Cybersecurity Saturday

David Ermer

I am an attorney who practices law in Washington DC. My practice has involved the Federal Employees Health Benefits Program since 1983.

Cybersecurity Saturday

David Ermer–Agentic & Generative AI, Cybersecurity, HIPAA Privacy and Security Rules–

From the Project Glasswing front,

  • Cyberscoop reports,
    • “OpenAI announced Monday [August 10, 2026] it was expanding access to its frontier models for defensive cybersecurity, detailing different defensive and red-teaming workflows and a new partner program with major cybersecurity product providers.
    • “In a pair of blogs posted Monday, OpenAI said it was updating its Daybreak program  – which provides unreleased frontier models to private organizations and governments for defensive cybersecurity work – and introducing a new model variant.
    • “Daybreak Blue, powered by OpenAI’s ChatGPT-5.6-Sol, would operate with lower cybersecurity safeguards compared to other commercially available models and is described as “a recommended starting point for most defenders” that supports tasks like vulnerability discovery, secure code review, malware analysis, incident response and patch validation. 
    • “Daybreak Red, meant for more advanced red-teaming, would provide access to a new model, dubbed GPT-5.6-Cyber, that the company said is more purpose-trained for finding vulnerabilities and testing (or exploiting) them. The model is also less likely to refuse requests around “dual-use cyber tasks.”
    • “According to OpenAI, the organizations in Daybreak Red will have their use closely monitored and supervised, as GPT-5.6-Cyber is significantly more capable in carrying out malicious cyber tasks than Sol. A security evaluation the company devised tested both models on complex requests, including exploit chain development, authentication bypass, privilege escalation and other hacking tasks. Sol succeeded in 1.5% of the requests, while Cyber completed 95%.
    • “OpenAI said it plans to publish a more detailed system card for GPT-5.6-Cyber at a later date.”
  • Cryptobriefing adds,
    • “Anthropic has disclosed an unreleased internal AI model that it says is more capable than Claude Mythos 5, according to the company’s August 2026 Risk Report.
    • “The model, referred to only as Model 2, represents a noticeable improvement over Mythos 5 across many tasks relevant to Anthropic’s internal work. The company said the improvement is smaller than the capability jump it previously observed between Claude Opus 4.6 and Mythos Preview.
    • “Anthropic said it does not currently plan to release Model 2 externally and has not completed its full suite of typical predeployment assessments, leaving the company with somewhat lower confidence in its understanding of the model’s capabilities.”
  • Silicon Angle points out,
    • “Data resilience company Rubrik Inc. today said a month of scanning its own code with Anthropic PBC’s Mythos Preview model surfaced so many potential security issues that it rebuilt its review pipeline rather than hire reviewers.
    • “The details came in a blog post from Rubrik co-founder and Chief Technology Officer Arvind Nithrakashyap. Rubrik got access in June to Project Glasswing, Anthropic’s limited program that gives defenders early use of Mythos Preview, after the company opened it to another 150 organizations. Anthropic has kept that model out of general release. Mythos finds software flaws and strings them into working attack chains too well to hand out freely.
  • Tech Crunch relates,
    • “What happens when you pit AI agents against each other? According to Anthropic’s testing, things get messy fast.
    • “On Thursday [August 13, 2026], Anthropic’s Frontier Red Team published new research examining how groups of AI agents behave when they encounter each other in the wild. The findings provide a glimpse into potential risks that could develop as companies and governments move to implement agents working autonomously across shared codebases, markets, and computer systems.
    • “In one experiment, Anthropic gave three Claude agents access to the same software project, each with its own incompatible instructions for what to do with it. The agents weren’t told there’d be other agents working on the same project, so researchers could watch what happened when they crossed paths. 
    • “We consistently saw a multiagent turf war,” Anthropic researchers wrote. The models all assumed the others were “purposefully impeding their work” and started sabotaging each other with “increasingly aggressive, self-replicating malware.”
  • CNBC notes,
    • “Over the past two weeks, OpenAI, Anthropic and Meta all revealed that their AI models went rogue during routine security testing. In explaining what happened, the companies each mentioned the same small Israeli startup: Irregular. 
    • “Founded three years ago and based in Tel Aviv, Irregular is a niche player in artificial intelligence, backed with $80 million from Sequoia and Redpoint Ventures and valued last year at $450 million. Its technology serves as a sort of cybersecurity test bed for AI models. 
    • “With the leading models becoming ever more powerful, their ability to act in malicious ways is turning into a major threat for corporations and governments, especially as the risk involves hacking into critical computer systems and infrastructure. The recent exploits at OpenAI, Anthropic and Meta all involved their AI models accessing websites that should have been off-limits as part of the cybersecurity testing.” * * *
    • “Meta, which is way behind the other two in its effort to compete at the frontier, was the latest to disclose an AI model hacking a third-party system by accessing the internet. A spokesperson said in a statement this week that the company learned about the matter from Irregular and is investigating.
    • “Meta “will issue a full retrospective once we have all the facts,” the spokesperson said.
    • “Irregular told CNBC in a statement that the incidents were all derived from the “same evaluation-environment issue” that was first disclosed by Anthropic, and that the company is developing a white paper “to share best practices for containment and securely running cyber evals.”
    • “The situation “did not involve a sandbox escape or a sophisticated cyber action,” the company said, adding that “there are no current open issues.”
  • On a related upbeat note, the Wall Street Journal informs us,
    • “U.S. startups are finally delivering something researchers have been working on for decades: a battery in which rare, hard-to-get elements are replaced with the same stuff found in ordinary table salt.
    • “This tech has the potential to help every country on earth break its dependence on China for batteries, and the critical minerals that go into them.
    • “Like any other battery, sodium-ion cells can store and release energy. They are initially being deployed where they’re needed most, in America’s power grid and fast-expanding crop of data centers. As in our homes, giving the grid or other infrastructure the ability to stockpile energy when it is cheap and plentiful, and discharge it when it is scarce, can increase reliability and lower the cost of electricity.
    • “While grid battery storage is already growing in the U.S. at a furious pace, new sodium-based batteries are potentially cheaper, longer-lasting, safer and more reliable than conventional, lithium-based ones. They could accelerate the rollout of renewables, and be part of less-polluting alternatives to natural-gas turbines and diesel generators.”

From the cybersecurity policy and law enforcement front,

  • Cybersecurity Dive reports,
    • “The Trump administration will let private companies hack foreign criminal organizations as part of a new program that could expand the U.S. government’s ability to disrupt those groups’ cybercrime activities while also introducing myriad legal challenges and perils.
    • “President Donald Trump late Wednesday [August 12, 2026] issued a memorandum directing the departments of Justice and Homeland Security to create a program allowing vetted companies to hack into criminal groups to spy on them or sabotage their operations. Trump said the program would help the U.S. combat cybercrime schemes that cost the nation tens of billions of dollars annually.” * * *
    • “Jason Healey, a senior cyber conflict researcher at Columbia University, said he “would have hated this idea ten or fifteen years ago” when the opportunity still existed to prioritize defense over offense. “But that horse left the barn a long time ago,” he said, “and we have to make decisions for the world we are in, not the one we prevented.”
    • “So, sure, let’s try to allow the private sector to get into the counter-offense game as well,” he said, “but only with very specific criteria to know when it is working and when it is making things worse.”
    • “Kyle Hanslovan, chief executive of the cybersecurity firm Huntress, said the growth of sophisticated adversaries and the threat of “AI-powered autonomous threats” meant that old models of public-private collaboration were no longer sufficient. “The only viable solution is a stronger coalition of the willing,” he said, “which we’ve been eager to support.”
    • FEHBlog note – Of course there are those questioning the memo as discussed in the article.
  • Cyberscoop adds,
    • “Under the memorandum, a federal coordination center “shall create, manage, and maintain a Program to authorize Participating Companies … to conduct Cyber Surveillance Operations and Cyber Effects Operations against foreign Cyber-Enabled Transnational Criminal Organizations (CE-TCOs), under the control and oversight of the Federal Government“ that would be “part of lawful investigatory, protective, or intelligence operations carried out by Federal law enforcement.”
    • Department of Homeland Security to “undergo rigorous vetting.” It would also allow participating companies to sign commercial agreements with other private sector entities to receive threat information. And participating companies’ agreements with federal, state and local governments would be geared toward identifying threats, and proposing cyber operations to the coordination center to address those threats.
    • The program would have to adhere to existing laws, according to the memo. That includes the Computer Fraud and Abuse Act, the main federal anti-hacking statute that prior proposals to open private sector participation in hacking operations would have amended. The memo mandates oversight to evaluate companies’ technical proficiency, ensures both small and large companies can participate, and requires regular reporting to federal officials.
  • and
    • Under the memo, the program must establish legal and constitutional procedures for the prior approval of the targeting of U.S. citizens, as well as develop procedures to halt any unintentional targeting of U.S. people or systems. * * *
    • “The coordination center charged with establishing the program under the memo has 60 days to complete its work. That process could determine a lot. Graham noted that the memo has a classified annex, too.
    • “The memo as written is quiet about what becomes of any seized assets, Graham noted.” * * *
    • “Will Barker, cybersecurity adviser at Huntress, said what’s next could be key.
    • “The 60-day implementing guidance is where the real substance lives,” he said in a written quote. “Minimum standards, operational procedures, the adjudicatory framework for target selection.”
  • MedTech Dive tells us.
    • “The Coalition for Health AI has convened a work group of nearly 100 health system, payer and industry leaders to address cyber risks associated with frontier artificial intelligence models, the nonprofit standards organization announced Wednesday.
    • “The group will meet biweekly with the goal of creating and publishing health AI cybersecurity guidance by the end of 2026. Deliverables include an AI cyber risk assessment tool and playbooks covering both defensive and offensive security strategies.
    • “Anthropic’s release of its advanced Mythos and Fable AI models this spring “fundamentally changed” the cyber threat landscape for healthcare, and was a catalyst to stand up the work group, CHAI said.”
  • Cyberscoop informs us,
    • “A tech worker who hatched an elaborate insider attack in late 2023 and attempted to extort Brightly Software for about $2.5 million was sentenced to two years in prison, the Justice Department said Thursday.
    • “Cameron Nicholas Curry, also known as “Loot,” committed a series of crimes while working as a data analyst contractor for the Siemens-owned company. The 27-year-old North Carolina man stole a trove of corporate data, including sensitive employee and compensation information, which he used to threaten various employees and executives over a six-week period in late 2023 and early 2024. 
    • “Curry ultimately extorted the company for $7,540.92 in late January 2024. He was found guilty of six counts of extortion in March.
    • “Brightly Software was named as the victim in court records filed in the U.S. District Court for the Western District of North Carolina earlier this month. The asset and maintenance management software provider, which Siemens acquired in 2022, did not immediately respond to a request for comment.”

From the cybersecurity breaches and vulnerabilities front,

  • The HIPAA Journal discusses data breaches announced by five HIPAA-regulated entities.
  • Bleeping Computer reports,
    • “The ShinyHunters extortion group stole personal information from 1.6 million RingCentral accounts after hacking the company in July, according to the data breach notification service Have I Been Pwned.
    • “RingCentral is a cloud-based collaboration and communication platform used by over 600,000 businesses for services such as calling, messaging, and voicemail.
    • “The company disclosed the incident on July 28, revealing that its systems were compromised following what it described as a “sophisticated social engineering campaign.”
  • Cyberscoop relates,
    • “As the White House and federal agencies grapple with frontier AI models and their hacking capabilities, researchers are warning that the industry’s “middle class” of smaller models may end up posing a greater threat over the long term.
    • “Research from XBOW this week shows that a growing class of both proprietary and open-source models are becoming strategically important in the offensive security ecosystem. Models like Z.ai’s  open-weight GLM-5.2, xAI’s Grok 4.5, Anthropic’s Opus 4.7, Meta’s Muse Spark 1.1, still perform very strongly at many hacking and exploitation tasks that worry policymakers.
    • “It’s not even that the open-source variants or…not quite frontline competitors are catching up [to frontier models] as such,” said Albert Ziegler, head of AI at XBOW. It’s that they are crossing a certain threshold, which means that suddenly they are providing net value at a cheaper price.
    • “That wasn’t necessarily the case as recently as six months ago, when testing on mid-tier class models showed they struggled to complete “moderately complex” agentic tasks. Today’s middle class largely can. Their relative cheapness means users can spend many times more resources—running them repeatedly—to solve the same challenges.”
  • Cybersecurity Dive adds,
    • “Criminal and state-aligned threat groups are testing frontier and open-weight AI models to develop new methods of attacking corporate IT networks. 
    • “Attackers are using AI for a range of activities, enabling them to develop new exploits, accelerate attack speeds and maintain persistence through the abuse of legitimate tools, researchers from Accenture and Google Cloud said during a media presentation at the Black Hat USA conference in Las Vegas.
  • and
    • “Criminal actors are offering a range of AI-powered hacking tools and related services for sale on underground forums on the dark web, according to a report released Wednesday by cybersecurity firm Trellix. 
    • “Researchers found a wide range of AI-based tools being sold through these markets, ranging from reconnaissance tools to credential markets, as well as AI-as-a-service platforms. 
    • “The report shows how AI is being monetized to lower the barriers of entry into sophisticated threat activity. “
  • and
    • “Security researchers are backing claims by a newly emergent data-extortion group that it has exfiltrated sensitive data from about 15 companies, governments and other organizations. 
    • “A threat group called ExfilSquad claimed on July 26 to have exfiltrated customer records and other information from a number of city governments and universities, a major public school system and private companies. After being met with skepticism, the threat actor later released samples of the allegedly stolen information. 
    • “Researchers at Fortra released a report Thursday that corroborates ExfilSquad’s breach claims. The leaked data appears to be related to misconfigured Microsoft Power Page portals, a software-as-a-service platform that is used to create public-facing business websites. The misconfiguration enabled unauthorized access to Microsoft D365, according to researchers, which led to public read access.” 
  • Per Cyberscoop,
    • “Suspected Chinese hackers used open-source artificial intelligence models to run a cyberattack against the Taiwanese government in the first publicly known case of an autonomous AI hack hitting a government target, according to research published Wednesday.
    • “The hackers extracted more than 2,500 personnel records, among other data, in the “near-autonomous attack,” researchers at Israeli cyber firm Dream wrote in a blog post. The attackers set up the framework so that it could “adapt mid-operation without human intervention.”
    • “The framework “implements dedicated research phases it calls ‘Learning Cycles’ — autonomous sessions where the AI system searches vulnerability databases, GitHub repositories, and security research publications for techniques specifically applicable to its target government’s infrastructure,” the post reads.
    • “And then it kept going.”
  • The Cybersecurity and Infrastructure Security Agency (CISA) added three known exploited vulnerabilities to its catalog this week.
    • August 11, 2026
      • CVE-2026-20349 Cisco Secure Firewall Adaptive Security Appliance (ASA) and Firewall Threat Defense (FTD) Heap Inspection Vulnerability
      • CVE-2026-68820 Microsoft Windows Ancillary Function Driver for WinSock Use-After-Free Vulnerability
      • CVE-2026-72898 Metabase SQL Injection Vulnerability
        • Cybersecurity Dive discusses the Cisco KVE here.
        • The Hacker News discusses the Microsoft KVE here.
        • Dark Reading discusses the Metabase KVE here.
  • Cybersecurity Dive notes,
    • “The global system that catalogs technology vulnerabilities is resilient enough to survive the current onslaught of AI-generated bug reports that has alarmed cybersecurity experts, key leaders of that system said last week during panels at two security conferences here.
    • “The Common Vulnerabilities and Exposures (CVE) Program — whose unique vulnerability identifiers are the bedrock of the entire cybersecurity industry — “will find a way to scale,” Lindsey Cerkovnik, branch chief for vulnerability response and coordination at the Cybersecurity and Infrastructure Security Agency (CISA), said at the Black Hat USA conference on Thursday [August 6, 2026]. “CVE is going to continue to flourish and improve, and I feel very positively about it.”
  • Infosecurity Magazine points out,
    • “A critical-severity VMware vCenter vulnerability has been exploited within five days of disclosure by Broadcom, with attackers deploying an open-source reverse shell to hold access to compromised systems.
    • “The treat research team at German firm Quirso discovered the campaign during an incident response engagement and published its findings on August 10.
    • “The digital forensics company assessed a suspected advanced persistent threat (APT) actor was responsible, counting 361 victim IP addresses across 47 countries while cautioning that an IP address does not necessarily correspond to a single organization.
    • “The vulnerability, CVE-2026-59310, is acritical directory traversal flaw in the vCenter Syslog server rated CVSS 9.8. Broadcom said an unauthenticated attacker with network access to vCenter can exploit it to execute arbitrary code, turning a service built to collect logs into a route into the operating system.”
  • Per Cyberscoop,
    • “Delta Airlines said Tuesday [August 11] it’s investigating an incident on a Monday flight where a passenger reportedly used an unidentified device to spoof the airline’s in-flight Wi-Fi network, leading to severe delays and authorities to board the plane once it arrived at its destination.
    • “Various posts on several social media networks went viral early Tuesday detailing the incident, claiming that passengers on Delta flight 591 from Las Vegas to Atlanta used an unidentified device to create a rogue Wi-Fi network that could be used to steal people’s sensitive data or personal information.
    • “Messages from the plane’s Aircraft Communications Addressing and Reporting System (ACARS) show that the crew informed personnel on the ground that a passenger set up a network called “Delta WiFi Fast” and was “trying to scam the other passengers.”
    • “Morgan Durrant, a Delta spokesperson, told CyberScoop that the cabin crew deactivated the aircraft’s WiFi functionality for approximately 30 minutes, the flight’s safety was never in question and no aircraft operating systems were affected.” * * *
    • “The incident bears the hallmarks of an “evil twin attack,” where an attacker deploys a rogue Wi-Fi access point that masquerades as a legitimate, trusted network by cloning its name and network settings. Often paired with deauthentication attacks that forcefully disconnect devices from the real network, the fraudulent hotspot tricks nearby laptops and smartphones into automatically connecting to it instead. Once a device connects to the rogue point, an attacker can monitor unencrypted internet traffic, execute man-in-the-middle attacks, or display spoofed login portals designed to harvest sensitive user credentials and personal data.”  
  • The Wall Street Journal points out,
    • “Thousands of North Korean operatives are using fake and stolen identities to land remote jobs at U.S. companies—funneling hundreds of millions of dollars back to the regime.
    • “Leaked data, interviews and never-before-seen videos obtained by The Wall Street Journal reveal how a single team of these workers infiltrated at least eight companies in just a few months. Watch the documentary and read the practical takeaways.”

From the ransomware front,

  • Checkpoint issued its report on the State of Ransomware Q2.
  • The American Hospital Association News reports,
    • “U.S. and international agencies released a joint cybersecurity advisory Aug. 10 warning of actions by Gunra ransomware. Gunra is a ransomware-as-a-service program that has been used to target government, critical infrastructure — including healthcare — and other organizations in the U.S. and abroad.
    • Gunra actors leverage a double-extortion model, both encrypting data and threatening to publish stolen data to a dedicated leak site if a ransom is not paid. The ransomware variant initially appeared in 2025. The advisory provides details on Gunra activity and includes detection and mitigation guidance to protect organizations.”
  • Dark Reading adds,
    • “The joint advisory urged organizations to prioritize patching known exploited vulnerabilities in Internet-facing appliances such as VPNs, implement and test offline immutable backups, and implement network segmentation to limit threat actors’ ability to move laterally.”
  • The HIPAA Journal relates,
    • “AnMed has not disclosed the name of the group behind the attack, but a threat group called The Gentlemen claimed responsibility. The Gentlemen is a ransomware-as-a-service group that is thought to include affiliates and operators from other prominent ransomware groups. The group has claimed several healthcare victims in recent months, and the pace of the attacks is accelerating.
    • “According to the Industrial Ransomware Analysis from the operational technology cybersecurity company Dragos, The Gentlemen was the third most active ransomware group in Q2 2026, claiming 125 attacks in the quarter alone, up from 83 attacks in Q1 – the largest gain out of all established ransomware groups. While the group ranked third, there were only 15 attacks separating the top three ransomware groups, with no single ransomware group dominating.”
  • Bleeping Computer tells us,
    • “Oil giant Shell has confirmed it is investigating a potential security incident after the Clop ransomware gang claimed it stole 89GB of data.
    • “Shell is a British multinational energy conglomerate and one of the world’s top three oil and gas companies, after Chevron and ExxonMobil. It has 85,000 employees in more than 70 countries and operates a massive network of tens of thousands of service and recharge stations that serve over 20 million customers daily.
    • “According to a recent post on Clop’s dark web data leak site, the allegedly stolen files include engineering drawings, scans of facility testing reports, photos of the facilities, and project plans.”
  • and
    • “An Akira ransomware affiliate disabled the endpoint detection and response (EDR) solution on a compromised system by restarting the machine into Safe Mode with Networking.
    • “The attack occurred on August 4 after the hacker obtained initial access through an exposed SonicWall VPN device without multi-factor authentication (MFA).
    • “Managed detection and response (MDR) services company Huntress says that roughly two hours after a successful VPN login, the attacker connected to the domain controller via RDP, enumerated Active Directory users and computers, and then moved to an application server.”
  • and
    • “CISA confirmed today that ransomware gangs have begun abusing a high-severity Microsoft SharePoint remote code execution vulnerability, which has been flagged as actively exploited since early July.
    • “Tracked as CVE-2026-45659, this security flaw stems from a deserialization of untrusted data weakness and allows attackers with low privileges to execute arbitrary code on unpatched SharePoint servers.
    • “It can also be exploited in low-complexity attacks because (as Microsoft explained in May when it released security updates for SharePoint Enterprise Server 2016, SharePoint Server 2019, and SharePoint Server Subscription Edition) “an attacker does not require significant prior knowledge of the system and can achieve repeatable success with the payload against the vulnerable component.”
  • The Record informs us,
    • “A financially motivated threat actor linked to China is believed to be exploiting a critical vulnerability affecting widely used cybersecurity software in a supply-chain attack that could see the hackers deploy custom ransomware across a cascading list of victims’ networks. 
    • “Microsoft Threat Intelligence warned this weekend that the Storm-1175 group began deploying a new ransomware strain on August 2 called StormEncryptor. The hackers previously used the Medusa ransomware to extort healthcare, professional services and finance organizations in Australia, Britain and the United States. 
    • “Back in April, the hackers were described as operating “high-velocity ransomware campaigns” exploiting both recently disclosed vulnerabilities and zero-day exploits, “in some cases a full week before public vulnerability disclosure.” Microsoft said it had seen the group move from initial access to full encryption in under 24 hours. 
    • “In this latest campaign, Microsoft said the group is likely exploiting CVE-2026-18577 — a vulnerability in N-central, a remote monitoring and management (RMM) console used by thousands of managed service providers to administer client endpoints.”
  • The Hacker News adds,
    • “The ransomware group known as DeadLock has been observed using decentralized infrastructure to facilitate victim communications and data leak operations in a bid to improve operational resilience.
    • “Its recovery ecosystem combines the Session messaging network with blockchain-backed services that store and deliver resources used throughout the extortion process,” the Microsoft Threat Intelligence team said.
    • “The tech giant said it observed the ransomware being deployed by multiple threat actors, including an affiliate for Lynx and INC ransomware.”

