News

Next Steps for the American Privacy Rights Act House Energy and Commerce Committee Chair Cathy McMorris Rodgers (R-WA) joined NewsNation’s Markie Martin on Wake Up America this morning to discuss the Committee’s legislative hearing on the American Privacy Rights Act as well as next steps for the draft legislation. Highlights and excerpts from the interview below: PUTTING AMERICANS IN CONTROL OF THEIR DATA “[This bill] would mean that you would be able to know what profile [companies] have collected on you. “There would be a limited amount of data that would be collected to begin with, sensitive data, like your location data and your search engine history—personal information that identifies you. [...] “It puts individuals back in control. This is important to all Americans. “Parents are calling upon Congress to act because we know that too many people are being targeted, especially our kids, and manipulated for dangerous purposes.” DANGERS OF UNCHECKED DATA COLLECTION "Ultimately it is Big Tech that is manipulating how you think and how you act. “We heard testimony yesterday at the hearing from a young lady, Ava, who talked about the troves of data, really an arsenal of data, that had been collected on her by her search history, but also just staying on a post for too long. “They were able to identify her vulnerabilities and ultimately take her down this path that led to an eating disorder. “And unfortunately, these are the kinds of stories that are repeated over and over where they're able to predict how we think and how we act and, too many times, bad actors are using it for purposes that are very destructive.” NEXT STEPS FOR THE AMERICAN PRIVACY RIGHTS ACT “Members on both sides of the aisle know that we need to act. “I'm really excited that we've been able to hammer out an agreed upon proposal that is bipartisan and also bicameral. House and Senate, Republicans and Democrats coming together. “We've been working on this for years, but now is the time to act. “At yesterday's hearing in the House, members on both sides of the aisle expressed so much encouragement for a draft proposal, a national privacy standard, that we will be able to put into place to protect all Americans online, but especially our children. “Many members have been involved in efforts through the years but the time to act is now and we've reached an agreement on a draft bill that we plan to keep moving through this process. “As the Chair of the Committee, we had the hearing, now we're going to start working through actually introducing the bill, as well as the kids’ online safety bills, and moving them through the legislative process to get them onto the Floor and ultimately the President's desk.”  

Tune in to the Innovation, Data, and Commerce Subcommittee Legislative Hearing on Proposals to Protect People Online Meet Ava Smithing.   A Nashville, Tennessee-native, she grew up playing volleyball, including at the Stevens Institute of Technology where she earned her Bachelor’s in Business Administration in 2023.  She’s now among those leading the charge to ensure that Americans—especially young people—can use social media platforms without being targeted or manipulated.   In her role as Director of Advocacy at the Young People’s Alliance, Ava is stepping up to confront a challenge that she and so many other young people face today: social media companies exploiting Americans’ mental health.  Big Tech platforms collected and then weaponized Ava’s data—like her age, location, and gender—against her. According to Ava, “they used my data to infer what other types of ads and content I might ‘like,’ leading me down a pipeline from bikini ads, to exercise videos, to dieting tips, and finally to eating disorder content.”  By monitoring her post engagements and what she spent time viewing, social media companies could track Ava’s vulnerabilities. These platforms were able to drive her into a downward spiral that resulted in a threat to her well-being. In her case, watching one video for just a little too long encouraged the algorithm to funnel harmful content into Ava’s feed.  Ava says, “How was I—a 14-year-old child—supposed to understand that social media platforms would use my age, location, and gender to target me with advertisements designed to instill insecurity in me?”  Today, Ava is flipping the script. As an advocate, she is leading to promote kids’ safety online through a national data privacy standard so people can control their data and be protected from manipulative algorithms.  Last week, House Energy and Commerce Committee Chair Cathy McMorris Rodgers (R-WA) and Senate Commerce Committee Chair Maria Cantwell (D-WA) announced a comprehensive data privacy bill, the American Privacy Rights Act.    Support for establishing privacy rights has more momentum than ever, in no small part because people like Ava are speaking up about the consequences of companies’ unchecked power.  Among its protections, the American Privacy Rights Act will establish the ability for users opt-out of targeted advertising. Ava said that if such an option existed when she first joined social media, she may never have been put in harm’s way.  The bill also requires companies to review their algorithms to ensure they do not endanger children through malicious content suggestions. This will stop the downward spiral that exploits so many children online.  The Energy and Commerce Committee is holding a legislative hearing at 10:00 AM today to consider proposals to protect kids online and advance strong comprehensive data privacy protections. Ava Smithing will highlight why these proposals are critical for Americans who want to use the internet without being targeted and manipulated by the sites they visit. Be sure to tune in! 

