made clear in private that he has no intention of backing down from the fight with the university. Federal law prohibits the president from 鈥渄irectly or indirectly鈥 telling the I.R.S. to conduct specific tax investigations, and it is unclear whether the agency would actually move forward with an investigation. A spokeswoman for the I.R.S. declined to comment. (Pager, Duehren, Haberman and Swan, 4/15)

Teaching hospitals affiliated with Harvard University will not be affected by the federal government鈥檚 decision this week to聽freeze $2.2 billion in funding聽to the university, according to a spokesperson for the U.S. Department of Education. (Saltzman, Weisman and Damiano, 4/15)

A top scientist at Harvard who has spent years unraveling the mysteries of tuberculosis woke up Tuesday morning and discovered an order from the federal government telling her to halt her research. (Damiano, 4/15)

U.S. Sen. Raphael Warnock told a group of protesters assembled in front of the Centers for Disease Control and Prevention that 鈥渘ow is not the time to be silent.鈥 Warnock made his comments at what has now become a weekly rally outside the Clifton Road facility in the face of massive cuts to the agency by President Donald Trump鈥檚 administration. Tuesday鈥檚 rally was the largest gathering yet, as retired scientists, recently fired staff and supporters stood on both sides of the CDC鈥檚 main entrance, and on both facing corners across the street. (Scaturro and Hart, 4/15)

This is part of the Morning Briefing, a summary of health policy coverage from major news organizations. Sign up for an email subscription.
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