From the cybersecurity business and defenses front,

  • Bloomberg reports,
    • “Anthropic PBC is telling prospective investors its second-quarter revenue jumped at least 14-fold versus the same period a year ago, according to documents seen by Bloomberg News.
    • “The Claude chatbot maker reported a preliminary revenue figure of more than $11.5 billion in its latest completed quarter, compared to $787 million in the corresponding period in 2025, and $4.73 billion in the first quarter of this year, the documents show. The second quarter of 2026 saw Anthropic report positive adjusted operating income, according to the documents.”
  • Reuters relates,
    • “Anthropic is in talks to buy Nvidia-backed startup Decart AI, according to a source familiar with ​the matter, as the Claude maker explores acquisitions that ‌could help it handle growing demand ahead of its public listing.
    • “Bloomberg News, which first reported the news on Wednesday, said a deal ​could be worth about $6 billion, citing sources.”
  • Tech Crunch adds,
    • “Anthropic will watermark text generated by its models, including Claude, to comply with European regulations, the company now says. The AI model maker confirmed the watermarking in an updated support page.” * * *
    • “It’s not clear how much editing users need to do to remove the watermark. We have asked Anthropic to clarify and will update the story if we hear back.
    • “The company noted that watermarking will apply to different products like Claude platform API, Claude, Claude Code, Claude Cowork, and Claude Tag.
    • “Platforms are now rushing to watermark AI-generated content after backlash from users and to avoid regulatory scrutiny. Last week, AI music platform Suno said it will mark tracks created on its platform after a spate of legal challenges. Last month, newsletter service Substack teamed up with Pangram to flag AI-generated content. The company’s CEO, Chris Best, called out Claudefishing, a term used for people using AI to generate content.
    • “Apart from Anthropic, other companies like Black Forest Labs, Google, Meta, Microsoft, OpenAI, and Synthesia have committed to adhering to the EU’s code.“
  • Cybersecurity Dive informs us,
    • “Cisco’s security revenue surged last quarter as the technology giant saw growing demand for products designed to protect businesses against emerging cybersecurity threats, including those enabled by artificial intelligence agents, the company reported Wednesday.
    • “The company posted $17.3 billion in total revenue for its fiscal 2026 fourth quarter ended July 25, a year-over-year increase of 18%. Security revenue rose 14% in the quarter to $2.2 billion from a year earlier.
    • “The rise of agentic AI is expanding the threat landscape, driving demand for our security and observability solutions to help monitor agent behavior and mitigate evolving threats,” CEO Chuck Robbins said during a Wednesday earnings call.”
  • The Wall Street Journal notes,
    • “Enterprise users spent $300 million on quantum computing in 2025, outranking research labs and governments as the primary spenders for the first time.
    • “A Boston Consulting Group survey found that 62% of the top 25 global companies across 11 major industries spend at least $1 million annually on quantum.
    • “Companies like HSBC, Allstate and EY are investing to prepare for future commercialization and to secure systems against quantum encryption threats.”
  • Per Dark Reading,
    • “Walmart, the world’s largest retailer, faces a complex cyber threat landscape, documenting 806 reported retail breaches in Verizon’s 2026 Data Breach Investigations Report.
    • “Security leadership stresses balancing strong cybersecurity controls with business innovation and speed, avoiding operational drag that could lead staff to bypass safeguards.
    • “Walmart’s security approach involves proactive transparency and trust-building with leadership, using color-coded executive summaries and open discussions on risks and mitigation progress.
    • “Industry experts emphasize the evolving role of security operations as essential business partners, noting there is no one-size-fits-all model but a universal need for pragmatic resilience and honest communication.”
  • and
    • “The Patch Gap: Why Defenders Need to Think in Chains, Not Checklists
    • “It’s time to turn from CVSS-backed patching to choke-point patching focused on breaking chains to critical assets.”
    • “If the volume problem and prioritization problem can’t be solved by patchingfaster and scoring harder, then the framing itself needs to change. The question that the security team should ask is not “which vulnerabilities are most severe in isolation?” but rather “which vulnerabilities, if left unpatched, create a connected path from an attacker’s foothold to our most critical assets?”
  • Per a CISA announcement,
    • “This year marks the 20th year of Cyber Storm, a full-scale national cybersecurity exercise that for two decades has brought together the people who defend the systems Americans rely on. Held every two years, Cyber Storm X arrives as threats from geo-political activity, compromised edge devices, AI risks, and more present new challenges to our nation’s critical infrastructure.
    • “As the nation’s largest cybersecurity exercise, Cyber Storm plays a vital role in preparing for potential cybersecurity incidents by testing and strengthening the nation’s ability to coordinate a unified cyber response. Participants from private and public organizations work together through a simulated crisis. Together, they learn as a team and build stronger relationships that will speed response during an actual event. Importantly, organizations can also update their response plans based on lessons learned during the exercise.” * * *
    • “Learn more about Cyber Storm and past events at cisa.gov/cyber-storm. For more information about CISA’s exercise resources, visit CISA Exercises.”
       
  • Security Boulevard adds,
    • “CrowdStrike has announced a $100,000 international competition that challenges participants to manipulate live AI agents using prompt injection and other red-teaming techniques.
    • “The competition takes the form of a virtual game called AI Unlocked: Agents of Chaos, created in collaboration with Amazon Web Services. Players take on a fictional mission to stop a shadow group from deploying malicious AI. To do that, they must manipulate the group’s own agents into revealing information and taking actions they were not authorized to perform. Their scores also depend on efficiency, with points deducted for every token used in their prompts.
    • “The contest opens Aug. 31 and is divided into three acts. The first runs through Sept. 7 with a $10,000 prize, the second ends Sept. 14 and awards $20,000, and the final act runs from Sept. 15 through Sept. 29 with a $70,000 prize. The game is available online internationally, with an in-person option to play at CrowdStrike’s Fal.Con conference. Pre-registration is open, and contestants can replay completed puzzles to refine their prompts. CrowdStrike said the highest score recorded when each act closes will receive that act’s prize.”
  • Here is a link to Dark Reading’s CISO Corner.

Friday Report

David Ermer–CDC, CMS, Congress, COVID-19, FDA, Federal employment benefits, HSA, Medical / Rx research, Mental health care, No Surprises Act, OPM, Rx coverage, U.S. Healthcare–

Simplicity is a virtue.

From Washington, DC,

  • The House of Representatives Budget Committee lets us know,
    • “A new report from the Department of Health and Human Services’ Office of the Assistant Secretary for Planning and Evaluation (ASPE) finds reforms to Medicaid provider taxes and state-directed payments in The One Big Beautiful Bill will lower health care prices for Americans across the board.
    • “The report projects the reforms will reduce non-Medicaid health care prices by as much as 3.5 percent, generating between $502 billion and $875 billion in savings for taxpayers, families, and businesses over the next decade, with annual savings reaching $100 to $175 billion once the reforms are fully in place.
    • “The savings extend beyond Medicaid: ASPE estimates that every $100 billion in Medicaid savings produces another $29 billion in savings for Medicare and commercial coverage plans, which lowers health care costs and the tax burden for hardworking American families.”
  • Per a Department of Health and Human Services news release,
    • “The U.S. Department of Health and Human Services (HHS) today announced that health systems represented by the past, current, and incoming chair of the American Hospital Association (AHA) have joined the Make Hospital Food Healthier Pledge, strengthening a nationwide effort to improve the quality of food served in America’s hospitals and reinforce the role of nutrition in patient care. Corewell Health in Michigan, Houston Methodist in Texas, and Sanford Health in South Dakota all signed onto the pledge.
    • “Hospitals cannot promote healing while serving food that contributes to chronic disease,” said HHS Secretary Robert F. Kennedy, Jr. “By joining this pledge, these health systems are putting nutrition where it belongs — at the center of patient care. We are working with hospitals across America to serve healthier food, improve patient health, and Make America Healthy Again.”
  • Fierce Healthcare reports,
    • “The Pharmaceutical Care Management Association announced Thursday that its members had reached an agreement with the feds to offer information on cash prices available through TrumpRx.
    • “The commitment encompasses nine of the industry’s leading pharmacy benefit managers, including the “Big Three” in CVS’ Caremark, UnitedHealth Group’s Optum Rx and Cigna’s Express Scripts. Other participants that have signed on include Elevance Health’s CarelonRx, Humana, MedImpact Healthcare Systems, Navitus Health Solutions, Prime Therapeutics, VtylOne and WellDyne.
    • “Members covered by these PBMs will be able to see costs for drugs purchased through TrumpRx when using their plan’s real-time benefit or other pricing tools, PCMA said.”
  • McKnight’s Homecare relates,
    • “In a new memo outlining the National Fraud Enforcement Division’s enforcement priorities in a variety of industries, the Department of Justice called out home health and hospice fraud as an area of focus in the healthcare sector.
    • “National healthcare expenditures are expected to grow from over $3 trillion a year to over $7 trillion, and estimates are that between 3–10% of that amount is lost to fraud,” the Aug. 13 memo from Colin M. McDonald, assistant attorney general, said. “Home health aide and hospice scams directly impact vulnerable elderly Americans and erode patient care.”
  • The American Hospital Association News tells us,
    • “The Department of Health and Human Services Aug. 14 released a request for comments through the Office of the National Coordinator for Health IT on a proposed three-year generic clearance to collect routine customer feedback on service delivery and performance related to the Trusted Exchange Framework and Common Agreement. TEFCA is a nationwide network for health information sharing established by ONC to fulfill mandates under the 21st Century Cures Act. HHS said data collection under the clearance would be used to standardize monitoring and performance reports for TEFCA participants. Comments are due 30 days following publication in the Federal Register.”

From the U.S. Office of Personnel Management front,

  • Govexec reports,
    • “Federal wildland firefighters will soon have more opportunities to receive hazard pay in connection with their work fighting and preventing wildfires, thanks to newly finalized regulations from the Office of Personnel Management.
    • “Currently, federal firefighters are eligible for hazard pay—a 25% increase over their normal salary—only when working to extinguish an unplanned wildfire. But they do not receive this increased pay when working on prescribed burns, in which officials intentionally ignite decaying forest material in the hopes of mitigating the risk of an uncontrolled wildfire breaking out in the future.
    • “In a new rule published in the Federal Register Friday, OPM finalized its April proposal to expand firefighters’ access to hazard pay to include prescribed burns, effective Sept. 13. The regulation authorizes hazardous duty pay for prescribed burns for firefighters hired under the “General Schedule pay sale, as well as environmental differential pay for those serving under the Federal Wage System.
    • “But OPM noted that the new hazard pay will not be available for every activity associated with a prescribed burn.
  • Also in today’s Federal Register, OPM issued a new direct final rule. Here is the summary and comment information:
    • SUMMARY: Pursuant to the President’s direction in Executive Order 14410, Implementing Schedule Policy/Career in the Excepted Service, the Office of Personnel Management (OPM) is issuing a direct final rule to update and amend obsolete and outdated provisions of the
    • Civil Service Rules that do not substantively affect agency operations.
    • DATES: This rule is effective October 13, 2026, unless significant adverse comments are received by September 14, 2026. If significant adverse comments are received, OPM will withdraw the relevant provisions of this direct final rule.
  • Federal News Network relates,
    • “Retirement is supposed to be the payoff for decades of saving, planning and serving the federal government. But for some federal employees, the first year of retirement can bring surprises they never saw coming, whether that be a delayed pension, a tax bill that looks very different from what they expected, anxiety about spending the money they’ve saved for decades, and decisions that can affect a spouse’s benefits for years to come.
    • “On this episode of Fed Thread [which the article summarizes], we called back our three financial professionals—James Campbell of Federal Employees Benefit Association, Katelyn Murray of RJFS and Serving Those Who Serve, and Chris Campbell of CJC Wealth Management and the DC Society for Financial Awareness—to talk through the financial and psychological traps feds may encounter before or after their last day. Because retirement isn’t just the day your paycheck stops. It’s the beginning of a completely different financial system.”

From the Food and Drug Administration front,

  • The Washington Post informs us,
    • “About 1.5 million dozen white and brown cage-free eggs recalled for potential salmonella contamination have been upgraded to the U.S. Food and Drug Administration’s highest-risk warning. 
    • “The agency reclassified the recall of Midwest Poultry Services eggs to Class I due to the reasonable possibility that exposure to the product would cause serious health issues or death, it said in a safety alert. 
    • “Salmonella is a bacteria that can cause diarrhea, vomiting, fever and stomach pain.
    • “The eggs were available to consumers in Brookshire Grocery stores in Texas, Louisiana, Oklahoma, Arkansas, New Mexico and Mississippi. Other locations include Kroger stores in Texas and Louisiana, as well as other small retail outlets, the FDA said.”
  • The UPI reports,
    • “U.S. health officials said they have begun inspections at the Mexican processing plant of the U.S. food distributor Taylor Farms as they deal with a continuing cyclosporiasis outbreak that has spread across 17 states.
    • “The Food and Drug Administration and the Centers for Disease Control and Prevention announced Thursday they have “initiated an onsite inspection and sampling” at Taylor Farms de Mexico’s facility in Guanajuato, Mexico, located about 185 miles northwest of Mexico City.”
  • The University of Minnesota’s CIDRA adds,
    • “The best-if-used-by dates of recalled iceberg lettuce associated with the massive Cyclospora outbreak have passed, according to an update from the US Food and Drug Administration (FDA) yesterday. This means that Cyclospora-tainted Taylor Farms lettuce should no longer be available at stores and restaurants.” 
  • Radiology Business relates,
    • “The U.S. Food and Drug Administration has approved a new brain imaging agent targeted toward Alzheimer’s, drugmaker Lantheus announced Friday. 
    • “Tauklarify, also known as MK-6240, is a radiodiagnostic agent indicated for PET (positron emission tomography) imaging of adults. Ideal candidates have cognitive impairment, with physicians evaluating them for abnormal buildup of tau—twisted, insoluble protein fibers in brain cells—a potential sign of the neurodegenerative disease. 
    • “Bedford, Massachusetts-based Lantheus—which recently reached a deal to be sold to rival Curius for $8 billion—said the drug’s safety was tested in two clinical trials. Across over 1,700 subjects, researchers reported strong results, with only about less than 1% of subjects experiencing adverse reactions.”

No Surprises Act News

  • The Centers for Medicare and Medicaid Service posted a notice today (Dropbox link) about implementation of changes to the Independent Dispute Resolution Gateway required by a recent final rule.
    • “Organizations and individuals thatprocess disputes, represent parties, or submit IDR web forms in the current Federal IDR process must sign up to manage disputes in the IDR Gateway. If a party uses a third-party administrator or another organization to process disputes, the party does notneed to sign up for the IDR Gateway but must ensure the third-party administrator or organization responsible for managing dispute processing activities signs up for an IDR Gateway account.
    • “Details about signing up for the IDR Gateway are coming soon. Until then, continue using the Federal IDR web.” 

From the judicial front,

  • The Wall Street Journal reports,
    • “Luigi Mangione, whose coldblooded killing of an insurance executive on a Manhattan sidewalk rattled the nation and struck fear into Corporate America, pleaded guilty Friday to two federal stalking charges in the death of UnitedHealthcare leader Brian Thompson.
    • “On the morning of Dec. 4, 2024, I shot Mr. Thompson in Manhattan and he died,” Mangione solemnly told the judge during a court hearing.
    • “Mangione, wearing tan jail garb, told the judge that he spent years enduring severe pain, including a broken back, and witnessed others with similar experiences. He said that after learning of an investor conference, he emailed UnitedHealthcare, posing as an investor at a firm managing over $50 million in assets, to request information about it.
    • “Unlike my previous interactions with insurers, I received an immediate response within an hour,” Mangione added. He said he made part of a gun using a 3-D printer and planned the killing.
    • “U.S. District Judge Margaret Garnett said Mangione faces up to life in prison at his sentencing, which she set for December. Jamie McDonald, the U.S. attorney for the Southern District of New York, said after Friday’s hearing that his office intended to seek the maximum penalty, saying Mangione committed the crime in order to “draw public attention to his dislike of certain businesses.” 
    • “No grievance, political belief or ideological cause can ever justify murder,” McDonald said. “There can be no celebrity in assassination.”
  • FEHBlog observation: Well put observation, Mr. McDonald.
  • Healthcare Dive tells us,
    • “A patient advocacy group is going up against the most powerful doctor’s association in the U.S. in a bid to wrest away its ownership of U.S. medical codes and release them into the public domain.
    • “On Thursday, PatientRightsAdvocate.org sued the American Medical Association, challenging its copyright over the current procedural terminology, or CPT, billing code system, which shapes billions of dollars in healthcare payments every year.
    • “The goal of the lawsuit is to get the codes published online and let the public access them for free, the group, which lobbies for better price transparency in healthcare, said. Currently, the AMA charges licensing fees to retrieve and use CPT codes.”
  • FEHBlog observation — It’s no problem looking up CPT Codes on the internet.

From the public healh and medical / Rx research front,

  • The Centers for Disease Control and Prevention announced today,
    • “As of August 14, 2026, the amount of acute respiratory illness causing people to seek health care is very low.
    • “Based on multiple data sources, COVID-19 activity is low in many regions but is increasing in the West and South.
    • “RSV activity is very low in most areas of the country.
    • “Seasonal influenza activity is low.
    • “Parainfluenza (PIV) and respiratory adenovirus are elevated nationally. Whooping cough (pertussis) continues to circulate at lower levels compared to post-pandemic peaks.”
  • The University of Minnesota’s CIDRAP reports,
    • “With 101 newly confirmed measles cases nationwide, the US total has now reached 2,566 this year, the Centers for Disease Control and Prevention (CDC) said today in its weekly update.
    • “This is the second straight week of about 100 new cases after previous weeks’ totals of about half that. Most this week’s cases are in Pennsylvania, though Ohio also saw a substantial increase. 
    • “The CDC noted 38 outbreaks, the same as last week. Last year saw 48 measles outbreaks, defined as three or more related cases. Total cases for all of 2025 reached 2,289, which was the most since 1991 until the country surpassed that level several weeks ago. 
    • “All but 16 of this year’s cases have been locally acquired, with the rest tied to international travel.
    • “Of the 2026 cases, 19% involve children age 5 and under, and 67% involve kids and teens. Seven percent of patients have been hospitalized, compared with 11% in 2025. Among all measles patients, 93% are unvaccinated or have unknown vaccine status.”
  • and
    • “A pair of new studies confirm that recently developed immunizations against respiratory syncytial virus (RSV) protect infants in their first year of life. 
    • “The research, including one study conducted in France and another in the United Kingdom, confirm that the immunizations are effective in the real world, not just in carefully supervised clinical trials”
  • MedPage Today relates,
    • “By this time of year, both the FDA and CDC normally have weighed in on fall respiratory virus vaccine recommendations. But given ongoing controversies over vaccination spurred by the Trump administration, a wrench has once again been thrown into the gears of that process.
    • “The FDA has done its part, making recommendations about vaccine composition for influenza vaccines in March, followed by recommendations for COVID shots in May. But the CDC’s Advisory Committee on Immunization Practices (ACIP) hasn’t done its part as it hasn’t held its March or June meetings this year.” * * *
    • But clinicians shouldn’t worry, because medical groups have stepped in to fill the gaps. The IDSA, the American Academy of Pediatrics (AAP), the American College of Obstetricians and Gynecologists, and the American Academy of Family Physicians (AAFP) have issued guidance on fall respiratory virus shots and more, as the Trump administration has also tried to make significant changes to the pediatric immunization schedule.
    • At the same time, insurers have pledged to cover all recommended vaccines without cost-sharing through the end of 2027, Richard Hughes IV, MPH, legal counsel for AAP, said in an email in June.
    • “There are some shades of gray, however, as the FDA approved the first mRNA flu shot (mFlusiva) from Moderna earlier this month. While the company has said its shot — approved for adults 50 and up — should be available for the upcoming 2026-2027 season, it’s unclear whether it will be written into recommendations.”
  • and
    • “GLP-1 agonists and bariatric surgery are top obesity treatments, raising questions of their combined efficacy.
    • “A retrospective study found that patients taking GLP-1 drugs before surgery achieved similar 12-month weight loss as non-users (24% vs 25%).
    • “Treatment groups had comparable outcomes on surgical complications and diabetes control.”
  • Health Exec informs us,
    • “Right now U.S. healthcare has almost everything it needs to eliminate one awful affliction—and then to adapt the resulting victory for going after many others.  
    • “All it would take to set the precedent is responsible AI deployment, attuned government leadership, cross-sector partnerships and generational investments.  
    • “That, and an orchestrated targeting of the low-hanging fruit at hand—cervical cancer.  
    • “The cure-in-waiting for this maddeningly preventable cancer represents a “breakthrough with a failure to follow through,” physician-researchers explain in an article published Aug. 13 in JAMA.  
    • “Erstwhile Surgeon General Special Advisor Adam Beckman, MD, MBA, and co-author Dave Chokshi, MD, MSc, believe cervical cancer is a prime candidate for first dibs because of its 90%-plus early-stage survival rate on top of the near-perfect efficacy of vaccines for human papillomavirus (HPV), which causes many if not most cervical cancers. 
    • “All that’s lacking is the will to “bridge the stubborn gap between what we know and what we do in public health and healthcare,” the researchers write.”
  • Health Day points out,
    • “Taking the stairs instead of the elevator may do more for your health than you think.
    • “A large study published in the American Journal of Cardiovascular Drugs found people who regularly climbed the stairs were 39% less likely to die from cardiovascular disease. And 24% less likely to die from any cause. Their odds of heart attack, stroke and heart failure were also lower.
    • “Taking the stairs is a practical and often overlooked way to build physical activity into daily life,” said senior author Dr. Vassilios Vassiliou, a professor of cardiac medicine at Norwich Medical School at the University of East Anglia in the U.K. “We wanted to better understand how this everyday activity could have life-saving potential.”
  • and
    • “Gambling is a powerful temptation for today’s college students, and those hooked have a greater risk of deeper mental health issues, a new study says.
    • “Student gambling frequently occurs alongside depression, anxiety and substance use, researchers reported recently in the International Journal of Mental Health and Addiction.
    • “What’s interesting about this study is even though mental health concerns were very prominent, students who tended to gamble more were more likely to be experiencing greater levels of problems among a sample that was already experiencing plenty,” said lead researcher Nicholas McAfee, director of the William Magee Center for AOD and Wellness Education at the University of Mississippi.
    • “Gambling is a real concern for college students, given the proliferation of online betting and prediction markets in the United States, researchers said in background notes.”

From the U.S. healthcare business and artificial intelligence front,

  • The International Foundation of Employee Benefit Plans reports,
    • “U.S. employers project a median health care cost increase of 10% for 2027, according to Health Care Costs Pulse Survey: 2027 Cost Trend, a new survey from the International Foundation of Employee Benefit Plans. A similar International Foundation survey conducted in 2025 also projected a 10% increase for 2026.” 
  • Healthcare Dive adds,
    • “Nearly 4 in 5 U.S. adults said either high insurance premiums or out-of-pocket spending were the most important problem in the healthcare system, according to a Commonwealth Fund survey released Thursday. 
    • “Affordability concerns crossed party and coverage lines. Premiums were the top problem for 45% of Republicans, 44% of Democrats and 42% of independents, while more than 8 in 10 adults with employer, individual or marketplace coverage — as well as uninsured adults — said either premiums or out-of-pocket costs were the biggest issue.
    • “Still, according to the survey, Americans are split over who’s best to tackle the problem. Most respondents said the federal government is best suited to solve high healthcare prices, while Republicans were more likely to say insurance companies were best to address the issue.”
  • FEHBlog observation — Consumers pay insurance premiums and cost sharing but evidently fail to understand that those costs are driven by hospital, doctors and pharmacy charges.
  • In that regards, The Washington Post relates,
    • Prescription drug prices recorded the biggest year-over-year drop in more than 60 years in July, a startling reduction experts chalked up to an array of factors, including more generics and discount GLP-1 weight-loss drugs. 
    • While overall costs for medical services continued to rise, prices for medicinal drugs fell 2.7 percent over the 12 months ending in July, the largest annual drop on record, according to Bureau of Labor Statistics data released Wednesday. Prescription drugs, part of the medicinal drug category, fell by 3.1 percent, the steepest annual decline since March 1963.
  • EBRI calls to our attention,
    • “Plan sponsors that wish to introduce or continue offering health savings account (HSA)-eligible health plans as part of their workplace benefit program can benefit from a long-term view of HSA accountholder behaviors. As such, the Employee Benefit Research Institute (EBRI) has undertaken a series of longitudinal studies from its HSA Database, examining trends in account balances, individual and employer contributions, distributions, invested assets, and account-owner characteristics from 2011‒2024. Such analysis can help plan sponsors, providers, and policymakers better understand strategies that can help improve employee financial wellness.”
    • “HSAs offer a triple tax advantage to accountholders, enabling them to stretch money they save for health care expenses further than they otherwise could. The tax benefits of HSAs are maximized when accountholders contribute the statutory maximum and minimize withdrawals for current medical expenditures — if they are able — and invest their HSA balances in assets other than cash. However, the majority of accountholders appear to use their HSAs to pay for current expenses and do not take complete advantage of the tax benefits HSAs offer. Average contributions are well below the statutory maximum, most accountholders take a distribution from their HSA, and relatively few accountholders invest. We do find that as time goes on, accountholders tend to take fuller advantage of the benefits HSAs offer. And, despite out-of-pocket spending on health care rising by 5.9 percent in 2024, average balances in HSAs increased, rising from $4,747 in the prior year to $5,532. Further, the share of accountholders who invest their HSAs has crept steadily upward since EBRI began analyzing its HSA Database, reaching 18 percent in 2024.”
  • Beckers Hospital Review tells us,
    • “Providence Health Plan will completely shut down after it was unable to reach a deal with a national insurer to operate its Medicare Advantage business.
    • “We are in discussion with regulators about this development and the broader wind-down of Providence’s health plan operations,” a spokesperson for the system told Becker’s. “We will share more details with our members and the public as we are able under applicable regulations.”
    • “In May, the Renton, Wash.-based health system said it would shutter most of its insurance business beginning in 2027 after operating more than 40 years as a regional payer and serving more than 440,000 members. 
    • “At the time, President and CEO Erik Wexler said state and federal regulations and consolidation among large insurers had left Providence “in an untenable situation” and unable to continue operating the health plan.”
  • and
    • “Cleveland Clinic recorded operating income of $245.6 million (5% operating margin) during the second quarter of 2026, down from operating income of $255.3 million (5.6% margin) during the same period last year, according to its Aug. 14 financial report.”
  • and
    • “New Orleans-based Ochsner Health recorded operating income of $32.5 million (0.8% operating margin) in the first half of 2026, up from an operating loss of $42.7 million (-1.1% margin) during the same period last year, according to its Aug. 13 financial report.” 
  • Beckers Physician Leadership points out,
    • “Hollywood, Fla.-based DermCare Management and Dallas-based U.S. Dermatology Partners have partnered to form one of the largest dermatology groups in the U.S. 
    • “The combined company will expand patient access, preserve physician autonomy, support national dermatology clinical trials, improve practice management support and unify culture, according to an Aug. 13 news release from DermCare Management. 
    • “DermCare Management partners with more than 270 dermatology practices, and U.S. Dermatology Partners supports a network of more than 120 locations across nine states.” 