Washington D.C. — House Energy and Commerce Innovation, Data, and Commerce Subcommittee Chair Gus Bilirakis (R-FL) delivered the following opening remarks at today’s subcommittee  hearing  titled “Legislative Solutions to Protect Kids Online and Ensure Americans’ Data Privacy Rights.” "First, I want to welcome our new Subcommittee members, Representatives Obernolte and James. With business acumen and technical expertise, these esteemed members will bring new ideas to the Subcommittee. I’m looking forward to working with you both. "During the 118th Congress, our Subcommittee held multiple hearings to examine the need for a federal data privacy and security law.   "Those hearings illustrated the need to provide certainty for Americans to know their rights online, and for businesses to know their obligations on a consistent basis throughout the country.  "It will also help cement America’s global leadership and ensure we remain competitive in this evolving landscape." HISTORIC LEGISLATION "This bipartisan work has culminated with this discussion draft, the American Privacy Rights Act, which is a comprehensive privacy and data security standard. "This bipartisan, bicameral bill gives Americans the right to control their personal information, including how and where itis being used, collected, and stored.  "This legislation establishes one national standard. It preempts the patchwork of state laws so when consumers and businesses cross state lines there are consistent rights, protections, and obligations.  "The discussion draft creates requirements for companies contributing to the data ecosystem while protecting small businesses trying to provide for their customers. "The bill also directs strong data security standards that minimize and protect against data being used by bad actors, and provides Americans notice if their data is being transferred to a foreign adversary, like China, and allows consumers the choice to opt-out." ADDITIONAL SOLUTIONS "We are also discussing proposals that require age verification for certain websites and social media companies, streamline terms of service labeling, and allow third party software providers to make social networks safer.  "There are also two bills that received significant attention in the Senate: Rep. Walberg’s Children and Teens’ Online Privacy Protection Act, or COPPA 2.0, and my bill the Kids Online Safety Act, or KOSA. "I am proud to collaborate on these kids’ privacy and online safety measures with our Subcommittee Vice-Chair Rep. Walberg, and I thank him for his longstanding leadership in this space. "I’m also grateful to work with my fellow Floridian and colleague, Rep. Castor, on a bipartisan basis on these bills. I’m looking forward to continuing to work towards passage of these critical safety measures.  "We know that Big Tech has failed to prioritize the health and safety of our children online, resulting in a significant increase in mental health conditions, suicide, and drug overdose deaths. "It is time for Big Tech to be held accountable for facilitating this activity and manipulating our kids to keep them addicted to their screens for longer than ever before. "I am glad to have Ava Smithing from the Young People’s Alliance here to share her personal story about the harms she experienced as a young woman related to social media. Ava, thank you for being here.  "I’m also looking forward to hearing from Kara Frederick, who can share her experience as a team lead for Facebook. She understands how these companies operate and how to curtail the harms of their products.  "In closing, I want to thank the witnesses for their testimony, and I want to thank Chair Rodgers for her historic bipartisan proposal. Let’s get this done together for the sake of all Americans, and especially our kids."