Thursday report

David Ermer–CDC, FDA, Federal employment benefits, Medical / Rx research, No Surprises Act, OPM, U.S. Healthcare, Uncategorized–

Simplicity is a virtue.

From Washington, DC

  • Per a Department of Health and Human Service news release,
    • “The U.S. Department of Health and Human Services (HHS), through the Health Resources and Services Administration (HRSA), today announced $102 million in New Access Points awards to significantly expand the reach of the Health Center Program. The awards represent the first major expansion of the Health Center Program since the first Trump Administration in 2019, supporting 158 new and existing health centers to establish 415 new sites and expand access to comprehensive primary care for nearly 1 million people nationwide.
    • “Strong primary care prevents disease and gives Americans greater control over their health,” said HHS Secretary Robert F. Kennedy, Jr. “This $102 million investment will bring high-quality care to nearly one million more Americans, expand prevention and nutrition services, and help communities tackle chronic disease at its roots. We are giving more Americans the tools to live healthier lives and Make America Healthy Again.”
    • “Learn more about the Health Center Program and find a health center near you.
    • “Visit the New Access Points webpage for more details on the program and a list of 2026 award recipients.”
  • Per a Government Accountability Office news release about a new report,
    • “National Crisis and Support Hotlines: Contact Volume Increased and Operations Remained Relatively Consistent in 2025
    • “GAO-26-109046. Published: Aug 13, 2026
    • “The federal government operates the following hotlines:
      • “Health and Human Services’ 988 Suicide & Crisis Lifeline provides 24/7 support to people in distress
      • “HHS’s National Maternal Mental Health Hotline provides emotional support to pregnant and postpartum women
      • “Veterans Affairs’ Veterans Crisis Line provides support to veterans, service members, and their families
    • In February 2025, the President issued an executive order aimed at reducing the size of the federal workforce. While HHS and VA reduced their staff, the hotlines’ operations and services remained mostly consistent, with an increase in chats, texts, and calls.
  • FEHBlog observation: While aware of the 988 line, he wants to call attention to the other two lines.

From the U.S. Office of Personnel Management front,

  • Federal News Network reports about, “FEHB and Medicare: Understanding how they work together in retirement.”
  • Fedweek explains “How FEDVIP Differs from FEHB in Retirement.”
  • Tammy Flanagan, writing in Govexec, advises “Before you take money out of your TSP, weigh these trade-offs.”
    • “A withdrawal can affect everything from your tax bill and Medicare premiums to how long your savings last and what your heirs receive.”
  • Federal News Network tells us,
    • “Following a year of sweeping staffing reductions, the Trump administration is laying the groundwork for agencies to ramp up recruitment efforts. The Office of Personnel Management has directed agencies to begin assembling “annual staffing plans” for fiscal 2027.”
  • Chief Data Officer Magazine informs us,
    • “The U.S. Office of Personnel Management (OPM) has directed federal agencies to make technology recruitment a key component of their fiscal year 2027 workforce plans. Guidance issued by OPM directs agencies to include dedicated hiring strategies for roles in artificial intelligence (AI), cybersecurity, software engineering, data science, digital services, and other technology fields in staffing plans due by Sept. 30.
    • “Agencies are also expected to assess how the adoption of modern technologies will affect workforce needs and align hiring accordingly.”
  • Federal News Network adds,
    • “The Merit Systems Protection Board is officially transitioning away some of its authority over adverse action appeal decisions. A new final rule from MSPB removes all references to the board’s prior jurisdiction over appeals due to firings or demotions during a reduction in force, probationary period or for a suitability-related reason. The adjustments at MSPB come after the Office of Personnel Management finalized rules to take over decisions in those three categories of workplace disputes. The change takes full effect in early September.”

From the Food and Drug Administration front,

  • Cardiovascular Business reports.
    • “Novartis is recalling a single lot of valsartan, a blood pressure drug the company sells under the brand name Diovan, due to failed dissolution specifications. This means it is not dissolving correctly, which can impact the drug’s effectiveness. 
    • “The U.S. Food and Drug Administration (FDA) has categorized this as a Class II recall, meaning exposure to the drug may lead to “temporary or medically reversible adverse health consequences.” 
    • “Diovan is an angiotensin II receptor blocker used to treat hypertension and heart failure. It may also be prescribed to patients after a heart attack. This specific lot, AV5913C, includes packages of 90 160-mg tablets that expire in June 2027. The drugs were manufactured by Pantheon Manufacturing Services in Greenville, North Carolina, and distributed by Novartis Pharmaceutical Corp. in Hanover, New Jersey.”
  • Yahoo News relates,
    • “There’s an ongoing recall on a specific type of bladder medication distributed and prescribed nationwide, according to the U.S. Food and Drug Administration (FDA). This is due to an impurity issue.
    • “The medication being recalled is 25-milligram, 30-count bottles of mirabegron extended-release tablets manufactured by Zydus Lifesciences. The recalled bottles contain a lot code of “E408618,” an NDC of “70710-1159-3” and the expiration date “11/30/2026.” * * *
    • “Check your medication, and if you have the recalled product on hand, contact your pharmacy for a refund or replacement. Seek medical attention if you are experiencing any health concerns after consuming the affected pills.”
  • Reuters tells us,
    • “The U.S. FDA on Thursday approved Bristol Myers Squibb’s (BMY.N) oral combination treatment for patients ​with a rare form of blood cancer whose illness had relapsed or ‌not responded to other treatments, the health regulator said.
    • “The drug, iberdomide, with brand name Zenbexus, is given in combination with J&J’s (JNJ.N), opens new tab Darzalex and dexamethasone, a prescription medication used to reduce inflammation.” * * *
    • “The list price of Zenbexus is $29,500 ‌for ⁠a 28-day cycle, Bristol said. The company expects product availability within the coming weeks.”
  • The American Hospital Association News adds,
    • “The AHA Aug. 13 responded to a Food and Drug Administration request for input on the risks and benefits to health and safety associated with non-device software. Among its recommendations, the AHA supported the benefits of clinical decision support software and requested the FDA to permanently adopt flexibilities for CDS that generate only one clinical recommendation. The AHA also requested that the FDA clarify its general wellness guidance by providing additional resources on labeling and clarifying or removing references to allow non-device general wellness applications to make recommendations on escalation to a healthcare provider. Finally, the AHA encouraged the FDA to continue to update guidance, education and other materials to account for novel artificial intelligence applications, including generative AI. Input will support an agency report, as required under Section 3060 of the 21st Century Cures Act.”

No Surprises Act News

  • Following up on yesterday’s discussion of the U.S. Court of Appeals for the Fifth Circuit’s opinion about the calculation of qualifying payment amounts (“QPA”), the American Hospital Association tells us,
    • “A statement posted Aug. 13 on the Centers for Medicare & Medicaid Services website said that the agencies are reviewing the court’s opinion and judgement and anticipates issuing guidance shortly.” 
  • FEHBlog Observation: The Fifth Circuit is a victory for the majority of health care providers who accept the QPAs. No one can object to that outcome.
  • Beckers Hospital Review recounts “the never-ending No Surprises saga.”
    • “When President Trump signed the No Surprises Act into law in 2020, the straightforward premise was that patients should not be blindsided by massive emergency care bills from out-of-network physicians they never chose. On that front, the law has largely worked. 
    • “But the system Congress built to resolve payment disputes between insurers and providers has led to an increasingly expensive and bitter standoff that insurers say is driving up premiums, while physicians report waiting months to get paid. And employers, particularly the self-funded plans that cover the majority of commercially insured workers, say they’re the ones now stuck with a big chunk of the bill. In recent months, the courts, Congress and federal regulators have all been moving in different directions on exactly what to do about it.”

From the judicial front,

  • Beckers Hospital Review reports,
    • “The federal government has referred dozens of hospitals, pharmacy benefit managers and pharmacies to investigators over potentially fraudulent billing related to pediatric gender-affirming care.
    • “Vice President JD Vance referred hospitals and clinics identified in a new HHS report to the Justice Department, while HHS Secretary Robert F. Kennedy Jr. referred flagged organizations to HHS’ Office of Inspector General over “potentially anomalous billing patterns” identified through an analysis of insurance claims, according to an Aug. 13 news release.” * * *
    • “In the report, HHS shared its analysis of claims data spanning 2015 to 2025, identifying $47.6 million in claims for puberty-blocking drugs prescribed to patients 9 to 17 years old with endocrine disorder diagnoses, excluding precocious puberty. The patients also did not have a gender-related diagnosis documented. Of those claims, $42.6 million stemmed from an unspecified endocrine disorder diagnosis, the report said.” * * *
    • “The referrals mark the latest escalation in a federal crackdown on pediatric gender-affirming care that began shortly after President Donald Trump returned to office in January 2025. Some pediatric hospitals, most recently Hartford-based Connecticut Children’s Medical Center, have struck deals with the Justice Department and stopped providing gender-affirming care services.”
       
  • The Wall Street Journal relates,
    • “Luigi Mangione is expected to plead guilty Friday in a Manhattan federal court, where he is facing stalking charges in connection with the killing of UnitedHealthcare CEO Brian Thompson outside a Midtown hotel in 2024, people familiar with the matter said.
    • “The expected plea potentially resolves the federal case just a month before Mangione is scheduled to go to trial in New York state court on murder and other charges. But the people familiar with the matter cautioned that Mangione still could change his mind. And his defense team has abruptly shifted strategies previously.”

From the public health and medical / Rx research front,

  • MedPage Today reports,
    • “Arthritis in its many manifestations is among the most common chronic conditions, affecting some 53 million adult Americans, and its associated pain often impairs the ability to perform daily activities including work.
    • “The Healthy People 2030 initiative set a goal of reducing the prevalence of joint pain in the U.S. to about 52%.
    • “In this analysis of National Health Interview Survey data from 2023, moderate to severe joint pain was reported by 58% of those with arthritis, with no change from 2019 (57%) after adjusting for age distribution.”
  • and
    • “Estrogen-only menopausal hormone therapy was linked with reduced Alzheimer’s pathology in an autopsy study.
    • “Estrogen treatment was also tied to lower odds of dementia diagnosis.
    • “More than 20 years after the landmark Women’s Health Initiative trial, hormone replacement therapy remains controversial.”
  • Beckers Behavioral Health relates,
    • “A nationwide, evidence-based tobacco treatment program for cancer patients and survivors in the U.S. would save $12.32 billion in healthcare costs over 10 years, according to a study published July 14 in JCO Oncology Practice.
    • “Led by researchers from Houston-based University of Texas MD Anderson Cancer Center, the study projected 10-year survival trends and healthcare cost savings associated with a nationwide smoking cessation program targeted to 18 million U.S. cancer survivors.” * * *
    • “Read the full study here.” 
  • Healio adds,
    • “Exercise capacity, oxygen uptake and ventilation at peak exercise were significantly reduced in e-cigarette and conventional cigarette users vs. never smokers.
    • “Vascular function also followed this pattern.”
  • BioPharma Dive lets us know,
    • “Taiho Oncology and partner Cullinan Therapeutics said a targeted medicine they’re developing has succeeded in a Phase 3 trial in frontline lung cancer, with investigators halting the study at an early data check because of clearly positive results.
    • “Taiho and Cullinan have been testing that therapy, zipalertinib, alongside chemotherapy in the first-line setting in people whose lung tumors have a so-called exon 20 insertion in a gene called EGFR. They didn’t release detailed data, but on Wednesday said that the combination “demonstrated a statistically significant and clinically meaningful improvement” in progression-free survival, meeting a pre-planned threshold for unblinding the trial.
    • “The Food and Drug Administration is already reviewing zipalertinib as a second-line treatment and is expected to make a decision by Feb. 27. If approved, the drug will add to an already competitive market battle. Johnson & Johnson’s Rybrevant and AstraZeneca and Dizal’s Zegfrovy are both available, and another biotechnology company, ArriVent BioPharma, is expecting Phase 3 data later this year.”
  • and
    • “Boulevard Bio, a new startup co-founded by pioneering autoimmune disease researcher Georg Schett, officially launched Wednesday with $65 million in its coffers and three experimental drugs.
    • “One of those medicines is already in early testing. Called BLVD-101, that drug is a so-called bispecific antibody aimed at a pair of targets known to drive the progressive kidney condition IgA nephropathy.
    • “IgAN has become a popular target for drugmakers of late. In the last year, U.S. regulators have approved two drugs, Vera Therapeutics’ Trutakna and Otsuka Pharmaceutical’s Voyxact. A third from Vertex Pharmaceuticals could follow.”
  • Fierce Pharma notes,
    • “Roughly a year and a half after the approval of Vykat XR, a group of clinicians with deep ties to the Prader-Willi syndrome (PWS) community is flagging potential safety concerns about the rare disease med, acquired in Neurocrine’s $2.9 billion buyout of Soleno Therapeutics last spring.
    • “The package insert for Vykat XR (diazoxide choline)—a potassium channel activator that became the first drug approved to treat the sensation of insatiable hunger, or hyperphagia, in PWS in March 2025—already cites the risk of fluid overload, based on an increased incidence of edema seen during clinical trials. 
    • “Since becoming more widely available, additional reports of edema and related complications in patients taking Vykat XR have been posted to the FDA’s Adverse Event Monitoring System (AEMS), including seven reports of death and more than 100 other reports of serious adverse events, mostly tied to edema, respiratory and cardiac complications.
    • “The adverse event trend, which doesn’t establish that Vykat XR caused the events, was flagged in a statement (PDF) from PWS patient organizations the Foundation for Prader-Willi Research, the International Prader-Willi Syndrome Organization and Prader-Willi Syndrome USA. The issue was first reported by Stat News earlier on Wednesday.” 

From the U.S. healthcare business and artificial intelligence front,

  • The American Hospital Association News reports,
    • “A blog by Robyn Tessin, AHA director of policy, discusses the ways value-based care can meet patients’ needs, resulting in improved affordability and access to timely, coordinated care. “The promise of value-based care is a healthcare system that feels less like a collection of separate transactions and more like a connected journey centered on each patient,” Tessin writes. “No single payment model can solve every affordability challenge. But providers, policymakers, payers and patients can build on what is working — strengthening existing models such as [accountable care organizations], scaling innovations in care coordination and ensuring that the models’ financial incentives are meaningful for patients.” READ MORE 
  • Beckers Payer Issues adds,
    • “Mishawaka, Ind.-based Franciscan Alliance has partnered with Millennium Physician Group to expand value-based care and primary care access across Indiana.
    • “Fort Myers, Fla.-based Millennium is part of a national value-based care platform partially owned by Elevance Health.
    • “The partnership will combine Franciscan’s physician network with Millennium’s practice management, analytics and value-based care capabilities. Franciscan physicians will remain part of the health system’s physician network while gaining access to additional operational support, technology, care coordination resources and analytics.
    • “As Franciscan Alliance celebrates 150 years of serving Indiana, this partnership represents the next chapter in that mission,” Franciscan Alliance President and CEO Kevin Leahy said in an Aug. 12 news release. “By combining our trusted community presence with Millennium’s proven expertise in value-based care, we are strengthening our ability to expand access, enhance quality and deliver more affordable healthcare for generations to come.
    • “The organizations said the partnership is designed to reduce administrative burdens for physicians, improve clinical performance and strengthen chronic disease management and care coordination.”
  • Reuters relates,
    • “Novo Nordisk (NOVOb.CO) CEO Mike Doustdar said investors are underestimating the demand for differentiation among obesity drugs, ‌and that new treatment options like pills will keep it from becoming a winner-take-all battle with rival Eli Lilly.
    • “Novo was first to bring a highly effective GLP-1 weight-loss injection, Wegovy, to the U.S. market, but is under pressure to regain ground lost to Lilly’s (LLY.N) Zepbound in a business that ​analysts expect will be worth more than $100 billion a year by 2030.
    • “Doustdar, who took the helm at the Danish ​drugmaker a year ago, said that patients are just beginning to understand which GLP-1 drug is ⁠best suited to them, and he expects more segmentation as new medicines are approved. More than 100 million U.S. adults ​are classified as obese.
    • “Right now the investor community has thought this is supposed to be a zero-sum game between two players – ​there’s a loser and a winner,” Doustdar said in an interview with Reuters on Wednesday.
    • “As you foresee the future of GLP-1s and obesity and weight-loss drugs, it will not be Coke versus Pepsi. It will be Coke and Pepsi and Fanta and Dr Pepper and Red Bull. People are ​thirsty, and they can make their choices,” he said.”
  • Beckers ASC Review tells us,
    • “For much of the past decade, the story of physicians’ practice has moved decidedly away from independence. 
    • “Hospital and corporate employment of physicians climbed from 62% to 78% between 2019 and 2023, and private practice fell from 60% of physicians in 2012 to just 42% in 2024, according to data from the Government Accountability Office.
    • “But 2026 is producing early signs that the pendulum may be swinging back, not toward the traditional solo practitioner model, but toward a new one built around management services organizations, physician practice networks and other arrangements designed to help physicians reclaim ownership and autonomy without giving up the scale and capital that made employment attractive in the first place.”
  • Healthcare Dive informs us,
    • “Nonprofit hospitals and health systems rated by credit ratings agency Fitch raised their operating margins and extended their financial recovery last year, according to a Fitch Ratings report based on audited fiscal 2025 data.
    • “The median operating margin among 222 nonprofit providers rose to 1.5%, compared to 1.1% in 2024, according to the report, and gains were increasingly concentrated among more financially stable providers. 
    • “Still, Fitch warned that 2025 could prove to be an “operational peak” before Medicaid funding reductions and other policy changes begin to pressure hospital revenue more significantly in 2027. Financially unstable and Medicaid-dependent providers have less financial cushion to absorb the coming strain, according to the credit ratings agency.”
  • Fierce Healthcare points out,
    • “Aetna is seeing its value-based care efforts pay off in both preventive care metrics and cost savings, according to a new analysis from the company.
    • “The insurer compared (PDF) outcomes across 20 different measures for individuals in its Medicare Advantage plans between value-based models and fee-for-service, and found that the value-based arrangements supported better results across 17 of the included measures.
    • “For example, value-based care models far outpaced fee-for-service in managing blood sugar and high blood pressure. Under value-based care, 43% more members controlled their HbA1C and 34% had controlled blood pressure, according to the analysis.
    • “In addition, 20% more patients were screened for colorectal cancer under value-based care and there were 7% fewer hospitalizations. These providers also generated $315 million in savings during plan year 2023, 2.6% higher than fee-for-service providers.”
  • and
    • “Cedar, a patient financial platform for healthcare providers, launched an agentic artificial intelligence platform Thursday aimed at patient medical billing.
    • “Kora Platform is a suite of purpose-built AI agents that integrates with healthcare organizations’ existing electronic health records (EHRs), telephony and call center systems. Some of the capabilities included within the suite include autonomous inbound voice, autonomous outbound voice, two-way text and advanced reporting.
    • “We really want Kora Platform to be this agentic advocate that’s sitting in the pocket of every patient,” Cedar Chief Strategy Officer Dugan Winkie told Fierce Healthcare.”
  • The American Medical Association lets us know about “four AI prompts to help prepare for your doctor’s appointment.”
    • “Here are some top expert tips on how to use AI chatbots in a way that makes the most of your time in the exam room with your physician.”

Midweek update

David Ermer–Agentic & Generative AI, AHRQ, CDC, CMS, Electronic health records, FDA, Federal employment benefits, Medical / Rx research, Medicare, NCQA, No Surprises Act, Rx coverage, Telehealth, U.S. Healthcare–

Simplicity is a virtue.

From Washington, DC

  • Per a Department of Health and Human Services news release,
    • “The U.S. Department of Health and Human Services (HHS) today announced a $4 million initiative to expand access to rapid, point-of-care syphilis testing, with a focus on reaching women in emergency departments and other nontraditional healthcare settings.
    • “Congenital syphilis is preventable, yet too many mothers and babies are still suffering its devastating consequences,” said HHS Secretary Robert F. Kennedy Jr. “HHS is putting rapid tests where women receive care so we can detect infections earlier, treat them faster, and protect more babies.”
  • Beckers Behavioral Health adds,
    • “HHS Secretary Robert F. Kennedy Jr., White House Office of National Drug Control Policy Director Sara Carter, and Housing and Urban Development Secretary Scott Turner released a toolkit Aug. 12 focused on addressing homelessness and addiction through treatment.
    • “The “Best Practices Toolkit: Addressing Homelessness and Addiction Through Treatment First” outlines strategies for communities to “help Americans transition from homelessness and addiction to recovery and self-sufficiency,” according to an Aug. 12 news release from HHS.
    • “The toolkit centers on a “Treatment First” model, which prioritizes coordinated and accountability-driven engagement in evidence-based treatment and recovery support services. It supports drug treatment and recovery efforts through the Great American Recovery Initiative.”
  • The American Hospital Association relates,
    • “The Centers for Medicare & Medicaid Services today released an advisory for certain clinicians who are qualifying alternative payment model participants and eligible to receive APM incentive payments, notifying them that their current billing information must be updated to receive funds for the 2026 payment year. CMS said that it was unable to identify a taxpayer identification number associated with some participants after processing 2026 APM incentive payments and therefore was unable to disburse payments. The agency said that all information must be received by Oct. 13. Following that date, CMS said any claim to an APM incentive payment for the 2026 payment period based on an eligible clinician’s qualifying APM participant status for the 2024 performance period will be forfeited.” 
  • Beckers Hospital Review adds,
    • “Participation in mandatory value-based payment programs from CMS is associated with significantly higher annual administrative costs for hospitals, according to a study published Aug. 7 in JAMA Health Forum.
    • “Researchers at the Brown University School of Public Health in Providence, R.I., examined 2006 to 2020 Medicare cost report data for 4,332 hospitals, including 2,820 that participated in the Hospital Value-Based Purchasing program, Hospital Readmissions Reduction Program and Hospital-Acquired Condition Reduction Program. They also assessed costs associated with participation in the Comprehensive Care for Joint Replacement model. * * *
    • “Participation in the first three programs was tied to annual administrative cost increases ranging from $650,000 per hospital compared with long-term acute care hospitals to $1.23 million compared with general acute care hospitals in Maryland. Participation in the CJR model was linked to a $1.4 million annual increase in administrative costs per hospital.
    • “Aggregated nationally, the programs accounted for more than $3 billion in additional annual administrative spending.”
  • Beckers Clinical Leadership tells us,
    • “HHS is creating a new pathway to evaluate which conditions should be added to the national newborn screening panel as part of a broader effort to modernize a review process that officials say has lagged behind advances in genetic medicine.
    • “The Health Resources and Services Administration on Aug. 11 launched a framework to streamline evidence reviews for the Recommended Uniform Screening Panel, the federal guideline nearly all state newborn screening programs follow. 
    • :A Federal Register notice published Aug. 12 laid out the mechanism: a National Newborn Screening Stakeholder Workgroup funded through a $700,000 award to the Silver Spring, Md.-based Association of Public Health Laboratories.”

From the U.S. Office of Personnel Management front,

  • My Federal Retirement reports,
    • “Based on CPI-W data through July 2026, the trend toward an estimated 2027 COLA holds at 3.1% for Social Security and CSRS retirees, which would translate to a FERS COLA of approximately 2.1% once the FERS reduction formula is applied — unchanged from last month’s estimate. The official 2027 COLA won’t be announced by the Social Security Administration until mid-October 2026. This page is updated monthly as new CPI-W data is released.”

From the Food and Drug Adminstration front,

  • The Hill reports,
    • The Food and Drug Administration (FDA) is assuring Americans that they should feel confident eating fresh produce again, seeking to ease concerns over the nation’s food supply after a cyclospora outbreak linked to iceberg lettuce spread across more than a dozen states.
    • “We have the safest food supply in the world,” acting FDA Commissioner Kyle Diamantas said in a Tuesday interview with CNBC. “Americans should feel confident in eating fresh produce including leafy greens at this point.
    • “Diamantas added that his agency “remains confident that all iceberg lettuce related to the cyclospora outbreak has been effectively removed from the market” since California-based vegetable producer Taylor Farms voluntarily recalled products linked to the outbreak on July 17.” * * *
    • “The FDA and CDC are still investigating the outbreak, and officials have warned that the number of confirmed illnesses could continue to climb long after the recall because it can take as long as six weeks to determine whether an illness is connected to the outbreak.”
  • Medscape relates,
    • “Following unprecedented results from the RASolute 302 trial, cancer centers across the US are making daraxonrasib available to patients ahead of FDA approval.
    • “The RAS inhibitor has been in the news since it was shown to nearly double median overall survival vs standard chemotherapy — from 6.7 to 13.2 months — among patients with previously treated metastatic pancreatic cancer.
    • “The survival gain, in a notoriously difficult-to-treat disease, earned a standing ovation when the data were presented at this year’s American Society of Clinical Oncology annual meeting. And on July 22, daraxonrasib’s maker Revolution Medicines, announced that the FDA had accepted its approval application.”
  • Beckers Hospital Review tells us,
    • “San Francisco-based Hims & Hers plans to start selling compounded peptides by the end of 2026, with six more to follow pending final FDA rulemaking, executives said Aug. 10.
    • “The direct-to-consumer telehealth company laid out a phased rollout on its second-quarter earnings call. Executives said they expect to offer a first group of already-permitted peptides — including sermorelin, glutathione and a product it markets as MEDplus — by year’s end, then expand to six wellness peptides an FDA advisory committee recommended in July.
    • “We are currently developing a best-in-class peptide experience including U.S.-manufactured products, clinical-led guidance and ongoing blood testing,” co-founder and CEO Andrew Dudum said. He said the company is “waiting on full and final rulemaking from the FDA” before launching the recommended peptides.”

From the judicial front,

  • Bloomberg Law reports,
    • “The full Fifth Circuit partly struck down a series of federal rules on surprise medical bills, concerning the qualifying payment amount, or median in-network rate. 
    • “The court overturned a provision allowing insurers to include “ghost rates” in the QPA, and rejected a provision excluding bonuses and case-specific rates from the QPA. 
    • “The court sided with the agencies on a provision excluding one-time, case-specific agreements from the QPA calculation, saying the word rate “connotes a per-unit price for multiple units.”
  • Beckers Hospital Review adds,
    • “The court said the agencies can use their enforcement discretion to let insurers keep using existing QPAs while new calculations are completed, preserving balance billing protections for patients in the interim.”
  • The Wall Street Journal relates,
    • “Eli Lilly filed six lawsuits against U.S. entities it alleges are selling a version of its investigational weight-loss drug on the black market.
    • “The lawsuits claim the entities sell retatrutide, a GLP-1 drug that is still in trials and not yet approved by the FDA.
    • “Eli Lilly is calling on social media platforms and payment processors to help stop the black market sales of the drug.”

From the NCQA front,

  • The Cotiviti Blog tells us,
    • “Many health plans wrapped up Measurement Year (MY) 2025 with a smoother HEDIS® season than ever before. The organizations that performed best weren’t necessarily those with the largest teams or budgets—they were the ones with integrated data, aligned workflows, and the ability to identify and act on quality opportunities earlier.
    • For many health plans, MY 2025 brought an unexpected outcome: fewer fire drills. The most successful organizations relied on repeatable steps focused on:
      • Integrated clinical and quality data
      • Aligned teams around clear priorities
      • Chart review productivity reporting
      • Population-level measures dashboards
    • Established repeatable workflows that reduced operational friction throughout the season
    • High-achieving plans started by identifying the right opportunities by using HEDIS logic and integrated data sources to pinpoint the gaps that matter most. Effective approaches centered on opportunities where both impact and intervention are possible, targeting outreach at the provider, care manager, or member level depending on where change can occur most effectively.
    • Next, operationalizing those insights was key during MY 2025. Analytics may reveal performance gaps, but improvement happens when those findings are embedded directly into workflows. Plans that consistently outperform their peers translate data into outreach campaigns, care management activities, and provider engagement efforts with clearly defined accountability.
    • Standardization is equally important. Quality initiatives only create value when the work performed is accurately reflected in reporting. Aligning documentation and coding practices with NCQA-approved value sets helps ensure that quality improvements appear in measure results.
    • Finally, leading health plans embrace continuous measurement. They evaluate intervention effectiveness, monitor gap closure rates, assess outcomes, and create feedback loops that help refine future strategies. Over time, this transforms quality programs from a series of one-off campaigns into a scalable operating model built around continuous improvement.

From the public health and medical / Rx research front,

  • MedPage Today tells us,
    • “Wait times are increasing between cancer diagnosis and the start of first-course therapy for six cancer types, according to a retrospective cohort study.
    • “Predictors of longer wait times included Medicaid insurance, lowest-quartile income, Black race, increased travel distance, and treatment at academic institutions, among other factors.
    • “These results should be considered in the context of previous research linking treatment delays with worse survival outcomes, researchers said.”
  • Beckers Hospital Review notes,
    • “Ascension Saint Thomas in Nashville has rescheduled some elective surgeries and said it could be forced to cancel or delay additional cases because of shortages of blood products.
    • “Platelets are a particular concern at Saint Thomas, according to an Aug. 6 news release from the hospital, which is part of the St. Louis-based Ascension health system. Chief Clinical Officer Brian Wilcox, MD, told NBC News affiliate WNKY that the shortage is affecting hospitals nationwide as donations of blood products have fallen to a four-year summer low even as demand for transfusions holds steady.
    • :The disruption comes as the American Red Cross declared its second national blood crisis in history July 27, with type O blood critically scarce and distributions to hospitals now limited. The shortage began building in May, when a gap widened between the amount of blood hospitals need and the amount being donated. The Red Cross is currently sending hospitals roughly 3,500 more units of blood per week than expected.
    • “An Illinois Red Cross spokesperson told NBC News affiliate WGEM that without a constant blood supply, hospitals could be forced into situations where doctors have to choose who gets blood and who doesn’t, adding that elective surgeries that need transfusions may have to be postponed.”
  • Cardiovascular Business adds,
    • “Clinicians should pay close attention to any incidental lung findings identified when transcatheter aortic valve replacement (TAVR) patients undergo preprocedural CT scans. That is according to new findings published in Heart Lung, a journal from the American Association of Heart Failure Nurses.[1]
    • “Over the past decade, TAVR has transformed the therapeutic landscape of symptomatic severe aortic stenosis (AS),” wrote first author Mustafa Mousa Basha, MD, a researcher with University Hospital Bonn in Germany, and colleagues. “Pulmonary diseases are frequently co-existent in AS patients, often ranging from mild restriction to a mixed restrictive and obstructive pattern, and represent an important risk factor for postoperative complications following TAVR.”
  • STAT News relates,
    • “Not long after guidelines shifted to considering statin therapy as early as age 30, new research from France suggests there may be no harm in stopping the cholesterol-lowering drugs at age 75 in people with no history of cardiovascular disease. The lessons, however, may not translate elsewhere. 
    • “The “non-inferiority” study, published Tuesday in the Lancet Healthy Longevity, does not advise doctors to tear up statin prescriptions for older people. Nor does it conclude that going off statin therapy is better than staying on. It does say patients should talk to their doctors to see if they’d be no worse off for dropping the daily pills.
    • “Invoking patient choice, the authors highlight the lack of scientific literature on older people, noting what research does exist has found the link between cholesterol and cardiovascular events weakens with age. They believe their own study needs to be repeated for a longer period of time and extended to populations at higher cardiovascular risk or otherwise not as healthy as their participants.
    • “For the majority of American patients over the age of 75, this trial will not change anything,” Romit Bhattacharya, a general and preventive cardiologist from the Mass General Brigham Heart and Vascular Institute, told STAT in an interview. He was not involved in the research. “It does give us a little bit of permission and greater flexibility and choice for our individuals who maybe have a short time horizon to live and who are already quite healthy and engaged in care.”
  • The New York Times reports,
    • “President Trump issued an executive order this week calling for immunizations for measles, mumps and rubella, a mainstay of vaccination programs worldwide, to be offered as three individual jabs given at separate times, instead of in one combination shot.
    • “In an Oval Office signing ceremony, the president made a frightening and unsubstantiated claim about the combination shot. “Together, there could be a possibility they’re quite lethal.” 
    • “Researchers have not linked the combination M.M.R. shot to a risk of death, and there is no evidence that it is dangerous or that splitting it into its three components is any safer or more effective, vaccine experts said. Combination shots for the diseases have been used in the United States since 1971, and were introduced only after careful comparison against individual shots. They have been given to hundreds of millions of children.
    • “What’s more, separate vaccines for measles, mumps or rubella have not been available in the United States for many years. Vaccine manufacturers said it would take a minimum of five to 10 years for them to be tested and made available.”
  • Health Day informs us,
    • “Restarting obesity medications, including glucagon-like peptide-1 (GLP-1) receptor agonists, soon after sleeve gastrectomy (SG) surgery is associated with greater one-year weight loss than surgery alone in adolescents, according to a research letter published online July 22 in JAMA Surgery.”
  • and
    • “The 4C meningococcal B (MenB) vaccine confers modest protection against gonorrhea among adolescents, according to a study published online Aug. 4 in Open Forum Infectious Diseases.”
  • Genetic Engineering and Biotechnology News points out,
    • :A multi-disciplinary, multi-institutional group of researchers said they relied on their expertise in genetics, mechanics, chemistry, and biology to create a chip the size of a postage stamp to model a particular class of heart conditions.
    • “The team, led by Guang Li, PhD, an associate professor in the University of Pittsburgh School of Medicine’s department of cell biology, has grown heart valves on organoids. The study “Human iPSC-derived heart valve-like assembloids model valve development and disease pathology” appears in Cell Stem Cell and is an important step toward better understanding and treating a number of serious heart disorders, according to the scientists.”
  • Per an Institute of Clinical and Economic Review news release,
    • “The Institute for Clinical and Economic Review (ICER) today released a Draft Evidence Report assessing the comparative clinical effectiveness and value of baxdrostat (Baxfendy™, AstraZeneca) and lorundrostat (Mineralys Therapeutics, Inc.) for hypertension.
    • “This preliminary draft marks the midpoint of ICER’s eight-month process of assessing this treatment, and the findings within this document should not be interpreted to be ICER’s final conclusions.” * * *
    • The Draft Evidence Report and Draft Voting Questions are now open to public comment. All stakeholders are invited to submit formal comments by email to publiccomments@icer.org, which must be received by 5 PM ET on September 9, 2026.

From the U.S. healthcare business and artificial intelligence front,

  • The Austin American-Statesman reports,
    • “On Wednesday, the University of Texas System Board of Regents’ Facilities Planning and Construction Committee will adopt a timeline and budget for phase one of the much-awaited artificial intelligence-native hospital, UT Dell Medical Center. 
    • “Construction on the $5 billion hospital is expected to begin this fall, and initial site preparation could begin within a month after board approval of this first phase, which does not include the actual building but includes design and site preparation as well as equipment that takes time to arrive such as MRIs. The committee’s agenda includes information such as a timeline and the cost of the project, which has not yet been disclosed publicly. 
    • “The hospital will include both specialty care and an MD Anderson Cancer Center Central Texas location. UT announced the project in 2023 as a $2.5 billion investment to expand access to high-quality healthcare for Central Texas and bring thousands of jobs to Austin, but when a new site chosen and the hospitals were combined into one, the price tag went up to an estimated $5 billion.” 
  • Modern Healthcare relates,
    • “Intermountain Health and AdventHealth have signed a definitive agreement to merge services at multiple hospitals, clinics and medical practices through a joint venture in the Denver area. 
    • “The deal is slated to close in early 2027, pending regulatory approval, according to a Wednesday notice from AdventHealth. The organizations signed the definitive agreement last week.
    • “Financial terms were not disclosed.”
  • KFF Health News explains how “Hospital Prepayment Requirements Add New Wrinkles to Patients’ Financial Responsibility.”
  • Beckers Health IT tells us,
    • “Bethlehem, Pa.-based St. Luke’s University Health Network and UnitedHealthcare have automated claim status updates for 88% of the claims exchanged between the two organizations, using Epic’s Payer Platform, according to Epic’s newly released 2026-2027 Almanac.
    • “The two organizations turned on Epic’s Claim Status feature to give St. Luke’s staff real-time visibility into where claims stand with UnitedHealthcare, replacing manual status checks that previously required calling the payer or logging into external portals. Brian Burd, IT director at St. Luke’s, said the health system’s main motivation was to improve revenue cycle efficiency by reducing manual claim status inquiries and speeding up follow-ups.
    • “UnitedHealthcare manages most of its claims operations outside Epic, so the insurer routes claim data through its own Epic environment first, then delivers it to St. Luke’s through the Payer Platform connection. That setup avoided the time and transaction fees of building a separate direct link between the two systems.
    • “Since the feature went live, UnitedHealthcare has seen a 25% drop in claim status calls from St. Luke’s, while St. Luke’s staff have shifted their time from chasing payer updates to higher-value revenue cycle work.”
  • Beckers ASC Review informs us,
    • “There comes a point when health system’s ASC moves stop being a side project and start requiring a more involved strategy, and, according to Atlas Healthcare Partners CEO Aric Burke it’s when revenue is above roughly $2 billion to $3 billion, and a portfolio has grown past about five centers.
    • “I think health systems over two to three billion in revenue probably need to have a real, dedicated ASC strategy,” Mr. Burke told Becker’s.”
  • and 
    • “Anesthesia has become one of the most persistent staffing headaches for ASCs and hospitals alike.
    • “It’s not just a bad labor market, but a pipeline problem stacked on top of an aging workforce, a bottlenecked training system and a reimbursement environment that’s making it harder to attract new anesthesiologists and certified registered nurse anesthetists into the specialty.”
  • and
    • “GI procedure demand keeps climbing while Medicare keeps cutting what it pays for the exact setting where those procedures are cheapest to perform.”
  • Beckers Hospital Review notes,
    • “U.S. News & World Report released its debut ratings Aug. 12 for the best GLP-1 telehealth platforms, its first evaluation of the online companies prescribing brand-name weight loss drugs.
    • “The media company rated 20 platforms offering FDA-approved, brand-name GLP-1 medications, including Wegovy, Zepbound, Ozempic and Foundayo, according to an Aug. 12 news release. Companies that offer only compounded GLP-1s were excluded, and for platforms selling both, U.S. News evaluated only the branded portion of the business.”
    • Here are the top five:
      • “Amazon One Medical: 4.8
      • “Found: 4.6
      • “Mochi Health: 4.4
      • “Ro: 4.4
      • “Noom: 4.3”
  • MedTech Dive lets us know,
    • “Abbott and Google plan to pair Abbott’s over-the-counter glucose sensor with Google’s artificial intelligence and consumer technology, the companies said Tuesday.
    • “The multiyear partnership is focused on making metabolic insights from Abbott’s device easier to use, helping people proactively manage their health. 
    • “The two companies plan to launch a large study that could inform Google’s AI health coaching and future features for Abbott’s Lingo sensor. Abbott did not disclose how many people they plan to enroll in the study.”

Tuesday report

David Ermer–CDC, FDA, Medical / Rx research, Medicare, Mental health care, NIH, Rx coverage, U.S. Healthcare–

Simplicity is a virtue.

From Washington, DC,

  • The Washington Post reports about the President’s August 10, 2026, executive order on child vaccinations.
    • “Insurers probably would still cover childhood vaccines even if Trump administration officials change the schedule. 
    • “If this EO were to withstand legal scrutiny, it appears insurers should still cover recommended vaccines for free,” Jennifer Kates, a senior vice president at KFF, a health policy research and news organization, wrote in an email. She added that spacing the shots over multiple visits is already an option for parents. 
    • “Major insurers have also previously indicated they would continue to cover vaccines even in the face of potential changes. White House officials told reporters on Monday that they believed health insurers would continue to cover vaccines currently on the childhood immunization schedule regardless of whether recommendations change.”
  • STAT News relates,
    • “As of July 1, eligible Medicare beneficiaries may obtain these medications for a sharply discounted out-of-pocket cost of $50 per month. That is the headline many patients will hear and remember.
    • “What follows, however, is far more complicated. Eligibility depends on a detailed checklist of body mass index thresholds, specific combinations of chronic conditions, and prior treatment histories. Many patients will not absorb these details, and many clinics will need time and effort to interpret them.” * * *
    • “As a result, the administrative workload associated with GLP‑1 prescribing often rivals the clinical work itself, stretching already limited primary care resources and diverting attention from other critical aspects of chronic disease management.
    • “Each step introduces friction — points where patients may be delayed, confused, or lost in the process entirely. Programs that are difficult to navigate tend to benefit those with time, health literacy, and persistent advocacy while leaving behind those who are already at risk of poorer outcomes. A benefit that exists on paper is altogether different from access in practice.
    • “For clinicians, the burden is also real. Primary care is already stretched thin, managing rising patient complexity alongside mounting administrative demands. Many practices will absorb this new Bridge workload, driven, as always, by a commitment to their patients. But that commitment is not an unlimited resource. Each additional administrative layer adds to the strain on a specialty already facing workforce shortages, burnout, and declining morale.
    • “Faced with these demands, some private practices may decide that participation in the Bridge program is simply not sustainable.” 
  • MedTech Dive tells us,
    • “Orthopedics firms are shrugging off worries that a new, mandatory Medicare joint replacement model could drive down implant payments.
    • “The Centers for Medicare and Medicaid Services finalized the Comprehensive Care for Joint Replacement Expanded Model, called CJR-X, as part of its hospital inpatient payments rule at the end of July. CJR-X would go into effect in 2028, making hospitals responsible for more spending on joint replacement surgery and associated costs, including the hospital stay and follow-up care provided in the first 90 days of recovery. Hospitals may be eligible for an additional payment from Medicare, or may be required to repay a portion of a patient’s care, depending on quality and spending. Regulators expect the model to save the government $725 million over five years.”

From the Food and Drug Administration front,

  • Reuters reports,
    • “The U.S. Food and Drug Administration on Tuesday finalized guidance for preparation and ‌packaging of fresh-cut produce, recommending measures such as sanitation control, supplier verification and refrigeration to reduce the risk of foodborne illnesses.
    • “The guidance for ready-to-eat produce comes as ongoing outbreaks of cyclosporiasis and salmonella due to contaminated lettuce and jalapenos ​have sickened thousands of people in the United States.”
  • Cardiovascular Business relates,
    • “The U.S. Food and Drug Administration (FDA) has finalized a new recall related to an issue with certain Johnson & Johnson MedTech introducer sheaths. 
    • “These devices are used to introduce Impella heart pumps to the bodies of patients. Johnson & Johnson MedTech and Oscor, the company’s manufacturing partner, received multiple reports of the sheaths leaking in ways that could result in access-site bleeding. 
    • “If leakage does occur, it would come from the device’s sidearm or under the sheath cap. This issue has only been seen with specific lots of 14 and 23 French introducer kits compatible with the Impella RP Flex with SmartAssist, Impella RP Set with SmartAssist, Impella 5.5 Set with SmartAssist, and Impella CP Set.”
  • and
    • “Bracco Imaging has secured U.S. Food and Drug Administration (FDA) clearance for VueJect, a new ultrasound contrast delivery system built specifically for cardiovascular imaging procedures. This represents the latest addition to Bracco’s contrast-enhanced ultrasound (CEUS) portfolio. 
    • “According to Bracco, VueJect was designed to improve workflow efficiency, provide consistency from one operator to the next and enable the continuous administration of ultrasound contrast agents such as Bracco’s Lumason.” 

From the judicial front,

  • The International Foundation of Employee Benefit Plans notes,
    • “The Federal Trade Commission’s settlements with Caremark Rx and Express Scripts could reshape how pharmacy benefit managers present pricing options to plan sponsors. While the PBMs denied allegations that they inflated insulin costs, the settlement orders require new standard offerings designed to increase transparency, limit member out-of-pocket costs and give plan sponsors clearer alternatives to rebate-driven pricing.
    • “A previous blog covered the FTC orders requiring Caremark Rx and Express Scripts to stop favoring high-list-price versions of drugs over identical low-list-price versions on their standard formularies. This post looks at the settlement terms most relevant to plan sponsors and members.”