Washington D.C. — House Energy and Commerce Health Subcommittee Chair Brett Guthrie (R-KY) delivered the following opening remarks at today’s hearing titled “Fiscal Year 2025 Department of Health and Human Services Budget.”  “Thank you, Mr. Secretary, for being here before us. Today we are here to examine the Fiscal Year 2025 budget request for the U.S. Department of Health and Human Services.” BIDEN’S RECKLESS SPENDING IS HURTING EVERYDAY AMERICANS “Just last week, the monthly inflation data showed that year-over-year inflation increased by 3.5 percent in March. Instead of including policies to help everyday Americans, HHS’ budget request doubles down on the tax-and-spend policies that have cut Americans paychecks. “The budget request totals nearly $1.85 trillion, an over $100 billion increase over last year’s request. “Today we will hear the Secretary talk about why the budget doesn’t not lower health care costs and spends trillions in new dollars. This misses the mark. “The budget does little to address the costs of care for the average family of four with employer-sponsored insurance paid almost $24,000 in annual premiums in 2023, which represents a 22 percent increase in the average annual premium a family paid in 2018. “Just because someone has a health insurance does not mean they can afford health care.” MEDICARE PRICES ARE ON THE RISE THANKS TO THE BIDEN ADMINISTRATION “Further, according to the Kaiser Family Foundation, changes made by the mis-named Inflation Reduction Act will lead to 'substantially higher' premiums for seniors enrolled in a Medicare Part D drug plan next year. “This year seniors are paying an average of 21 percent more in Part D premiums with seniors in the five states seeing the highest levels of Part D use projected to pay upwards of 57 percent more in monthly premiums in 2024, including in California. “Those costs are likely to skyrocket even higher in 2025. Evidence suggests that these price controls are also leading to less research and development in critical research areas, undermining patient access to life-saving therapies. “Instead of working with House Republicans to find ways to ensure working class families can access the care they need at a price they can afford, the administration’s budget request doubles-down on more handouts for the wealthy by permanently expanding ACA insurance company subsidies and drug price controls, which would be paid for by raising taxes.” BURDENSOME OVERSIGHT AND REGULATION IS HURTING THE HEALTH CARE INDUSTRY “Additionally, this budget request furthers previous actions from the administration to impose burdensome and unnecessary oversight over nursing facilities and long-term care providers. “While I agree we ought to do as much as we possibly can to protect patient safety, this top-down approach will only place more strain on an already overrun part of our health care sector and reduce access to care for vulnerable patients. “These new proposals come on top of pending regulations that would establish minimum staffing standards for long-term care facilities, costing Kentucky long-term care facilities $69 million annually just to come into compliance. “Regulations like these are being considered despite more than 500 nursing home closures across the country since 2020, as well as the industry significantly experiencing unprecedented workforce shortages.” SECRETARY BECERRA HAS REFUSED TO ADDRESS THE INFLUX OF DEADLY DRUGS AT OUR SOUTHERN BORDER “I am disappointed that the budget request does nothing to address the influx of illicit drugs, like fentanyl, coming across our border at a rapid rate. “In fact, the budget only mentions fentanyl once in a footnote despite Customs and Border Protection seizing nearly 10,000 pounds of deadly fentanyl at our Southwest Border in the first 6 months of Fiscal Year 2024. “We have policies that passed out of this very committee that I am disappointed were not included in this year’s budget request, such as the HALT Fentanyl Act and the Securing the Border for Public Health Act. “Both of these bills would give law enforcement, including our brave border patrol agents, with the tools to crack down on drug traffickers and keep these drugs off our streets. “I’m glad to see the HHS budget request $6 million for the Comprehensive Opioid Recovery Centers program, which I led in establishing in 2018. These recovery centers provide wrap around services for individuals seeking help to overcome substance use disorder.   “This was included in the SUPPORT Act Reauthorization, which just passed the House with a broad bipartisan vote. I look forward to working with the Senate to get the SUPPORT Act signed into law. “In closing, I believe it’s time for commonsense solutions to solve some of the most serious programs effecting American patients, especially the high costs of health care. “I urge the Biden administration to work with Congress to find bipartisan policies that can truly lower the costs of care, eliminate ineffective programming, reduce federal spending, and provide more choices for American patients by incentivizing, not stifling, innovation.”