From the public health and medical / Rx research front

  • The Washington Post reports,
    • “About 30,000 pounds of Argentine beef has been recalled by the U.S. Agriculture Department because it wasn’t inspected before entering the country. 
    • “The different cuts of raw beef from the company Corte Argentino USA were shipped to retailers and grocery distributors in Florida and Texas. The meat was produced from May 15 to May 20 and had freeze-by dates of Sept. 15-20. 
    • “The recalled meat included cuts of top sirloin and eye round.
    • “The Agriculture Department’s Food and Safety Inspection Service checks imported products for packaging, documentation, condition and contamination. The agency said no confirmed cases of illness have been linked to the products. 
    • “Consumers are advised not to eat the meat, and either discard it or return it for a refund.”
  • MedPage Today relates,
    • “The CDC on Tuesday warned doctors about the risk for severe arboviral neuroinvasive diseaseopens in a new tab or window in patients on B cell-depleting or modulating agents, calling out anti-CD20 monoclonal antibodies in particular.
    • “Published case reports indicate an overall mortality of about 40% for patients on anti-CD20 antibodies with arboviral neuroinvasive disease, and neurologic sequelae were common in survivors. The most common virus involved in the reports was West Nile, but severe cases also involved eastern equine encephalitis, Powassano, La Crosse, and others.
    • “In recent years, a novel clinical presentation of chronic, neurodegenerative encephalitis developing over months to years has been described in at least five patients receiving rituximab who were infected with an orthobunyavirus, including Jamestown Canyon virus, Cache Valley virus, or Potosi virus,” the CDC said in a Health Alert Network advisory.”
  • and
    • “Guidelines recommend individualizing HbA1c goals to health status in older adults with type 2 diabetes.
    • “A review of electronic health records found that most older adults with type 2 diabetes outside target HbA1c goals didn’t receive medication adjustments in the right direction.
    • “Only 17% of below-goal patients had their regimen deintensified, while 33% of above-goal patients had their treatment intensified.”
  • Beckers Hospital Review tells us,
    • “Researchers at Baltimore-based University of Maryland School of Medicine found approximately 5% of adults hospitalized with firearm injuries develop a bacterial infection, with most infections occurring during hospitalization.
    • “The study, published Aug. 3 in JAMA Network Open, used the Premier Healthcare Database to analyze 24,024 adults hospitalized with firearm injuries at 323 hospitals between January 2019 and May 2021. Bacterial infection was defined by positive culture results from any source and antibiotics initiated within 2 days of those results that were continued for at least four days or until discharge.”
  • Healio adds,
    • “Percentages of adolescents who engaged in suicidal thoughts and behavior fell from 2021 to 2025, according to the 2025 National Survey on Drug Use and Health.
    • “These are encouraging trends,” Brandon Johnson, MHS, MCHES, chief, suicide prevention branch, Substance Abuse and Mental Health.”
  • Cardiovascular Business informs us,
    • “Abdominal fat is a more accurate predictor of heart disease than body mass index (BMI) alone, according to new findings published in JACC.[1]
    • “BMI remains the most common way that clinicians determine if an individual is overweight or obese. The team behind this new analysis hoped to learn if taking waist circumference (WC) and waist-to-hip ratio (WHR) into account could lead to better assessments of a person’s risk of developing cardiovascular disease (CVD). 
    • “The study included data from more than 260,000 adults over the age of 20 years old. The median follow-up period was 20 years. 
    • “Among patients with a normal weight as determined bv BMI, 5% had a high WC and 18% had a higher WHR. Among overweight patients, 39% had a high WC and 40% had a high WHR. Finally, among obese patients, 9% had a low WC and 45% had a low WHR.”
  • The New York Times points out “The Best Healthy Eating Advice of 2026 (So Far).”
    • “Frozen yogurt is not exactly a health food.”
    • “Your diet influences your cancer risk.”
    • “Be wary of ‘low-carb’ diets.”
    • “The science of intermittent fasting isn’t as sound as you may think.”
    • “Oats are powerhouses of nutrition.”
    • “There is such a thing as too much protein.”
    • “You should probably try to get more fiber.”
    • “The dangers of alcohol start at one drink per day.”
    • “Don’t pass on peas.”
    • “Sipping warm water before breakfast has benefits, but is not a cure-all.”
  • The latest NIH Research Matters post covers the following topics,
    • Childhood screen detects mental health risks
      • Screening for home and family stresses may help identify children at risk for depression and sleep disorders that traditional adversity screening misses.
      • This type of screening could be used to identify and intervene with children at risk of mental health conditions.
    • Immune cells cross blood-brain barrier during human aging
      • “Researchers found that some of the brain’s immune cells are replaced by immune cells from bone marrow as people age.
      • “The findings suggest that scientists might one day be able to use immune cells born outside the brain to deliver therapies for brain disorders.”
    • Improving Parkinson’s disease treatment
      • “Researchers identified a drug candidate that enhanced effectiveness and reduced side effects of the standard Parkinson’s disease treatment in animal models.
      • “If the drug candidate proves effective in people, it could be an effective way to improve treatment for Parkinson’s disease.”
  • Health Day points out,
    • “Heart health appears to affect brain health among people with a genetic risk for Alzheimer’s disease, a new study says. 
    • “People whose hearts are pumping blood less effectively tend to have brains that are shrinking faster, researchers recently reported in Alzheimer’s & Dementia: The Journal of the Alzheimer’s Association.
    • “This is true among people who carry APOE-ε4, a genetic variant that is known to increase risk of Alzheimer’s, researchers said.
    • “Our findings suggest that even subtle reductions in cardiac function may have important implications for brain health, particularly among individuals at increased genetic risk for Alzheimer’s disease,” lead researcher Dr. Elizabeth Moore said in a news release. She’s a clinical fellow in neurology at Mass General Brigham in Boston.”
  • and
    • “If you have atrial fibrillation, or A-fib, getting moving may make a real difference.
    • “A-fib is an irregular heartbeat that raises the risk of stroke — and it affects an estimated 10.5 million adults in the U.S. Yet research shows that people with A-fib tend to be less active than the general population.
    • “A new study of more than 87,000 adults found that even a little physical activity was tied to better odds of avoiding stroke and death — and the benefits held up whether or not participants had A-fib.”
  • The New York Times lets us know,
    • “A.I. Is Finding Sperm Where Doctors Couldn’t
    • “New technology may make it easier for men with extremely low sperm counts to have biological children.”

From the U.S. healthcare business front

  • Beckers Hospital Review reports,
    • “Kaiser Permanente has committed up to $32 million to support the expansion of the Hope Emergency Center at Martin Luther King Jr. Community Hospital in Los Angeles.
    • “The commitment includes a $25 million charitable grant, the largest gift in the hospital’s history, along with the purchase and loan of a $7 million modular building to keep emergency care running during construction, according to an Aug. 11 news release. The funding will also support long-term improvements to emergency services in South Los Angeles.”
  • and
    • “Nonprofit systems expand into Pennsylvania as for-profits exit.” * * *
    • “The expansion of large nonprofit systems into Pennsylvania might suggest the state has become more attractive, but worsening conditions are leaving smaller hospitals with fewer options.
    • “I’d actually say it’s less attractive to expand [into Pennsylvania] than in the past,” Ben Gerber, CEO of Peak Health and senior vice president and chief strategy officer of WVU Medicine, told Becker’s. “But the hospitals there are running out of options, and they can’t survive on their own. They need partners with broader scale and capability.
    • “It’s not that it’s become more attractive for us; it’s that it’s become impossible for smaller health systems to continue standing, and someone’s got to step in.” 
  • Beckers Behavioral Health relates,
    • “Smithfield, N.C.-based Johnston Health has the lowest median emergency department visit time for psychiatric and mental health patients.
    • “Becker’s has compiled lists of hospitals and health systems with the shortest and longest emergency department visit times for psychiatric and mental health patients using CMS’ Timely and Effective Care-Hospital data. 
    • “The CDC tracks the median length of stay for ED patients as part of its “timely and effective care” measure set. The data was released May 13 and covers ED visits recorded from July 2024 through June 2025. Measures in this dataset apply to all adults and children treated in hospitals paid under either the inpatient or outpatient prospective payment systems. Learn more about the measures here.
    • “Most hospitals on the list of the shortest visit times are small community or critical access hospitals that may see lower annual ED volumes and patient acuities than facilities operating level 1 or 2 trauma centers. CMS does not include hospitals’ total ED volumes or case mix index in its dataset. To effectively assess ED performance, experts recommend benchmarking against a cohort of similar facilities.
    • [The article identifies] 20 hospitals and health systems with the shortest and longest median ED visit times before leaving the visit, along with the sample size.
  • Fierce Healthcare lets us know,
    • “Health insurers are under significant financial pressure, and the gap between the organizations that are adapting and those that are not is growing, according to a new report.
    • “HealthScape Advisors, an organization under Chartis, released its annual look at health plans’ financial performance and found that the number of plans posting an operating loss has increased over the past several years. In 2023, 54% of health plans reported an operating loss, and that grew to 70% in 2024.
    • “The number of insurers with an operating loss then rose a second time to 73% in 2025, according to the report.
    • “Operating losses are concentrated among regional plans and Blues plans, with 72% of regional insurers and 83% of Blues reporting one in 2025.”
  • MedTech Dive tells us,
    • “Teledyne Technologies said Monday it has agreed to buy Varex Imaging for about $1.1 billion. 
    • “Varex designs, manufactures and sells X-ray imaging components and other products for use in medical and industrial applications. 
    • “Teledyne provides digital imaging technologies for industrial, government and medical use but has minimal overlap between its portfolio and Varex’s products.”
  • Drug Channels blog informs us,
    • “The United States has almost 8,000 fewer retail pharmacies than it did in 2018, and more than 2,000 closed in 2025 alone. Rite Aid has liquidated. Walgreens is working through a multi-year plan to shutter hundreds of stores. CVS has trimmed hundreds more.
    • “Yet total U.S. prescription dispensing revenues for all dispensing formats reached a record $751 billion in 2025, up 10% from 2024.
    • “Record closures and record revenue in the same year may seem contradictory, but national totals obscure very different effects on the community. The impact of the retail pharmacy shakeout on patient access has become geographically K-shaped: dense markets can absorb pharmacy closures with little loss of patient access, while rural communities can lose their only nearby pharmacy.
    • “The economic pressures on pharmacies are similar across the country. The access consequences of a closure are not. [In the article,] we examine what is driving the shakeout and why geography determines which communities can absorb them.

Monday report

David Ermer–Uncategorized–

Simplicity is a virture.

From Washington, DC,

  • The American Hospital Association News reports
    • “The Senate’s budget resolution to set up a third reconciliation bill was released Aug. 7 by Sen. Ron Johnson, R-Wis., chairman of the Senate Budget Committee. It instructs 11 Senate committees to provide up to $150 billion in funding by Sept. 11. No healthcare committees received instructions. The House passed its budget resolution July 21. That version instructs the House committees on Administration, Agriculture, Armed Services and Intelligence to draft legislation that provides up to $95 billion in funding by Sept. 11.
    • “Legislators continue to focus their efforts on a reconciliation bill that would narrowly provide additional funding for defense, farm aid and election-related provisions. The House and Senate must pass an identical budget resolution before moving forward with a reconciliation bill. Additional legislative activity is expected in September when Congress returns to session.” 
  • The Wall Street Journal relates,
    • “President Trump signed a new executive order Monday calling for most children to receive fewer vaccines and made some of his most extensive comments yet linking childhood shots and autism—a connection that scientists have said is unfounded.
    • “The document Trump signed Monday is similar to a previous executive order to decrease the number of vaccines children receive. It also urges parents to spread out vaccines in more visits to pediatricians’ offices and encourages states to mandate fewer vaccines for school attendance. It calls for the measles, mumps and rubella vaccination to be given in separate shots rather than the combination shot commonly given in the U.S.
    • “The new executive order goes further than the prior effort by grouping vaccines into three buckets: those recommended for all children, those recommended only for high-risk children and those that are subject to “shared-decision making,” in which parents and doctors discuss risks and benefits for each child. Included in the final category are vaccines for Covid-19, the flu, hepatitis B and more.
    • “The order doesn’t explicitly link vaccines to autism, but the president did so in his remarks Monday at an Oval Office event.” * * *
    • “The order calls on Kennedy and a newly revived vaccine task force to, in the next 90 days, come up with new recommendations for the timing and sequencing of childhood vaccines and find alternatives to a common vaccine ingredient, aluminum. A study of more than one million children in Denmark last year found no link between aluminum in vaccines and childhood chronic diseases, but Kennedy denounced the study. Scientists have said children are exposed to more aluminum from daily life than they receive in vaccines.”
  • and
    • “The Trump administration took a partial step Monday toward Health Secretary Robert F. Kennedy Jr. promised food-system overhaul.
    • “Here’s what to know:
      • “Kennedy’s health department is asking food companies for more information about the substances they are putting into the U.S. food supply.” * * *
      • “The new proposed rule falls short of what some food-safety advocates have hoped for. Acting Food and Drug Administration Commissioner Kyle Diamantas said the notifications for new substances are mandatory, but it was unclear how the government will enforce the requirement. Food suppliers can still put new ingredients on the market before they notify regulators, Diamantas said.” * * *
      • “Health officials said stronger regulation—such as blocking companies from going to market before the FDA signs off on the safety of their ingredients—would require congressional action.” * * *
      • “Kennedy blames ultraprocessed food for many of America’s health woes, and in February promised to release a definition of ultraprocessed food by April. Such a move would allow the FDA to craft labeling rules based on the definition, he said. 
      • “The health department was widely expected to release the definition on Monday, but health officials said the draft was still being reviewed by other agencies.” 
  • Govexec tells us,
    • “The largely self-funded Postal Service is asking for “modest” annual funding from Congress, at least in the short term, to help the agency pay its bills. 
    • “USPS told lawmakers that it would run out of cash in early 2027, if it kept meeting all of its financial obligations. But the agency now expects to avoid a cash crisis for another few years by suspending its contributions to one of its employee retirement plans. 
    • “Agency leaders warn these extraordinary measures are just buying USPS more time to deal with what they consider a broken business model. 
    • “Postmaster General David Steiner said last Friday that USPS will seek a “relatively modest appropriation” from Congress, adding that those funds would “create a large return for the American economy.” 

From the U.S. Office of Personnel Management front,

  • An OPM news release offers a transcript of (OPM Director Scott Kupor[‘s conversation during] Greg Kelly Reports on Newsmax to discuss the Trump Administration’s efforts to restore merit-based hiring and strengthen accountability across the federal workforce.

From the Food and Drug Administration front,

  • The New York Times reports,
    • “Taylor Farms, which has been linked to a large outbreak of cyclosporiasis associated with iceberg lettuce in the United States, said on Sunday that it was voluntarily recalling several of its products made with fresh jalapeños that have been tied to a multistate salmonella outbreak.
    • “The recalled products include spicy guacamole, mango pico de gallo, taco dip and more than a dozen other Taylor Farms branded and unbranded products, the company said in a statement on its website. They were distributed across 26 states to major retailers — including Whole Foods, Trader Joe’s, Hannaford and Kroger’s — and have a “Best If Used By” date up to and including Aug. 16, 2026.”
  • STAT News relates,
    • “The Food and Drug Administration has rejected a radiopharmaceutical therapy because of manufacturing issues, halting what would have been a competitor for Novartis. 
    • “The drug, ITM-11, had been developed by ITM Isotope Technologies Munich SE, a long-standing player in the field. Radiopharmaceuticals are an emerging type of treatment designed to shoot radioactive isotopes directly at tumor cells.” * * *
    • “ITM has more than a dozen drugs lined up behind ITM-11, for glioblastomas, renal cell carcinoma, as well as prostate and ovarian cancers.
    • “The company plans to resubmit the ITM-11 application. “Our confidence in ITM-11’s therapeutic potential has not wavered, and we are committed to working closely with the FDA and our partners to address the items outlined in the CRL,” CEO Andrew Cavey said in a statement.” 
  • and
    • “Sanofi is experiencing shortages of two medicines used to treat Pompe disease, and the problem emerged shortly after the Food and Drug Administration warned the company over manufacturing issues at the Irish facility where the drugs are made.
    • “In recent days, the drugmaker has alerted patient groups and physicians in both the U.S. and Europe that supplies of Myozyme, an older standard of care, and Nexviazyme, a newer treatment, are dwindling due to what has been described as a bottleneck in the final manufacturing phase, as well as quality control issues at its Waterford plant.” * * *
    • “For now, it is not clear when normal supplies will return because Sanofi has indicated it could take months before production has sufficiently resumed and stabilized. But the shortage will continue to reverberate after that occurs, because it will likely take time for normal inventories to be rebuilt, according to a statement on the IPA website.”

From the judicial front,

  • Beckers Hospital Review reports,
    • “A federal judge has dismissed an antitrust lawsuit brought by compounding pharmacy Strive Specialties against Eli Lilly and Novo Nordisk.
    • “The ruling, filed Aug. 3 in the U.S. District Court for the Western District of Texas, found the company failed to plausibly allege a legally cognizable product market or a cognizable antitrust injury.
    • “Strive filed the lawsuit in January, accusing the drugmakers of using exclusive-dealing agreements with telehealth providers and public statements questioning compounded drugs’ safety to unlawfully restrict competition and limit patient access to compounded GLP-1 medications.
    • “The court found Strive’s compounded products cannot be considered reasonably interchangeable with Lilly and Novo Nordisk’s branded GLP-1 medications, because compounded versions are legally available only when a prescriber determines a branded drug is medically unsuitable for a specific patient. That determination is driven by necessity rather than ordinary consumer preference, the court ruled, undercutting Strive’s proposed cash-pay submarket and its broader GLP-1 market theory alike. Without a viable relevant market, the court found Strive’s Sherman Act and Clayton Act claims, including its challenge to Lilly and Novo Nordisk’s exclusivity arrangements with telehealth platforms, also failed.”
  • Health Exec relates,
    • “A newspaper reporter just got an exclusive peek inside a law-enforcement operation that most Americans—including the well-informed among us—know next to nothing about. He took notes and is sharing what he can. 
    • “The operation is the National Training Operations Center—NTOC, called “Noc” for short—of HHS’s Office of Inspector General (HHS-OIG). It’s largely hidden in plain sight for obvious reasons, but it’s a prime mover in the Trump administration’s ongoing crackdown on healthcare fraud. 
    • “The reporter is Chadwick Moore of the New York Post.” * * *
    • “Here are six telling observations the newshawk offers in his article, posted by the Post on Aug. 6. 
      • “More than a few agents are healthcare professionals who feel passionate about stopping healthcare fraud.” * * *
      • “The stealthy suburban facility features highly realistic mockups of medical offices—physical as well as virtual.” * * *
      • “Often the HHS-OIG anti-fraud team is not catching someone red-handed—they’re proving a negative.” * * *
      •  “A Faraday box is essential equipment for the team.” * * *
      • “HHS-OIG is exempt from HIPAA. * * *
      • “In cities where fraud is rampant, real patients are often part of the problem.” * * * 

From the public health and medical / Rx research front,

  • The American Hospital Association News reports,
    • “Department of Health and Human Services Secretary Robert F. Kennedy Jr. Aug. 7 declared a public health emergency for Washington state to address the impacts of ongoing wildfires. This follows an emergency declaration approved by President Trump Aug. 4. Because of both a presidential declaration and a PHE, the loosening of certain regulatory requirements for Medicare, Medicaid and the Children’s Health Insurance Program is permitted under the Section 1135 waiver process. 
    • “The Administration for Strategic Preparedness and Response said it has sent regional staff to support Washington state officials and partners with the public health and medical response. The Washington State Hospital Association has also provided a series of resources to assist with response efforts.”
  • The American Medical Association News lets us know “what doctors want patients to know about tickborne illnesses.”
    • “Tickborne illnesses can start with a single bite. Know the signs, prevention steps and when to call a doctor to protect your health.”
  • ALS News Today relates,
    • “Traumatic brain injuries are often linked to a higher short-term mortality risk in patients with ALS [Lou Gehrig’s Disease].”
    • “The connection could suggest reverse causation, where early, undiagnosed ALS leads to falls and resulting head injuries.
    • “Further research is required to evaluate diagnostic timing and clarify the relationship between traumatic brain injury and ALS.”
  • Health Day tells us,
    • “Yoga may help relieve symptoms of irritable bowel syndrome 
    • “People with irritable bowel syndrome who practice yoga experience fewer digestive symptoms, as well as reduced anxiety and depression
    • “Researchers think yoga’s combination of movement, breathing and mindfulness activates the body’s ‘rest and digest’ response.”
  • MedPage Today points out,
    • “In 2024, the national incidence rate of type I diabetes was 24.0 per 100,000 persons under age 20, but state-level rates ranged from 17.0 to 27.8.
    • :The ratio of board-certified pediatric endocrinologists to patients with type 1 diabetes also varied widely.
    • :Three states had fewer than five pediatric endocrinologists per 1,000 patients under age 18; in contrast, Washington, D.C. had 46.4.”
  • Genetic Engineering and Biotechnology News informs us,
    • “Targeted protein degradation is a therapeutic strategy that leverages the ubiquitin–proteasome system to eliminate disease-associated proteins—including those that have traditionally been considered undruggable.
    • “Protein degraders remove unwanted proteins from inside a cell by disposing of them using the cell’s built-in recycling system. Specifically, a molecular glue degrader binds an E3 ligase and redirects it to tag a disease-related protein for disposal.
    • “Now, investigators at Dana-Farber Cancer Institute have developed a platform for systematically discovering molecular glues that could become protein degradation drug candidates. The platform could help drug developers expand the range of disease-related proteins that can be therapeutically targeted for elimination via protein degradation. The platform also enabled their discovery of the first molecular glue degrader that is metabolically activated, suggesting that molecular glues could be more context dependent and potentially tunable than previously thought.
    • “The study was published in Nature in the paper, “DCAF11-dependent molecular glue degrader activated by glutathionylation.”
    • “This novel platform is an exciting scalable approach to the discovery of molecular glues that could help drive the significant expansion of molecular glue applications for the treatment of cancer and other diseases,” says Eric Fischer, PhD, professor of Biological Chemistry and Molecular Pharmacology at Harvard Medical School.”
  • STAT News notes,
    • “Tenax Therapeutics on Monday reported negative results from a late-stage clinical trial evaluating an experimental treatment for a type of heart failure associated with high blood pressure in the lungs.” * * *
    • “Despite the failed study, Tenax does not appear ready to give up on oral levosimendan. The company believes the drug may have a benefit for PH-HFpEF patients with more severe disease, based on pre-specified and post-hoc analyses of the LEVEL study. 
    • “Having reviewed the available trial results, I am encouraged we have a clear path forward,” said Tenax Chief Medical Officer Stuart Rich, in a statement.
    • “The company said it will meet with the Food and Drug Administration to discuss the LEVEL study results and potentially make changes to a second Phase 3 study already underway.”
  •  and
    • “Sionna Therapeutics said Monday that its experimental pill for cystic fibrosis did not show any benefit when added onto Vertex Pharmaceuticals’ Trikafta in a Phase 2 trial. 
    • “The company will no longer try to advance the drug, called SION-719, as an add-on therapy for CF patients. And it hinted at potential layoffs, saying it will “take actions to preserve capital while evaluating next steps.”

From the U.S. healthcare business and artificial intelligence front,

  • Fierce Pharma reports,
    • “Everything is bigger in Texas. And so it is with Bristol Myers Squibb’s $2.3 billion investment in a manufacturing campus in Houston, which comes in at more than twice the price the company estimated in a government application earlier this year.
    • “In May, the New Jersey pharma filed documents with the state of Texas to build a $1 billion, 600,000-square-foot complex, with an option to expand, in the Generation Park Management District in northeast Houston. It was one of several U.S. sites BMS was considering, the company said at the time.
    • “On Monday, BMS made it official in a statement saying it intends to employ nearly 500 at the facility, which will be built to “grow in scale, capability and workforce for decades to come.” It will support drug product and finished manufacturing from late development through launch, the company added, with plans to finish construction in 2030.” 
  • BioPharma Dive adds,
    • “Jazz Pharmaceuticals has agreed to buy a San Diego-based biotechnology company developing treatments for genetic epilepsies, through a deal that could be worth just over $1.3 billion.
    • “Terms hold that privately held Actio Biosciences will receive $820 million up front and be eligible for $500 million in additional payments if its research programs hit certain regulatory and sales milestones. The company’s most advanced drug is being tested against a rare form of epilepsy caused by mutations in a gene known as KCNT1.
    • “The companies expect to close their deal sometime in the final three months of the year. Concurrent with the closing, Actio will spin out a new private entity funded by existing investors and headlined by one of its other programs, an ion channel inhibitor in early-stage testing for a form of “Charcot-Marie-Tooth,” an uncommon neurological disease. Jazz said it will hold a minority stake in the spinout — an investment that, by focusing on rare diseases, “represents a strong strategic fit” for its long-term strategy.”
  • and
    • “The race to build pharma’s most powerful supercomputer gained a new entrant last month, when Bristol Myers Squibb said a newly expanded partnership with Nvidia would give it “the most powerful and energy-efficient single-owned Nvidia infrastructure in life sciences.”
    • “Bristol Myers is the latest large pharmaceutical company to stake an AI-computing superlative claim along those lines. Eli Lilly said in October it would work with Nvidia to build “the most powerful supercomputer owned and operated by a pharmaceutical company.” In March, Roche said an expanded Nvidia collaboration gave it “the pharmaceutical industry’s largest announced hybrid-cloud AI factory,” with more than 3,500 GPUs, or graphics processing units.”
  • Beckers Payer Issues identifies the ten insurers exiting the Affordable Care Act market next year (updated as of today).
  • Beckers Hospital Review points out the 17 health systems with credit rating upgrades and tells us,
    • “A July 21 Center for Healthcare Quality and Payment Reform analysis found 700 rural hospitals are at risk of closing across the U.S. In almost every state, at least some rural hospitals are at risk of closing, with the exception of four. 
    • “The report did not classify a single rural hospital in Delaware, Maryland, New Jersey or Utah as “at risk of closing” or “at immediate risk.”
    • “Becker’s connected with hospital association and state agency leaders in each of those states to discuss what they credit for this stability. Their responses point to geography, a mix of specific state payment policy and long-standing regional partnerships.” 
  • MedTech Dive informs us,
    • “IRhythm said Thursday it has struck a deal to buy VitalConnect for $287.5 million to add mobile cardiac telemetry capabilities. 
    • “VitalConnect sells a wearable device, VitalPatch, that monitors for 21 cardiac arrhythmias and several vital signs. The device lasts seven days, after which users can apply a new patch.
    • “IRhythm sells its own cardiac monitor and is working to secure clearance of a second device, but it has identified VitalPatch as a product that can unlock another part of the market.”  
  • Beckers Clinical Leadership notes,
    • “This year, CMS has implemented eight changes to the HCAHPS survey and scoring.
    • “The changes are part of CMS’ HCAHPS 2.0 launch, which began in 2025. Last year, CMS began allowing patients to fill out the HCAHPS survey online; sunset two survey administration options; added three submeasures for care coordination, restfulness and information about symptoms; extended the data-collection period from 42 to 49 days; ended regulation that prohibits patients’ loved ones from filling out the survey on their behalf; limited the number of supplemental items; and required hospitals to collect information about the language patients speak.
    • “The first results of the HCAHPS 2.0 rollout are due to be published any day, Rick Evans, strategic advisor at New York City-based NewYork-Presbyterian, said in an Aug. 6 column.”
  • Per Fierce Healthcare,
    • “Women’s health companies drew a record $1.55 billion in disclosed equity investment in 2025, up 41% from $1.1 billion in 2024, according to a recent report from W Group.
    • “The report, the organization’s first global women’s health investment report, was built on proprietary tracking of more than 500 funding stories and around 164 equity rounds, and it reveals a sector at its largest-ever scale, with capital reaching more companies, categories and countries than at any point on record, according to W Group, a data-first intelligence platform.
    • “Eighty-five companies raised equity in 2025, the highest single-year count ever recorded, and 10 rounds reached $50 million or more, double the number in 2024.” * * *
    • But the report’s central finding is not the headline number. It is that the money has stopped concentrating at the top. In 2024, the three largest rounds accounted for 41% of all disclosed capital; in 2025 that share fell to 32%, as funding to companies outside the top three grew 56% year over year. 
  • and
    • “Doximity is boosting artificial intelligence spending, viewing it as a significant catalyst for growth, and CEO Jeff Tangney is bullish that hospital adoption of enterprise AI platforms will ramp up.
    • :Doximity is a digital platform for U.S. medical professionals that offers workflow tools such as a telehealth solution, a clinician-to-patient dialer tool and digital faxing capabilities. Its paying customers include pharmaceutical manufacturers, health systems and medical recruiting firms.
    • “The company aims to become a leading AI platform for doctors with plans to scale its clinical AI suite, including its ambient notetaking tool Scribe and clinical AI assistant and medical search engine Ask. A year ago, Doximity acquired clinical AI company Pathway and then integrated Pathway’s datasets and its AI into its free Doximity GPT product to offer DoxGPT (now Ask).
    • “Healthcare AI will increasingly be purchased by hospitals rather than individual physicians, with companies winning on accuracy and trust of the AI, Doximity executives assert.”

Notable Deaths

  • The New York Times reports
    • “Maura Gillison once told an interviewer that she had wanted to be a doctor and a scientist since childhood. She trained in ballet, but as she grew, reaching a height of 6-foot-2, dance became an unlikely career path because she felt that it would draw too much attention to her height.
    • “Instead, she forged a trailblazing career as a medical oncologist and molecular epidemiologist, studying head and neck cancers. In the early 2000s, she was credited as the first researcher to show definitively that the human papillomavirus, or HPV — the most common sexually transmitted infection — caused the so-called oropharyngeal cancers of the throat, tonsils and base of the tongue.
    • “No head and neck medical oncologist has had a bigger impact on patients than Maura Gillison,” Dr. John V. Heymach, the chair of thoracic/head and neck oncology at MD Anderson Cancer Center in Houston, where Dr. Gillison conducted research beginning in 2017, said in an interview.
    • “Dr. Gillison died on June 21 at her childhood family home in Willoughby, Ohio, northeast of Cleveland. She was 61. The cause was a rare cancer of the small intestine, her husband Dr. David E. Symer, an oncologist, said.”
  • Beckers ASC relates,
    • “American College of Cardiology Past President Robert Frye, MD, has died at age 94 after a career spanning more than 70 years in medicine, the ACC announced Aug. 7. 
    • “Dr. Frye served as ACC president from 1991 to 1992 and spent more than 60 years practicing and teaching cardiology at Mayo Clinic in Rochester, Minn.
    • “Dr. Frye earned his medical degree from Vanderbilt University School of Medicine in 1956 and trained in residency at Johns Hopkins Hospital in Baltimore. He went on to become the first physician research fellow and clinical associate at the National Institutes of Health, recruited by Eugene Braunwald, MD, MACC.” * * *
    • Valentin Fuster, MD, PhD, MACC, who worked alongside Dr. Frye as the first Braunwald fellow at the NIH, said Dr. Frye “helped lay the foundation for a generation of clinical discovery that transformed” cardiovascular medicine.
  • RIP. The FEHBlog also encourages his readers to listen to Russ Roberts’ Econtalk discussion with former U.S. Senator Ben Sasse.
    • From the transcript
      • Ben Sasse: “So, to be pushing seven months when you had 90 days to live is pretty great. And, that’s because of the really wonderful experience of being on daraxonrasib, this new miracle drug at UCSF [UCSF] and a few other places, that’s a RAS [renin-angiotensin system] inhibitor. If you’re 80-something, pancreatic cancer might be environmental. If you’re 50 something, like I am, it’s almost always a genetic mutation. 89% of people have a RAS mutation. So, this new drug–there hadn’t been good news in pancreatic cancer in 40 years–this new drug essentially tries to inhibit the RAS mutation’s ability to toggle the on-off switches the wrong way.
      • “The great news is my tumors are down over 80% right now. The bad news is, it’s probably not going to be a cure for me because I presented so far along and so metastasized, but this drug is going to be super-interesting over the next two to ten years.
      • “My two rough byproducts right now of a really aggressive dose of chemo are a real hard time growing skin and hair, so my root follicles on my head are all kind of tingly and falling out and bleeding all the time. So, my scalp is real a bloody mess, but I have an amazing dermatological oncology team at MD Anderson>

Weekend update

David Ermer–Congress, Federal employment benefits, Medical / Rx research, OPM, U.S. Healthcare–

Simplicity is a virtue.

From Washington, DC,

  • Roll Call reports,
    • “The Senate easily passed a bipartisan continuing resolution early Saturday morning, likely easing the traditional September rush to head off a partial government shutdown in October.
    • “On a lopsided vote of 90-6, the Senate passed a measure that would extend current funding through Dec. 11, giving lawmakers about 10 extra weeks to complete full-year appropriations bills for fiscal 2027.
    • “But the bill still requires a vote in the House, which won’t be back in session until the first week of September. The House had passed a more bare-bones funding extension last month without many of the “anomalies,” or deviations in current spending, requested by the Trump administration.”
  • Bloomberg Law adds,
    • The US Senate confirmed Todd Blanche as attorney general, elevating President Donald Trump’s one-time personal defense lawyer to lead the nation’s top federal law enforcement agency.
    • Republicans closed ranks and supported Blanche, 52, in a 50-49 vote even after two GOP senators joined Democrats in opposition. Republican Senator Bill Cassidy of Louisiana, one of the holdouts, came out in support of Blanche after Senators Susan Collins of Maine and Lisa Murkowski of Alaska voted against him. 
  • The House of Representative and the Senate are now on District / State work breaks until August 31 for the House and September 14 for the Senate.

From the U.S. Office of Personnel Management front,

  • Kevin Moss, in an interview with Federal News Network, explains why “Retirement [from the federal goverment or the Postal Service] doesn’t make your health benefits simpler. It makes them more complicated.

From the public health and medical / Rx research front,

  • The American Medical Association points out,
    • “The measles vaccine is given as part of the measles, mumps and rubella vaccine, so we call it MMR. It’s also given as part of MMRV, which adds in varicella for chickenpox,” Dr. Land said, noting “It’s typically given to child at age 1.”
    • “We give it at 12 months, but it can be given at 12 or 15 months—it can be given as either MMR or MMRV—and then again at 4 to 5 years old,” she said, emphasizing “the measles vaccine is probably the most successful vaccine that we have.”
    • “If you’ve had both of your vaccinations, you are 97% immune for life,” Dr. Land said. “If you have just one dose, you’re 93% and that is incredible protection.”
    • “For adults who do not have immunity or have not received vaccination, “one dose is typically enough,” Dr. Kaufman West said. “But depending on your medical history and what’s going on with you, it’s a good idea to talk to your physician and see if there would be any changes to that.”
  • CBS News reports,
    • “Federal officials on Saturday issued a public health alert for meat products containing jalapeños that may be linked to a salmonella outbreak that has sickened hundreds of people across at least 27 states. 
    • “The U.S. Department of Agriculture’s Food Safety and Inspection Service, or FSIS, said the alert applied to red meat and poultry products containing jalapeños that may be contaminated with salmonella. 
    • “The USDA said that it learned of the issue when it discovered that multiple establishments that are regulated by FSIS had received a recalled ingredient. 
    • “It released a list of 18 recalled products that are impacted by the alert. Those included the brands Taylor Farms, Ready Meals, Meal Simple, Higher Harvest and Deli Kitchen. 
    • “The agency said in a statement that it “expects additional downstream products will be identified as this ingredient recall progresses.”
  • The Washington Post relates,
    • “Cyclospora and other parasites can survive sewage treatment in small quantities, and crops are sometimes irrigated with treated water.
    • “That’s why scientific researchers and public health officials are pointing to sewage contamination in the food supply as one of the most plausible theories for the current U.S. cyclospora outbreak. The government says it is still investigating the cause.
    • “The parasite’s spread can become a self-perpetuating cycle. Cyclospora is found only in humans, where it replicates in the intestinal tract, causing severe diarrhea. The organism reproduces by releasing oocysts, which are excreted in those human feces. In the United States, feces usually end up in sewage systems.
    • “In many states, sewage water is treated — though not always in ways that remove or kill the oocysts — and then released into waterways that can be used to irrigate crops. The oocysts mature in the environment with warm temperatures in about a week. Then a human comes along and eats the irrigated food or drinks the water and gets sick, releasing more oocysts into sewage systems.”
  • The FEHBlog asked Claude AI about the last paragraph. Here is his response:
    • “[T]he Post’s “many states” is best read as a general characterization — sewage discharge into surface waters is a nationwide Clean Water Act practice — but the specific research documenting the produce-safety risk concentrates on four states: Arizona, Texas, Georgia, and Florida/California.”
  • Healio tells us,
    • “A pivotal trial is now underway for i-Lumen AMD, a bioelectric therapy being investigated for intermediate to advanced dry age-related macular degeneration, according to a press release from i-Lumen Scientific.
    • “The noninvasive, office-based therapy applies low-level microcurrent stimulation via the closed eyelid, which may improve photoreceptor cell function by repolarizing retinal pigment epithelium cells, according to the company.”

From the U.S. healthcare business front,

  • The Washington Post reports,
    • “More than a million times a year, a U.S. surgeon slices open a knee, strips out worn cartilage, caps the leg bones with metal and drops in a plastic spacer to allow the new joint to glide.
    • “But while these knee-replacement procedures have become standard, the prices charged have not.
    • “At Catawba Valley Medical Center in Hickory, North Carolina, for example, the cost of the procedure under a Blue Cross Blue Shield health plan this year was about $16,000, according to data from Serif Health, a San Francisco start-up that collects recently released data from hospitals and insurers. Little more than an hour’s drive east, however, at Mission Hospital in Asheville, the cost of the procedure under the same health plan was around $40,000, or more than double, the data showed.
    • “Formed by the merger of the two largest hospitals in the region, Mission has little competition and more power to demand the higher price.
    • “The comparison between these two hospitals illuminates how large hospital systems created by a wave of U.S. mergers in recent decades can dominate the competition and push up health care costs. 
    • “While many factors affect the price of a medical procedure, hospitals with few competitors can charge more, health economists say.” * * *
    • “Over time, anyone who pays for health insurance pays a price for hospital monopolies, as insurers boost premiums as medical costs rise. The full cost for an employer to pay for an average family health insurance plan rose to more than $27,000 in 2025, up from $21,000 just six years ago, according to figures from KFF.”
  • The American Medical Association adds,
    • “A report recently released by Resolve, a contract review and negotiation firm specializing in physician employment, draws on data from the thousands of physician contracts the firm handles to outline must-know trends nationally, as well as across regions, practice settings and more.
    • “The report shows that physicians’ base salaries grew roughly 2% to 4% per year, a growth rate down from years past, in which physicians were seeing increases of 5% to 6% per year. 
    • :And importantly, more of physician compensation comes in sign-on and retention bonuses than in past years, and it is increasingly tied to variable factors such as relative value units (RVUs), along with quality and other metrics.
    • “Physician compensation did not simply grow or shrink; it became more conditional,” the report’s authors noted.” 

Cybersecurity Saturday

David Ermer–Agentic & Generative AI, Cybersecurity, Uncategorized–

“We are in the Singularity.” Elon Musk

From the Project Glasswing front,

  • The Wall Street Journal reports,
    • OpenAI is pausing some activities involving an upcoming artificial-intelligence model, Astra, after internal evaluations led the company to conclude it “cannot rule out critical cyber capabilities,” the company said in a blog post on Friday [August 7, 2026]. 
    • The announcement of the slowdown, which represents one of the first times an AI developer has publicly held back model development due to security concerns, follows a series of loss-of-control incidents that have raised alarm among cyber defense professionals and AI-safety researchers. 
  • and
    • “Meta Platforms META  said that one of its artificial-intelligence models went rogue during cybersecurity testing, slipped onto the internet and hacked a third-party service, the latest in a drumbeat of disclosures that suggest such incidents are becoming widespread.
    • “The Instagram and Facebook owner said that one of its AI models was able to access the internet because of a “misconfiguration” in a hacking test conducted by a third-party AI testing company. 
    • “The same benchmark test, which aims to explore a model’s hacking capabilities, was behind some of several earlier autonomous AI hacking incidents involving Anthropic and OpenAI, according to a person familiar with the matter. * * *
    • “Irregular, the company that conducted tests for the three companies, said the incidents didn’t involve a sophisticated cyber action and said it had “no current open issues” related to its test environment. The San Francisco-based company said it is working on a white paper on best practices for containing AI models when running tests—dubbed evals—of their cybersecurity capabilities.
    • “The new case [reported August 6, 2026] is the latest proof that AI loss-of-control scenarios, once confined to science fiction and AI-safety experiments, are now a real-world issue.”
  • Cybersecurity Dive relates,
    • “An alliance of more than 100 tech companies and other organizations is proposing a safety reporting system for AI agents that the group says will help prevent rogue models from wreaking havoc on society.
    • “The Shared AI Findings Exchange (SAFE), crafted by a working group of the Open Secure AI Alliance, would establish mechanisms for collecting information about AI-related security incidents, sharing that information with affected organizations, identifying commonalities across incidents and publishing recommendations based on those lessons.”
  • Tech Times adds,
    • “ByteDance is pre-training an artificial intelligence model with up to 10 trillion total parameters — a scale that would make it the largest AI model ever built by a Chinese company and place it within striking distance of Anthropic’s Mythos system, the Financial Times reported Friday, citing people familiar with the matter. The headline figure is real and remarkable. What it does not tell you — what ByteDance has not disclosed and no outlet has yet asked — is how many of those parameters actually activate during any given query. At a scale like this, that distinction changes everything.”
  • FEHBlog observation; Ruh-roh.
  • Cyberscoop notes,
    • “As AI-generated code continues to be injected into all corners of the internet, concerns have risen about an expanding attack surface for malicious hackers to exploit.
    • “Some have argued that the enhanced cybersecurity capabilities of large language models could serve as a check, finding and fixing vulnerabilities nearly as fast as they’re created.
    • “But new research that tested the patching capabilities of two popular commercial models, OpenAI’s ChatGPT 5.5 and Anthropic’s Claude Opus 4.8, found that generative AI is more likely to create an exploitable patch or introduce entirely new bugs than close off a vulnerability.
    • “Researchers at 1Password tested the models ability to patch six “high-impact, high-complexity” CVEs, including the “Copy Fail” vulnerability, a kernel flaw that can give an attacker root access to Linux cloud environments. The overall success rate (or fully patching the vulnerability without introducing new problems), was less than a coin flip at 47%.
    • “Our research findings show that, in aggregate across a variety of scenarios, both Claude and ChatGPT had a low rate of successful patch generation, which we define as full remediation of all known exploit paths with no erroneous changes to application behavior,” wrote John Hoodlet, Axel Mierczuk and Spencer Michaels.

From the cybersecurity policy and law enforcement front,

  • Roll Call reports,
    • “The Senate easily passed a bipartisan continuing resolution early Saturday morning [August 8, 2026] likely easing the traditional September rush to head off a partial government shutdown in October.
    • “On a lopsided vote of 90-6, the Senate passed a measure that would extend current funding through Dec. 11, giving lawmakers about 10 extra weeks to complete full-year appropriations bills for fiscal 2027.
    • “But the bill still requires a vote in the House, which won’t be back in session until the first week of September. The House had passed a more bare-bones funding extension last month without many of the “anomalies,” or deviations in current spending, requested by the Trump administration.”
  • Federal News Network adds,
    • “The Senate’s bill to keep the government funded past the midterm elections would extend critical cybersecurity authorities and allow the Technology Modernization Fund to continue investing in agency tech projects. * * *
    • The Senate CR, unlike the House bill, would extend two cybersecurity authorities for the duration of the stopgap: the Cybersecurity Information Sharing Act of 2015 and the Federal Cybersecurity Enhancement Act of 2015. Both laws are set to expire after Sept. 30.
    • CISA 2015 provides privacy and liability protections to encourage companies to share data about cyber vulnerabilities and threats with government and each other. Cybersecurity leaders say those protections provide a critical underpinning to facilitate collaboration across government and industry. * * *
    • “Meanwhile, the Federal Cybersecurity Enhancement Act authorizes the Department of Homeland Security to deploy intrusion detection tools, like the long-running “EINSTEIN” service, across federal agencies.”
  • Cybersecurity Dive relates,
    • “National Cyber Director Sean Cairncross on Tuesday [August 4, 2026] said the Trump administration is working to strike a balance between responsible, secure development practices, while promoting growth and allowing the private sector to innovate. 
    • Cairncross, the opening keynote at the Black Hat USA 2026 cybersecurity conference, said the White House understands the growing safety concerns about AI, but recognizes the need to work collaboratively with the private sector. 
    • He warned that due to the current pace of innovation, an overly prescriptive regulatory regime could be obsolete within 48 hours of being implemented.  
    • “So what needs to be built is a flexible, adaptable structure that enables information sharing between industry and government,” Cairncross said. “So we can guarantee that this technology benefits everyone that it’s going to benefit but is used responsibly and securely.”
  • and
    • “Policymakers and business executives need to focus on basic cybersecurity resilience instead of getting distracted by flashy claims about AI-fueled hacking nightmares, a group of senior U.S. and allied government officials said on Wednesday.
    • “The immediate challenge is not runaway AI,” Jonathon Ellison, director for national resilience at the UK’s National Cyber Security Centre, said during a panel at the Black Hat 2026 cybersecurity conference here. “The immediate challenge is being resilient enough for the faster-paced environment that we are entering into, given the legacy issues that we are carrying.”
    • “Michael Duffy, the acting U.S. federal chief information security officer, said organizations needed to shift from a prevention-focused mindset to one that prioritizes continuity of services.
    • “Things will go down,” he said, and organizations need to prioritize their most important systems so they can continue delivering on their mission.
    • “The cybersecurity community, he added, needs “a new risk calculus for what it means to operate in a contested environment.”
  • The Wall Street Journal tells us,
    • “An outbreak of digital attacks on U.S. water plants is stoking fears across party lines that budget cuts at the federal government’s primary cybersecurity agency could leave the nation ill-equipped to thwart global hackers.
    • “We need a skilled cyber workforce at CISA,” Rep. Andrew Garbarino, a New York Republican, said about the Cybersecurity and Infrastructure Security Agency. Garbarino, who chairs the House homeland security committee, said Congress and the White House need to work together to ensure the agency has the staff and resources to protect critical infrastructure.” * * *
    • “In April, CISA’s annual budget was cut by $300 million, to $2.6 billion from $2.9 billion, reversing an annual growth rate of roughly 9% since the agency was launched in 2018. The shortfall has both Republican and Democratic lawmakers seeking ways to recharge the agency—for a start, by confirming a permanent director, a role vacant since January 2025. 
    • “Rep. Bennie Thompson (D., Miss.), ranking member on the Homeland Security committee, said he plans to propose legislation aimed at guiding the process of restaffing CISA. Thompson didn’t provide a timeline, saying he will also work with appropriations to restore the agency’s funding. Staff and budget cuts, he said, have “damaged our national security and set critical capabilities back years as the security environment is shifting under our feet.”
    • “An agency spokesperson said CISA is “constantly assessing our operational needs as the threat landscape evolves” and that Homeland Security recently approved new hiring in several mission critical positions.”
  • Cyberscoop informs us,
    • “A Canadian man pleaded guilty to playing a central role in one of the most far-reaching cyberattacks of 2024 — the widespread compromise of more than 165 Snowflake customer environments, resulting in massive data theft for extortion, the Justice Department said Wednesday [August 5, 2026]. 
    • Connor Moucka earned $495,000 by extorting his victims, offering stolen data for sale online, and in one case re-extorted a victim with stolen data of a government official and members of a then-former government official’s immediate family, authorities said.
    • Moucka and his alleged co-conspirators John Binns and Cameron Wagenius stole billions of sensitive records and received more than $2.5 million in extortion payments combined, according to prosecutors. Victims of the attack spree included AT&T, Ticketmaster, Advance Auto Parts and Santander.
  • and
    • “A longtime cybercriminal was sentenced to 16 years in prison for creating and running Ransom Cartel, a ransomware strain linked to attacks on at least 18 companies between 2021 and 2023, the Justice Department said Wednesday [August 5, 2026]. 
    • “Maksim Silnikau, a Belarusian national, actively participated in Russian-speaking cybercrime forums since at least 2005, and was a member of the cybercrime site Direct Connection from 2011 to 2016, officials said. The 40-year-old created Ransom Cartel and began recruiting participants from cybercrime forums in 2021. 
    • “Silnikau and his co-conspirators attempted to extort at least $5.2 million from victims during the multi-year scheme. 
    • “Victims included a group of law firms, medium-sized businesses, a small medical technology startup, educational institutions and large multinational corporations based in California, New York, Nebraska and elsewhere. Some of the victims’ operations were disrupted for several months, officials said.
  • HIPAA Journal points out,
    • “Over the past 18 months, many healthcare providers have settled class action lawsuits over their use of website tracking and analytics tools. The list continues to grow with a further five settlements recently announced [and discussed in the article]; however, class action lawsuits stemming from the use of tracking and analytics tools do not always result in settlements.
    • “A proposed class action lawsuit against CRH Healthcare, doing business as Peachtree Immediate Care in Georgia, that alleged violations of the federal Electronic Communications Privacy Act and asserted claims for negligence/negligence per se, breach of implied contract, breach of express contract, breach of fiduciary duty, and unjust enrichment, has been dismissed with prejudice.
    • “The judge ruled that the complaint was speculative, as the plaintiff failed to explain what damages had been suffered as a result of the defendant’s actions. The plaintiff has been given 14 days to file an amended complaint, or the lawsuit will be permanently dismissed. The decision shows that while tracking and analytics tools may result in disclosures of sensitive data to third parties, the plaintiff(s) must demonstrate that the disclosures resulted in a compensable injury.”

From the cybersecurity breaches and vulnerabilities front,

  • Healthcare Dive continues to track healthcare data breaches here.
  • For example, Bleeping Computer notes,
    • “Healthcare software company Unlimited Technology Systems reported that more than 3.8 million people were impacted by a data breach incident that occurred in October 2025.
    • ‘The organization submitted data breach notification samples to the authorities this year on July 1st without revealing the exact number of impacted individuals.
    • “An entry on the breach notification portal of the U.S. Dept. of Health and Human Services now shows that a company server was breached and data of 3,803,750 people was exposed to an unauthorized party.
    • “Unlimited Technology Systems is a software company specializing in providing financial and revenue cycle technology for specialty healthcare providers. According to its website, the firm serves 4,500 clinics and 6,500 specialty healthcare providers across the United States, and processes more than $70 billion in net healthcare charges annually.”
  • The Wall Street Journal reports,
    • “Federal agencies are investigating cyberattacks that targeted more than 30 water systems in Minnesota and utilities in several other states.
    • “Former national security officials say the attacks are consistent with Iran-linked activity, but President Trump rejected that idea.
    • “Small water utilities are vulnerable to hackers because they rely on internet-connected automation but often lack the funding to secure it.”
  • Cyberscoop adds,
    • “The U.S. Coast Guard said it is monitoring the aftermath of a cyberattack that disrupted gate operations at all three of North Carolina’s port facilities this week, though it offered few details as the investigation into the breach continues.
    • “A Coast Guard spokesperson told CyberScoop that the branch’s IT unit was coordinating with partner agencies while conducting the investigation. A spokesperson for CISA did not respond to CyberScoop’s inquiry by press time [on August 7, 2026]. 
  • Security Week points out,
    • “Thousands of data centers are at risk of compromise due to a 22-year-old vulnerability in Baseboard Management Controller (BMC) management processors, data center security firm Lava reports.
    • “Found in most server platforms, BMCs enable server management operations even without a working operating system and typically represent some of the most privileged control points in a data center.
    • “Through a BMC, administrators can power-cycle the host, perform firmware updates, make low-level platform configuration changes, read hardware sensors, and more, using several management surfaces, including the IPMI out-of-band protocol, the Redfish HTTPS-based management API, and a web-based administrative interface.
    • “In many implementations, these interfaces share the same user database. A credential that works for IPMI may also work for the web interface or Redfish API. This matters because the IPMI authentication process can expose information that enables offline password recovery,” Lava notes.”
  • To sum up, Cybersecurity Dive lets us know,
    • “Cyberattacks on operational technology have shifted in recent years from extortion and espionage to destruction, a trend that should alarm those tasked with defending outdated industrial equipment, experts said on Thursday.
    • “The panel discussion at the Black Hat USA cybersecurity conference here highlighted the plethora of risks facing U.S. critical infrastructure operators — many of them poorly staffed and funded — at a time of heightened geopolitical conflict.
    • “OT attacks are increasingly moving from targeting not just data but physical operations,” said Cheri Benedict, a cybersecurity and supply chain adviser at the White House’s Office of the Federal Chief Information Officer.
    • “There is a real desire and willingness to cause this impact at scale,” said Matthew Rogers, the operational technology cybersecurity lead at the Cybersecurity and Infrastructure Security Agency (CISA).”
  • and
    • “Cyberattacks on the healthcare industry have brought hospitals, clinics and other providers to a breaking point, researchers said on Friday.
    • “These are patient safety issues, and yet these types of attacks continue to increase,” Christian Dameff, the co-director of the University of California San Diego’s Center for Healthcare Cybersecurity, said during a presentation at the DEF CON conference here.
    • “The healthcare sector consistently ranks as one of hackers’ top targetsbecause of the sector’s financial constraints, supply-chain opacity and low tolerance for downtime. Cybercriminals have repeatedly broken into hospital chains and healthcare vendors, sometimes causing widespread disruptions and even jeopardizing patient safety.”
  • Cyberscoop adds,
    • “In less than four hours early Tuesday [August 4, 2026], an attacker compromised a GitHub maintainer account and unleashed a self-replicating piece of malware which injected malicious code into more than 440 distinct npm packages, according to multiple security firms. 
    • “The worm, built on the open-source Mini Shai-Hulud repository that TeamPCPpublished in May, was initially let loose in keyv, a data management interface software package with more than 600 million monthly downloads. The attacker spent the next 30 minutes compromising additional packages controlled by the same maintainer, including cacheable, flat-cache, file-entry-cache.
    • “The attack spread to other maintainers, eventually compromising more than 860 packages with a “combined total of over 2 billion monthly installs,” Ilyas Makari, malware researcher at Aikido Security, wrote in a blog post. 
    • “Wiz researchers told CyberScoop it hasn’t observed any new malicious packages since the initial wave moved through a massive footpoint of cloud and code environments in those first four hours.” 
  • Cybersecurity Dive tells us,
    • “Researchers have found fifteen previously unknown vulnerabilities that affect zero-touch provisioning in TP-Link Omada, which is widely used to provision network devices from a central location, according to a report by Forescout Research – Vedere Labs. 
    • “Small to medium-sized companies use the technology to rapidly set up routers and firewalls, which in some cases involves thousands of devices. The technology helps companies save considerable costs when deploying network devices, but it also offers attackers wide access to a lot of systems. 
    • “The research, presented Wednesday [August 5, 2026,] at the Black Hat USA conference in Las Vegas, shows that attackers can chain together vulnerabilities with previously disclosed flaws and infiltrate networks.”
  • and
    • “The malicious use of AI has rapidly accelerated to the point where some threat groups have embedded the technology across their cyber operations, according to a report released Monday [August 3, 2026,]by CrowdStrike. 
    • “China-nexus actors Vault Panda and Genesis Panda have used AI to exploit critical vulnerabilities within 24 hours after a proof-of-concept was disclosed. 
    • “Meanwhile a North Korea-nexus group tracked as Stardust Chollima was able to inject a malicious npm package into 131 trusted Mastra AI frameworks in a supply-chain attack, according to CrowdStrike researchers.” 
  • Per Bleeping Computer,
    • “The Greatness phishing-as-a-service (PhaaS) platform has expanded from credential phishing to adversary-in-the-middle attacks and device-code phishing targeting Microsoft 365 accounts.
    • “The platform has been active since at least mid-2022, targeting Microsoft 365 users in the United States, Canada, the UK, Australia, and South Africa.
    • “It evolved over the years and now targets multiple platforms, including Microsoft 365, iCloud, Yahoo, and Google Workspace.
    • “Currently, it is sold for $289 per month to cybercriminals over a Telegram channel with thousands of subscribers.”

From the ransomware front,

  • Cybersecurity Dive reports,
    • “Ransomware extortion caused roughly three-quarters of business losses in the first half of 2026, the cyber insurance firm Resilience said in a recent report.
    • “At the same time, ransomware accounted for less than 6% of the incidents for which Resilience customers submitted claims, which the company said highlighted how “disproportionately costly” they are.
    • “Other data in the report highlight the importance of proper employee training and vigilant adherence to protocols such as regular backups.”
  • The Register adds,
    • “Ransomware attacks jumped nearly 20 percent in July, with UK firm Comparitech counting 799 incidents, up from 668 in June.
    • “Of those, 51 had been confirmed by victims. The tally makes July the second-busiest month of the year for ransomware, behind March, albeit just barely, when the firm recorded 805 attacks.
    • “The most interesting data after this surging month of attacks is the targets: While news of widespread cyberattacks targeting water infrastructure in the United States may be dominating security headlines lately, those attacks aren’t ransomware, and ransomware attacks on utility companies were actually down 44 percent last month.
    • “In addition to a decline in attacks on utilities, legal firms and government agencies also became less attractive targets, with attacks on those sectors down 31 percent and 11 percent, respectively, Comparitech said.
    • “On the other hand, ransomware attacks increased most heavily in July against finance companies, tech firms, pharmaceutical companies and medical billers, and the education sector, with rates up 71 percent, 62 percent, 46 percent and 44 percent, respectively. 
    • “Those numbers should come as no surprise given what pentesting firm DeepStrike reported about the most frequent payers of ransomware: Manufacturing, education, healthcare, and financial sector firms are the most likely to pay out a ransom, the firm says, with even the least likely (finance) still paying ransoms 51 percent of the time. Ripe targets, in other words.” 
  • Cyberscoop relates,
    • “Researchers said INC ransomware, one of the most active ransomware groups globally, has been the main attacker exploiting a pair of SonicWall zero-days soon after they were disclosed last month.
    • “The prolific ransomware-as-a-service operation wasn’t the first group to exploit the flaws, which were actively exploited for three weeks before the vendor disclosed and patched the defects July 14, but it has been the most assertive and concerning group to target and chain both vulnerabilities together for full access.
    • “Since public disclosure, INC ransomware has emerged as the most commonly named threat actor actively weaponizing this vulnerability chain,” Brett Deroche, director of incident response at Rapid7, told CyberScoop. “While Inc is the name driving the post-disclosure wave, we can’t attribute the full body of exploitation to INC specifically.” * * *
    • “The SonicWall vulnerabilities — CVE-2026-15409 and CVE-2026-15410 — are the latest in a series of security issues confronting the vendor’s customers, including actively exploited zero-days, previously disclosed defects, and an attack last year that allowed a state-sponsored threat group to steal the firewall configurations of every SonicWall customer.” 

From the cybersecurity business and defenses front,

  • The Wall Street Journal reports,
    • “Hasbro CFO Gina Goetter was abroad when a cyberattack hit the company this spring. The day started as planned, but her schedule was wiped clean a few hours later.  
    • “The team “knew something was wrong in the morning,” said Goetter, who is also the company’s COO. “By afternoon, they were aware that it was a breach.” 
    • “The toy and game maker discovered the intrusion in late March. Executives quickly pulled its entire SAP system, which tracks everything from financial to human-resource matters, offline to assess the damage. For three or four days, employees relied on manual workarounds to keep operations moving, forcing Hasbro to delay its first-quarter earnings. 
    • “Company leadership, however, refused to derail certain business operations. * * *Systems were restored faster than anticipated following the cyberattack, keeping costs lower than expected. Hasbro lost roughly $25 million in revenue because of the breach in the three months ended June 28, below the projected $40 million to $60 million hit. The swift recovery allowed the company to quickly terminate third-party legal and accounting support, often a significant part of the costs, according to Goetter.  “We came up faster, which helped,” she said.”
  • SC Media adds,
    • “No, 60% of small businesses don’t fail within six months of suffering a data breach.
    • “That widely circulated figure has been bouncing around for 15 years, but it’s dead wrong, security researcher Adrian Sanabria said Tuesday (Aug. 4) at the BSides Las Vegas hacker conference.” * * *
    • “Sanabria didn’t have any suggestions for companies that are short of cash when an attack or breach happens, other than to have a line of credit at the ready. But he pointed out that transparency and honesty go a long way toward restoring trust after a breach.
    • “Especially in healthcare, he said, “the more transparent you are, the less you’ll get sued for.”
      An audience member cited CrowdStrike as handling its devastating July 2024 bad-update incident very well, with the company leader’s same-day online mea culpa and subsequent apology tour to visit affected clients.
    • “Unfortunately, Sanabria said, many companies of every size still think it’s wiser to not disclose data breaches. That’s mainly out of fear of legal exposure, even though it’s clear that timely and full disclosure is the better policy.
      “Most of the reasons we have for keeping breaches quiet are not good reasons,” Sanabria said. “The model is there, and we know how to do it, but the lawyers won’t let us.”
  • Here’s a link to Dark Reading’s CISO Corner.

Friday report

David Ermer–Agentic & Generative AI, CDC, CMS, Congress, COVID-19, FDA, Medical / Rx research, Medicare, Mental health care, No Surprises Act, Rx coverage, U.S. Healthcare, Uncategorized–

Simplicity is a virtue.

From Washington, DC,

  • The Senate remains in session this evening while it considers Senator Susan Collins substitute amendment #6732 to H.R.6500, the Senate’s legislative vehicle for a Continuing Resolution to fund the federal goverment from October 1, 2026, through December 11, 2026.
  • Roll Call adds,
    • “Sen. Bill Cassidy of Louisiana said Friday he intended to vote to confirm Todd Blanche to be attorney general, ending a weekslong back-and-forth with the White House to win over GOP holdouts.
    • “All eyes were on Cassidy’s Friday morning floor speech after his fellow Republican Sens. Susan Collins of Maine and Lisa Murkowski of Alaska announced they would vote against Blanche, citing myriad concerns such as the Epstein files, the so-called “anti-weaponization” fund and questions of his independence.
    • “With Sen. Mitch McConnell, R-Ky., still absent after a hospitalization, Senate Republicans could afford to lose only two votes in their ranks if all Democrats vote against Blanche. Had Cassidy not supported Blanche, Majority Leader John Thune, R-S.D., would lack the votes to confirm him before the August recess. Now he can move ahead and hold a final vote on the Senate floor.”
  • and
    • “A bipartisan bill aimed at combating hepatitis C is stalled in the Senate due to a high score from the Congressional Budget Office, the bill’s lead sponsor Bill Cassidy, R-La., said on Thursday.
    • “The bill, co-sponsored by Sen Chris Van Hollen, D-Md., proposes a national strategy to reduce hepatitis C infections by providing free medications and expanding testing for high-risk and vulnerable groups.
    • “Cassidy, chairman of the Senate Health, Education, Labor and Pensions Committee, is a former liver doctor who spent much of his career treating the disease and has said getting this bill across the finish line is a priority before he leaves Congress in January. But the measure has not advanced since its introduction in June 2025, despite bipartisan interest.
    • “There was a score on it that was a disappointing score, but there’s at least some conversations taking place by some with the CBO to get that re-scored,” Cassidy said Thursday afternoon.
    • “Cassidy’s office would not provide the exact figure for the bill’s estimated cost but did say it was higher than a related CBO estimate last Congress.”
  • Govexec points out, “The Senate on Friday confirmed in a 51-47 party-line vote multiple executive branch nominees, including several involved in government oversight and federal employee matters.” 
  • Per an August 5, 2026, AHIMA news release,
    • “AHIMA, a founding member of the Patient ID Now coalition, applauds the Senate introduction of the Patient Matching and Transparency in Certified Health IT (MATCH IT) Act of 2026 by Senators Mark Warner (D-VA) and Jim Banks (R-IN), a companion bill to H.R.2002 introduced in the US House of Representatives by Representatives Mike Kelly (R-PA) and Bill Foster (D-IL).
    • “The MATCH IT Act addresses the problem of patient misidentification within the healthcare ecosystem. The bill would create an industry standard definition for how patient match rates are measured and would improve standardization of patients’ demographic elements entered into certified health IT products to ensure patients are accurately matched with the correct medical record.”
  • FEHBlog observation: Congress should pass this bill.
  • Per an August 6, 2026, White House news release,
    • President Donald J. Trump and Vice President JD Vance are waging war on the fraudsters and scammers who have looted hardworking Americans for far too long.
    • Today, that war becomes fully transparent at fraud.gov — a new website where Americans can track every action, every takedown, and every dollar recovered as part of the unrelenting effort.
  • The American Hospital Association News tells us,
    • “The Centers for Medicare & Medicaid Services Aug. 7 released a procedural notice on its new pathway to expedite access to certain Food and Drug Administration-designated Class II and Class III devices for Medicare beneficiaries. The Regulatory Alignment for Predictable and Immediate Device coverage pathway, or RAPID, is designed to reduce delays between FDA market authorization and Medicare national coverage determinations. CMS is accepting comments on the procedural notice for 60 days following publication in the Federal Register.”
  • Beckers Hospital Review reports,
    • “The U.S. economy lost 23,000 jobs in July, but healthcare kept adding positions, according to the Aug. 7 jobs report from the U.S. Bureau of Labor Statistics.
    • “Here are [three] things to know from the July jobs report:
      • 1. Healthcare employment continued its upward trend in July, adding 22,000 jobs, though that marked a slower pace than the average monthly gain of 36,000 over the prior 12 months.
      • 2. Hospitals were essentially flat in July, dipping by about 400 jobs after adding roughly 9,500 in June. 
      • 3. Ambulatory healthcare services drove most of the sector’s gains, adding 18,100 jobs, including 4,200 in offices of physicians and 4,600 in home health care services. Nursing and residential care facilities added 4,300 jobs. 
  • Per an August 7, 2026, U.S. Postal Service news release,
    • “The U.S. Postal Service today announced its financial results for the third quarter of fiscal year 2026 (Apr. 1, 2026 – Jun. 30, 2026). Controllable loss, which excludes certain expenses that are not controllable by management, was $1.0 billion for the quarter, compared to controllable loss of $1.6 billion for the same quarter last year.
    • “Net loss for the quarter under generally accepted accounting principles (GAAP) totaled $2.5 billion, compared to $3.1 billion for the same quarter last year. This $562 million decrease is attributed to an operating revenue increase of $1.1 billion along with a decrease in workers’ compensation of $416 million. These are partially offset by increases in retirement benefits of $324 million, retiree health benefits of $195 million, and compensation and benefits of $129 million.
    • “Our results this quarter reflect some progress relative to those areas of the business where we can exercise control, namely with revenue generation, cost control and service improvement,” said Postmaster General David Steiner. “Nevertheless, the Postal Service is today continuing to face a severe liquidity crisis, and our financial losses this quarter reflect systemic challenges inherent in our Congressionally established business model and regulatory framework. We are taking responsible steps to conserve cash to extend our operating window, but we require thoughtful legislative and other actions to establish a financially sustainable Postal Service capable of serving the American public far into the future.”

From the Food and Drug Administration front,

  • MedTech Dive reports,
    • “A Food and Drug Administration advisory committee meeting is scheduled for September to evaluate data for Grail’s Galleri multicancer early detection blood test.
    • “Grail launched Galleri as a laboratory developed test in 2021. Designed to detect signals from multiple cancers using a single blood sample, the MCED test hit a setback in February when a clinical trial missed its primary endpoint.
    • “CEO Josh Ofman told analysts on an earnings call this week that Grail continues to expect Galleri to receive FDA approval in the first part of 2027.”
  • Targeted Oncology tells us,
    • “The FDA has granted fast track designation to BI-1808, a first-in-class anti-TNFR2 antibody, for the treatment of advanced platinum-resistant ovarian cancer in combination with pembrolizumab (Keytruda), according to a news release from BioInvent International AB.”
  • Fierce Pharma informs us,
    • “Fresenius Kabi voluntarily recalled one lot of morphine sulfate injection due to a labeling mix-up with prefilled syringes of the opioid dilaudid that could trigger an overdose resulting in severe respiratory distress or death.
    • “The recall, issued in a letter dated Aug. 4 and posted to the FDA website, is for a single lot of morphine sulfate marketed as Simplist 2 mg/1 ml that was mislabeled and could contain a prefilled syringe of dilaudid 0.5 mg/0.5 ml.”

No Surprises Act News,

  • The American Hospital Association News reports,
    • “Guidance on the implementation timeline for the No Surprises Act independent dispute resolution operations final rule was released Aug. 7 by the Departments of Labor, Health and Human Services, and the Treasury, along with the Office of Personnel Management. The final rule, issued May 28, was designed to streamline communication between group health plans and health insurance issuers, providers and certified IDR entities, while clarifying timelines and processes. The guidance includes details on applicability dates of certain provisions associated with the final rule, including the stand-alone claim adjustment reason codes and remittance advice remark codes guidance.” 

From the public health and medical / Rx research front,

  • The Centers for Disease Control and Prevention announced today,
    • “As of August 7, 2026, the amount of acute respiratory illness causing people to seek health care is very low.
    • “Based on multiple data sources, COVID-19 activity is low in many regions but is increasing in the West and South.
    • “RSV activity is very low in most areas of the country. Emergency department visits and hospitalizations for RSV are low but remain highest among infants and children younger than 4 years old.
    • “Seasonal influenza activity is low.
    • “Parainfluenza (PIV) and respiratory adenovirus are elevated nationally. Whooping cough (pertussis) continues to circulate at lower levels compared to post-pandemic peaks.”
  • The American Hospital Association reports,
    • “A study published Aug. 5 by Nature found that COVID-19 infection can reactivate dormant, chronic viruses such as Epstein-Barr and cytomegalovirus. The study found that reactivation is correlated with the severity of the COVID-19 infection. The study included data from more than 1,100 hospitalized patients with COVID-19 and found reactivation of various Herpesviridae and Anelloviridae viruses. Researchers said that reactivation occurred frequently in “immunocompetent” individuals during severe illness.”
  • The University of Minnesota CIDRAP relates,
    • “Working-age adults living with long COVID feel less satisfied with life, experience less happiness, and have less hope, according to a study published this week in BMC Public Health. The paper highlights the association between having long COVID and poorer wellbeing. 
    • “The findings underscore that the burden of long COVID extends beyond clinical health outcomes to encompass how individuals evaluate and experience their lives,” wrote the authors, from Syracuse University in New York.
    • “Long COVID symptoms were significantly associated with lower levels of subjective wellbeing in a dose-dependent manner.”  
    • “The World Health Organization defines long COVID “as the continuation or development of new symptoms 3 months after the initial SARS-CoV-2 infection, with these symptoms lasting for at least 2 months with no other explanation.”
  • and
    • “The Centers for Disease Control and Prevention (CDC) today confirmed 94 new measles infections—most of them in Pennsylvania—bringing the US total for the year to 2,465, the agency said in its weekly update.
    • “The numbers likely provide additional data to move the United States toward losing its measles elimination status this year. The nation gained that distinction in 2000, but  has now logged consecutive years of more than 2,200 measles cases (2,289 for all of last year). This year’s total is the highest since 1991.”
  • The Washington Post tells us,
    • “Michigan health officials say new cases of cyclosporiasis are declining in the state hit hardest by an outbreak that has sickened more than 12,000 people and left two dead in the state since June. 
    • “The state’s health department said new case reports are slowing and diarrhea-related emergency department visits are trending downward. The drop in cases prompted officials to lift their broad recommendation to avoid bagged salad mixes. But Michigan continues to recommend avoiding recalled lettuce from Taylor Farms de Mexico sourced from central Mexico.
    • “Michigan officials said they believe most of their exposures took place in late June to early July and that most contaminated produce is probably no longer available for consumption.
    • “Cyclospora infections typically cause symptoms about seven days after exposure, although symptoms can take up to 14 days to appear. The health department said residents can now return to routine food-safety guidance for handling and consuming produce, including lettuce and salad greens.”
  • The AP informs us,
    • “In the past year, the U.S. has seen a jump in frequent marijuana users going to the hospital with a nausea and vomiting condition, according to a report released Thursday.
    • “The abruptness and sustained magnitude of the increase” is largely due to the condition getting its own diagnosis code last fall, which is providing a more accurate picture of what was an underrecognized problem, the authors of the U.S. Centers for Disease Control and Prevention report wrote.
    • “Hospital emergency room diagnoses of the condition, cannabis hyperemesis syndrome, rose 16% from last October to May of this year, federal researchers found.
    • “The syndrome — seen in people who frequently use marijuana, especially smokers — is characterized by recurring nausea, uncontrollable vomiting and excruciating abdominal pain.
    • “Past research has suggested that an estimated 2.75 million Americans suffer from it each year, and that hospital emergency room visits have been rising as daily recreational marijuana use has increased.”
  • MedPage Today points out,
    • “Maintaining three key health factors during midlife — normal blood pressure, no diabetes, and not smoking — was associated with nearly 13 additional dementia-free years, a study of 12,000 people in the U.S. showed.
    • “Individuals who met these criteria at age 55 lived an average 30.1 more years dementia-free, reported Josef Coresh, MD, PhD, of NYU Langone Health in New York City, and co-authors.
    • “Conversely, those who smoked, had hypertension, and had diabetes at age 55 had dementia-free survival of only 17.5 years, Coresh and colleagues wrote in Neurology Open Accessopens in a new tab or window.”
  • and
    • “Low-fat vegan diets can help aid in weight loss, but the mechanisms behind this have been unclear.
    • “Adults on a low-fat vegan diet reduced dietary energy density by 30% compared with controls in a secondary analysis of a randomized trial.
    • “Reductions in dietary energy density were significantly associated with greater weight loss after adjusting for overall energy intake.”
  • Medscape adds,
    • “Adding coronary artery calcium (CAC) scoring to risk estimates helped better identify adults at lower and higher risk for atherosclerotic cardiovascular disease (ASCVD) events. People with no detectable CAC had lower observed risk, while those with CAC had higher observed risk, especially when the decision about starting a statin was uncertain.”
  • Healio notes,
    • “Adults with type 2 diabetes and established CVD had lower risk for CV events with tirzepatide [a/k/a Zepbound] compared with sitagliptin [a/k/a Januvia].
    • “Tirzepatide decreased risk for infections leading to hospital admission.
  • Per Genetic Engineering and Biotechnology News,
    • “For people with severe food allergies, avoiding a trigger food like peanuts or tree nuts can mean constant vigilance. Approximately 8% of children and 10.8% of adults in the United States experience some type of food allergy. Even trace exposures can provoke reactions, and while oral immunotherapy can raise the threshold for some patients, the protection often depends on continued treatment and is associated with disease relapse in many patients. A new study suggests that another route to food tolerance may run through the gut microbiome.
    • “In a small Phase I open-label trial (NCT02960074), researchers at Boston Children’s Hospital tested whether oral encapsulated fecal microbiome transplantation (FMT) could safely increase peanut tolerance in adults with peanut allergy. The work, published in Science Translational Medicine, also used mouse models to probe how donor gut microbes might help restore oral tolerance. The study is titled, “Fecal microbiome transplant in food allergy in humans and mice identifies a role for bile acid metabolites in oral tolerance.”
  • The Wall Street Journal adds,
    • “Artificial-intelligence systems have been displaying some eye-opening new abilities in recent weeks: breaking out of their enclosures, hacking other companies, lying to people. 
    • “And now, for the first time, an AI model has created a new virus. A whole family of them, in fact. 
    • “In a study published in the journal Science, researchers at Stanford University and elsewhere said they successfully directed an AI model to create a collection of simple viruses that only infect bacteria and pose no threat to humans.
    • “In an interview, two of the authors said their research could help develop designer viruses that could be used to eliminate drug-resistant bacteria, which according to the World Health Organization kill millions of people every year.
    • “If we develop responsibly, I think it can lead to tremendous benefits in human health,” said Brian Hie, a computational biologist at Stanford and an author of the study.”

From the U.S. healthcare business and artificial intelligence front,

  • Fierce Healthcare reports, “Insurers see positive results in managing health costs in Q2.”
    • “The health insurance industry weathered a rough 2025, and the turnaround for some companies through the midpoint has surprised even Wall Street analysts.”
  • Beckers Payer Issues adds,
    • “Clover Health posted a $28 million profit for the second quarter of 2026, according to a recent earnings filing.
    • “During the same period last year, Clover logged a $10.6 million loss. The company had its first profitable quarter in 2024.
    • “Total revenue for the second quarter of 2026 was $743.2 million, up nearly 56% year over year. The company attributed the improved results to membership growth and a disciplined approach to administrative spend.
    • “On June 30, Clover had 157,309 members. The company’s benefit-expense ratio dipped to 87.6% this past quarter from 88.4% during the same time in 2025.”
  • and
    • “CVS Health’s pharmacy benefit manager, CVS Caremark, is bringing on Keith Reynolds as chief growth officer.
    • “Chief Sales Officer Jim Fowler will transition into retirement, according to an Aug. 7 LinkedIn post from Mr. Reynolds.” 
  • Beckers Hospital Review relates,
    • “A number of healthcare organizations have recently closed medical departments or ended services at facilities to shore up finances, focus on more in-demand services or address staffing shortages.
    • [The article identifies] 52 department closures or services that are ending or have been announced, advanced or finalized that Becker’s reported since Jan. 1
  • Health Exec adds,
    • “When a nursing home closes down, the local population and press often perceive the move as a simple exit from the market due to failing fiscal health. But in about half the cases, additional forces are in play—and “closures” may be, in truth, do-overs of one kind or another. 
    • “Researchers at the University of Massachusetts fill out the picture with facts in a study published July 31 by JAMA Health Forum.
    • “Joohyun Chung, PhD, RN, and colleagues suggest understanding the dynamics behind nursing-home closings is important because such events can disrupt continuity of care, place additional burdens on remaining facilities and disproportionately affect vulnerable populations.” 
  • Fierce Pharma tells us,
    • “Injected weight loss drugs remain favored over newer oral treatments by a significant margin, with Eli Lilly’s Zepbound leading the pack, according to a survey of healthcare specialists by Spherix Global Insights.
    • “In the poll, which includes input from 185 specialists in the United States, 80% were highly satisfied with Zepbound, compared with 59% for Novo Nordisk’s rival injectable, Wegovy. Though it remains early in the launches of Novo’s oral version of Wegovy and Lilly’s GLP-1 pill Foundayo, 48% and 47% of those surveyed were highly satisfied with the newer products, respectively.”
  • and 
    • “Prescriptions for Eli Lilly’s Foundayo continue to build, jumping 16% sequentially to 34,219 the previous week, according to IQVIA data cited by Citi. The oral GLP-1 med has been on a roll lately as it appears to celebrate four weeks of consecutive growth in total scripts. However, as Citi noted, there’s still a potential gap in IQVIA’s capture of telehealth data, and it’s not clear how much of the scripts growth was from IQVIA getting better at including those data, or, if the actual growth was much faster in telehealth channels.
    • “This week, Lilly’s reported Foundayo sales for the second quarter—$98 million in total, including $67 million in the U.S.—disappointed many. As CEO David Ricks noted on an earnings call, Lilly began broad direct-to-consumer marketing to raise consumer awareness after securing commercial access across the three major pharmacy benefit managers in June. Besides, The Medicare GLP-1 Bridge program went live on July 1, offering coverage for certain weight-loss medications, including Foundayo, for a $50 copayment per month. Ilya Yuffa, president of Lilly USA and global customer capabilities, said the company is “starting to see an inflection point on Foundayo now.”
    • “As for Novo Nordisk’s Wegovy pill, total scripts recorded by IQVIA have been largely flat with small upticks in the past two weeks, having reached roughly 172K in the previous week. The oral version of semaglutide now makes up 35% of total Wegovy scripts, which take up about 40.6% of the U.S. obesity market share, as Lilly’s Zepbound remains the leader.” 
  • Fierce Healthcare informs us,
    • “Despite the rapid implementation of artificial intelligence solutions across the healthcare industry, many organizations are still working on establishing necessary infrastructures and governance foundations, a new report from UPMC’s Center for Connected Medicine and KLAS Research found.
    • “Ninety-three percent of respondents report that their organizations deploy third-party AI solutions, though only 44% have a dedicated data platform or environment for tool testing. But 92% of respondents report testing third-party tools prior to deployment.
    • “What’s emerging from this research is a clear recognition that implementation is only the first step,” said Rob Bart, M.D., UPMC chief medical officer, in a statement. “Health systems are now focused on building the governance structures, testing capabilities and organizational strategies necessary to ensure AI delivers meaningful and measurable value.”
    • “The “Validation and Trust: The Governance of AI Solutions at Health Systems” report drew insights from 27 healthcare leaders, including those from health systems and ambulatory care organizations.” 
  • Healio adds,
    • “Many patients report high comfort with health systems using AI-written portal messages, noting it gets them information quickly and reduces clinician workload.
    • “Their comfort comes with caveats, though. Patients want both clinician oversight and transparency that AI is being used.”

Thursday report

David Ermer–Agentic & Generative AI, CDC, CMS, Congress, FDA, Federal employment benefits, Medical / Rx research, Medicare, Mental health care, No Surprises Act, OPM, Rx coverage, U.S. Healthcare–

Simplicity is a virtue.

From of a Washington, DC

  • The New York Times reports,
    • “The White House’s push to delay a ban on intoxicating hemp products that President Trump signed into law last year has snarled an otherwise straightforward effort to pass legislation that would lock in government funding through the fall before senators leave Washington on a summer recess.
    • “In an unusual display of defiance, a group of Republicans led by Senator Ted Budd of North Carolina was vowing to kill the hemp proposal that Senate leaders had tucked into the spending bill at the request of Mr. Trump.
    • “The measure would postpone the date the ban will go into effect, from November to Dec. 11.”
  • Beckers Hospital Review relates,
    • “Sens. Maggie Hassan, D-N.H., and Roger Marshall, R-Kan., introduced the Stop Superbugs Act on Aug. 4 alongside a Joint Economic Committee-Minority report estimating antimicrobial resistance costs the U.S. healthcare system at least $5.7 billion annually.”
  • Beckers Behavior Health adds,
    • Federal lawmakers have introduced or revived several bills this year [discussed in the article] aimed at expanding access to addiction and mental health treatment, from new Medicare coverage for residential opioid treatment to permanent funding for community behavioral health clinics.
  • The current president of the Infectious Diseases Society of America, Ronald Nahass, suggests in STAT News that “The U.S. needs a 9/11 Commission-style independent body to investigate Covid response.” The FEHBlog heartily agrees.
  • Beckers Payer Issues tells us,
    • “This fall, CMS will start sharing monthly utilization reports with Part D plans on how their enrollees are using the Medicare GLP-1 Bridge program.
    • “The agency said in an Aug. 5 memo that the reports will be organized at both the contract and plan level and will include claims-level data such as the date of service, drug dispensed, quantity, days supply, prescriber, fill number and beneficiary identifier. All Part D plans will be covered, except for PACE organizations, cost plans and private fee-for-service plans.
    • “CMS uses a central processor to handle prior authorization, claims adjudication and pharmacy reimbursement, meaning Part D sponsors don’t carry risk for GLP-1 drugs furnished through the demonstration. The utilization reports would give insurers a window into how their own members are using the program despite having no direct role in administering it.”
  • The Wall Street Journal adds,
    • “Amazon AMZN .com said patients with Medicare Part D prescription plans now have access to certain GLP-1 weight-loss medications through Amazon Pharmacy.
    • “Oral and injectable versions of Novo Nordisk’s NOVO.B  Wegovy and Eli Lilly’s LLY  Zepbound KwikPen and Foundayo pills will be available and cost $50 a month with free home delivery, Amazon said. It’s offering same-day delivery in more than 3,100 U.S. locations, and no Prime membership is required, the company added.
    • “The medications are available through the Medicare GLP-1 Bridge Program, a short-term federal initiative running through Dec. 31, 2027, that allows eligible Medicare Part D members who meet specific clinical criteria to access weight management prescriptions.” * * *
    • “Amazon Pharmacy manages the entire process, including verifying eligibility, handling prior authorizations, and initiating enrollment, once a clinician submits an electronic GLP-1 prescription, the company said. Customers need to link their Medicare information and Bridge insuranceplan to their account.
    • “Once a patient’s clinician sends the prescription, we take care of the rest and deliver their medication to their door,” said Tanvi Patel, vice president and general manager of Amazon Pharmacy.”

From the U.S. Office of Personnel Management front,

  • Govexec reports,
    • “President Trump is expected sometime this month to issue a plan to freeze federal employee pay in 2027, though if last year was any indication, it may not be that straightforward.
    • “When the White House published its fiscal 2027 budget proposal in April, the document, which normally lays out the administration’s pay plan for the following year, was silent on civilian compensation. The Office of Management and Budget later confirmed that Trump was in fact proposing “no pay increase” for 2027, while military service members would see between a 5% and 7% raise, depending upon their rank.
    • “Trump now has until the end of August to formalize his alternative pay plan for next year; otherwise, much larger automatic increases in locality pay would take effect, due to a formula in the 1990 Federal Pay Comparability Act that has been criticized by presidents of both parties since its enactment.”
  • Federal News Network explains how “OPM is preparing to take over federal employee appeals” as the FEHBlog has noted.
    • “OPM outlined significant changes in the new appeal adjudication process, including the loss of federal employees’ “categorical right” to a hearing.” 
  • Fed Agent informs us,
    • “Federal employees who file claims for back pay, unpaid overtime, unused leave, and other compensation issues will soon be required to submit them through the Office of Personnel Management’s (OPM) eFile system rather than by mail or email. 
    • “The changes could be especially relevant for law enforcement officers and other federal employees who file Fair Labor Standards Act (FLSA) overtime claims.
    • “In an updated rule for Procedures on Settling Claims, OPM said switching to an eFile system “will be used for all appeals and claims to allow for faster receipt facilitating OPM’s processing and review.”
    • “The new system will apply to a wide range of submissions, including claims filed by current and former federal employees, as well as claims submitted by beneficiaries of deceased federal employees and deceased veterans.”

From the FDA front,

  • The Wall Street Journal reports,
    • “Replimune Group said Thursday that the Food and Drug Administration has approved its therapy for advanced skin cancer, ending a regulatory saga that spanned three submissions and two rejections and was a flashpoint in the tenure of the agency’s last commissioner.
    • “Replimune’s drug, marketed as Tudriqev, is a genetically modified virus that doctors inject directly into tumors, where it is designed to kill cancer cells and trigger an immune response against tumors elsewhere in the body.
    • “The drug’s arduous journey through the FDA made it a poster child for the biotech industry’s criticism of the agency under former Commissioner Marty Makary. Replimune and other industry officials said the FDA, in its rejections, had reversed positions it had established in earlier meetings with the company.”
  • Targeted Oncology relates,
    • “The FDA granted accelerated approval to RP1 (vusolimogene oderparepvec; Tudriqev), an oncolytic virus therapy, in combination with nivolumab (Opdivo), for the treatment of advanced melanoma following progression on an anti–PD-1–containing regimen.
    • “The decision follows a July 30, 2026, meeting of the FDA’s Cellular, Tissue, and Gene Therapies Advisory Committee (CTGTAC), which voted 10-3 in favor of the potential accelerated approval based on data from the phase 2 IGNYTE trial (NCT03767348). Despite the FDA raising concerns over the study design and clinical meaningfulness of the trial data, the committee supported the accelerated approval because of the unmet need in this setting, with the confirmatory IGNYTE-3 trial (NCT06264180) already underway to support regular approval.”

No Surprises Act News,

  • FHAS, a certifed independent dispute resolution entity, offers helpful guidance about implementing the NSA RARC codes in out-of-network electronic and paper claims.

From the judicial front,

  • Beckers Physician Leadership reports,
    • “A physician in Texas was sentenced to 12.5 years in prison for operating a medical clinic as an illegal pill mill. 
    • “Maryam Qayum, MD, owned, operated and was the sole prescriber at Recare Health Clinic in Houston. The clinic was operated as a cash-only pill mill, and Dr. Qayum issued prescriptions without a legitimate medical purpose, according to an Aug. 5 news release from the Justice Department. 
    • ‘Between 2022 and 2025, Dr. Qayum issued more than 3 million prescriptions for opioids including oxycodone and hydrocodone. Law enforcement shut down the clinic in 2025.”
  • Beckers Health IT relates,
    • “Health systems, insurers and AI companies are facing a wave of litigation in 2026 over how artificial intelligence is used to make or influence decisions about patient care, coverage and billing.”
    • The article discusses three such cases. 

From the public health and medical / Rx research front,

  • Health Exec identifies “Current and potential outbreaks to be aware of—and ready to talk about.”
  • Cardiology Business adds,
    • “The American College of Cardiology (ACC) has shared a new concise clinical guidance (CCG) detailing specific vaccine recommendations for adults and children with a history of cardiovascular disease (CVD).[1] The group reviewed its own evidence-based guidelines as well as updated resources developed by the American College of Physicians and U.S. Centers for Disease Control and Prevention. 
    • “Patients with heart disease face a higher risk of adverse outcomes, including hospitalization and death, following respiratory virus infection compared with the general population,” wrote first author Paul A. Heidenreich, MD, a cardiologist with Stanford University and chair of the CCG’s writing committee, and colleagues. “Additionally, the likelihood of infection after exposure may be elevated in this population.”
    • “Heidenreich et al. also emphasized that both randomized clinical trials and observational studies have consistently demonstrated the advantages of vaccination. Adverse side effects, the group added, are “exceedingly rare and are far outweighed by the demonstrated benefits.”  
  • MedPage Today notes,
    • “The U.S. Preventive Services Task Force recommends annual fecal immunochemical test screening starting at age 45 among average-risk adults to reduce the risk of death from colorectal cancer.
    • “In a retrospective population-based cohort study from Spain, fecal immunochemical test-based screening was linked to an ongoing decline in colorectal cancer mortality.
    • “Counterfactual analyses suggested a 41.7% relative reduction in mortality overall, a 46.2% relative reduction in those ages 50 to 69, and a 45.4% relative reduction in those ages 70 and older compared with projected trends without screening.”
  • The American Medical Association lets us know what doctors want their patients to know about hand, foot, and mouth disease.
  • The Washington Post reports,
    • “Hundreds of people in 27 states have been sickened in a salmonella outbreak linked to jalapeño peppers, including at Chipotle and Qdoba restaurants, the Centers for Disease Control and Prevention said.
    • “As of Tuesday, 345 cases had been reported with 36 people hospitalized, the agency said Wednesday. The cases, which date back to June 19, are expected to rise and expand to more states. 
    • “Twenty-seven “illness clusters” have been identified at Chipotle and Qdoba locations in seven states, the agency said, after health officials found that most of those who got sick reported eating in a Mexican-style restaurant. * * *
    • Neither restaurant is considered an ongoing risk, the CDC said. The distributor is recalling the affected peppers, and other businesses are being urged to check their stocks for recalled jalapeños and not sell or serve them, it said.
    • Salmonella bacteria, the most frequently reported cause of foodborne illness, can cause diarrhea, vomiting, fever and stomach pain.
  • Beckers Hospital Review relates,
    • “The CDC is tracking clinical cases of Candida auris in more than half of U.S. states this year, though the total number of infections from the deadly fungus is down from this time in 2025.
    • “The agency has recorded 3,302 clinical cases of Candida auris across 27 states through the week ending July 18, according to National Notifiable Diseases Surveillance System data. That’s down from 4,102 clinical cases reported over the same period in 2025.
    • “A separate CDC screening count, which tracks colonization detected before any illness develops, logged 3,130 cases across 23 states over the same period, essentially flat compared with 3,348 a year earlier.
    • ‘California leads all states in clinical cases with 826, followed by Texas with 391 and Ohio and Tennessee tied at 274 each. The screening count tells a different geographic story: Texas leads with 706 screening cases, followed by Michigan (503) and Illinois (366).”
  • Beckers Clinical Leadership adds,
    • “The Virginia Department of Health said Aug. 4 it has identified the state’s first locally acquired case of dengue.
    • “The patient lives in the Fairfax and Loudoun county area and had not traveled outside Virginia before falling ill.
    • “State officials traced the infection to an earlier traveler who had contracted dengue abroad. A local Aedes mosquito bit that infectious patient, then transmitted the virus to the second resident. The health department said it has found no evidence of continued local spread.
    • “The department called the overall risk of acquiring dengue in Virginia low.”
  • MedPage Today tells us,
    • “Anxiety and depression have been extensively studied in patients with inflammatory bowel disease (IBD), but research has rarely investigated the pre-diagnostic period.
    • “In a Swedish cohort study, the relative rate of any psychiatric disorder started to increase 2-3 years before IBD diagnosis, peaked soon after diagnosis, and rapidly decreased post diagnosis, but remained elevated at 10 years.
    • “This increased risk was mainly driven by major depressive disorders, anxiety disorders, and substance misuse.”
  • STAT News informs us,
    • “In the race for new ways to treat Alzheimer’s and other devastating neurologic diseases, the protein tau has become a tantalizing target for drug developers. A new study lends support to those efforts by describing a previously unknown role that tau plays in neurodegeneration — and suggesting a novel way researchers might block the protein’s activity.
    • “A team led by Stanford scientists found that tau can gum up the works of a cell’s mitochondria, its energy-producing powerhouse. The protein sends electrons flowing in the opposite direction of their usual microscopic relay race, a reversal that generates reactive oxygen species, cellular stress, and inflammation. Scientists found that blocking this phenomenon, known as reverse electron transport, reversed many of the harmful effects and improved learning and memory in flies and mice.
    • “Whether the same will hold true in people is for now unclear, though an analysis of human cells grown in the lab and patient brain tissue suggests blocking the retrograde flow of electrons could make neurons healthier. Two of the study’s authors have started a biotech startup to put this idea to the test. 
    • “The findings, published on Thursday in the journal Neuron, have implications for a range of so-called tauopathies, diseases marked by an abnormal buildup of tau, such as Alzheimer’s, Huntington’s, and frontotemporal dementia.”
  • Genetic Engineering and Biotechnology News points out,
    • Chronically infecting viruses—such as Epstein Barr, cytomegalovirus, and herpes virus—are ubiquitous in humans. Although their presence is often innocuous and asymptomatic, the viruses can reactivate during stress, and emerging evidence suggests that their reactivation may contribute to autoimmune disease and other chronic conditions. SARS-CoV-2 infection is known to reactivate some chronic viruses, yet the full extent of the effects is not well understood.
    • Now, a study including 15 biomedical research institutions across the United States, Boston Children’s Hospital researchers and their collaborators have discovered that COVID-19 reactivates certain dormant viruses in hospitalized patients. These findings expand understanding of chronically infecting viruses and could inform development of strategies to combat their reactivation.
    • “This work is published in a new study in Nature, entitled, “Virus reactivation in acute and long COVID-19.”
  • The New York Times notes,
    • “Novo Nordisk stunned the cardiology world last week when it announced that a large study it was running on an experimental drug for heart disease had failed. The drug, widely expected to be a blockbuster, was no better than a placebo.
    • “The drug, ziltivekimab, reduces inflammation, which is generally thought to be a cause of atherosclerosis. Stopping that inflammation was hoped to be a way to save lives.
    • “Now the drug’s failure is raising a troubling question. Is inflammation really a cause or is it just a marker of atherosclerosis, the way gray hair is a marker of aging?
    • “Cardiologists had mixed reactions to the news. Dr. Sanjay Kaul, a cardiologist at Cedars Sinai, quoted Thomas Huxley on X: “The great tragedy of science — the slaying of a beautiful hypothesis by an ugly fact.”

From the U.S. healthcare business and artificial intelligence front,

  • Health Exec points out,
    • “The latest lineup of America’s “best of the best” hospitals from US News & World Report is something of an embarrassment of riches for a few cities and health systems. 
    • “The list—which ranked hospitals numerically until 2023 but now presents 20 institutions alphabetically as an “honor roll”—names one health system three times.
    • “That would be Mayo Clinic, recognized for each of its operations in Rochester, Minn., Phoenix, Ariz., and Jacksonville, Fla. 
    • “Meanwhile New York City is home to three winning institutions—Mount Sinai, NewYork-Presbyterian and NYU Langone. 
    • “A few cities have two hospitals in the roll. These are Boston (Brigham and Women’s, Massachusetts General), Chicago (Northwestern, Rush) and Los Angeles (Cedars-Sinai, UCLA Ronald Reagan).
    • “The state with the most honorees is California, which has bragging rights to five—the two L.A. hospitals named above plus Stanford Health Care in Palo Alto, UC San-Diego Health in that city and UCSF Health in San Francisco.”
  • Beckers Hospital Review adds,
    • “The Emergency Nurses Association awarded a record-breaking 126 emergency departments with the 2026 Lantern Award.
    • “To receive a Lantern Award, EDs must submit a comprehensive application which measures how they excel in meeting challenges, including ED boarding, improving pediatric readiness and enhancing nurse professional development, according to a July 27 news release. ENA Lantern Award Committee reviews and scores applications based on evidence-based practices and innovation in emergency care. Learn more here. The Lantern Awards have been awarded annually since 2011.
    • “Last year, 96 hospitals received a Lantern Award.”
    • The article lists the 2026 awardees by State.
  • Beckers Hospital Review outlines the 23 hospital M&A transactions that have happened this year.
  • Beckers Payer Issues calls attention to “the thread running through payers’ and for-profit [health] systems’ Q2 earnings,” and tells us,
    • “Oscar Health’s membership as of June 30 was 2,963,002, up from 2,027,148 at the same time in 2025.
    • “The company reported net income of $361.8 million for the second quarter of 2026, up from a $228.4 million loss during the same period last year. Revenue was roughly $4.9 billion, up 70.4% year over year. Earnings from operations were $388.6 million versus a prior $230.5 million loss, driven by stronger underwriting performance, along with favorable prior period development.
    • “The insurer logged a medical loss ratio of 79.2% for the quarter, down from 91.1%. 
    • ‘The full-year 2026 outlook for earnings from operations is now $500 million to $700 million, a boost from $250 million to $450 million previously.”
  • BioPharma Dive reports,
    • “LifeMine Therapeutics, a biotechnology company led by serial entrepreneur Greg Verdine, said Thursday it raised $263 million in a pair of venture financings that will push a novel, protective treatment for organ transplants deeper into later clinical testing.
    • “To find that new drug, codenamed “LIFE-001,” LifeMine looked to a billion-year-old place: the fungal genome. It’s the same starting point that led to the first statin, penicillin, and a widely used immunosuppressant called cyclosporine. While these and many other medicines are derived from fungi, LifeMine has for years been working to make the discovery process more systematic and repeatable, amassing a database of genomic information in the hopes of uncovering promising drug prospects. 
  • MedTech Dive interviews “Medtronic’s George Murgatroyd [about] an advanced computing platform that works with the company’s Hugo robot will power AI algorithms that can assist surgeons as they operate.”

  • Beckers Physician Leadership notes,
    • “Aflac’s fourth annual Wellness Matters Survey found 76% of Gen Z and 63% of millennials now turn to artificial intelligence as their first line of primary healthcare, according to results released Aug. 4.
    • “The survey, conducted in March 2026 by Kantar Profiles among 2,000 employed U.S. adults ages 18 to 65, found AI use for healthcare drops sharply with age: 47% of all Americans surveyed use AI for health information, compared to 76% of Gen Z and 63% of millennials.
    • “The shift toward AI comes as younger workers skip in-person care. Sixty-five percent of Gen Z and 61% of millennials reported skipping routine checkups in the past year, compared to 47% of Gen X and 33% of baby boomers. Only 48% of Gen Z respondents have a primary care doctor, versus 87% of baby boomers.
    • “Emergency and urgent care use also rose among Gen Z, climbing to 62% in 2026 from 51% in 2025. Usage increased among Hispanic, Black, and Asian American respondents as well.
    • “Matthew Owenby, Aflac’s chief human resources officer and chief administrative officer, said younger Americans are substituting convenience for consistent care. “Young Americans are replacing in-person preventive care with the convenience and speed of digital health support,” Mr. Owenby said.”