Washington D.C. — House Energy and Commerce Committee Chair Cathy McMorris Rodgers (R-WA) delivered the following opening remarks at today’s Health Subcommittee hearing titled “Fiscal Year 2025 Department of Health and Human Services Budget.”  “I wish I could say this hearing is an exciting opportunity to learn more about President Biden and Secretary Becerra’s vision for how we can all work together to plow the hard ground necessary to improve the lives of the American people by addressing major issues such as the fentanyl crisis and rising health care costs. “I wish this budget contained bold, new ideas from the HHS Secretary on how to lower health care costs or at least prioritized implementation and enforcement of existing initiatives to lower health care costs. “Instead, what we have before us today, is a budget request that proposes more than $1.8 trillion in spending for fiscal year 2025 with misplaced priorities throughout. “It prioritizes spending $.25 trillion to large health insurance companies to subsidize insurance premiums rather than innovative proposals to lower the actual cost of health care. “It favors the pursuit of far-left priorities over implementation and enforcement of bipartisan health care laws, and it signals to the American people who are struggling under the weight of an overly expensive and complicated health care system, that help is not on the way from this administration.” UNRESPONSIVENESS & MISPLACED PRIORITIES “Secretary Becerra, this is the third time you have testified on an HHS budget before the Energy and Commerce Committee, and you have already testified before the Senate Finance and House Ways and Means Committees this year. “If those are any indication, we will hear platitudes about lower drug prices, but nothing on what you have done to lower outrageous hospital bills and empower patients with the ability to know the price they will pay for care up front. “We will hear about what HHS is doing to address climate change, but not what HHS is doing to tackle the fentanyl crisis that is devastating communities and killing hundreds of Americans a day. “We will hear that ‘you’ll get back to us’—as we have seemingly countless times in the past—on questions of critical importance to the American people . “Secretary Becerra, I hope you prove me wrong.” OUTSTANDING INQUIRIES “Secretary Becerra, I’ll also raise a very disturbing lack of transparency from the NIH—a subagency under your purview—regarding sexual harassment at the agency and institutions it provides grants to—a very serious issue that this Committee has been investigating for almost three years. “At the direction of your department, Mr. Secretary, the NIH continues to obstruct the Committee and cover for individuals found to have committed sexual harassment or abuse at NIH-funded institutions, including many convicted of crimes. “You need to stop withholding critical information from this Committee, you need to stop protecting sexual abusers. The victims deserve full accountability and justice.” INFLATION IN HEALTHCARE “I’ll close with a somber reminder: rampant inflation is not behind us. “The latest reports showed that inflation remains persistently high, and it is compounding, making everyday expenses more and more difficult for American households. “Your failure to propose a responsible fiscal policy shows again how little this administration cares about inflation and the impact it has on everyday Americans. “You are quick to propose more reckless spending, without regard to how it will fuel the fire of increasing prices and then refuse to take any accountability for the harmful result. “I look forward to hearing from you on how you plan to address these concerns. I hope you prove my predictions wrong.”

Washington, D.C. — House Energy and Commerce Committee Chair Cathy McMorris Rodgers (R-WA), Subcommittee on Health Chair Brett Guthrie (R-KY), and Subcommittee on Oversight and Investigations Chair Morgan Griffith (R-VA), on behalf of the Health and Oversight Subcommittee Republicans, wrote to Department of Health and Human Services (HHS) Secretary Xavier Becerra.  The letter outlines concerns with the role HHS Office of Civil Rights (OCR) plays—or fails to play—in investigating instances of sexual harassment that occurs at research institutions which receive grants from the National Institutes of Health (NIH).  KEY EXCERPTS :  “There have been several public reports of sexual harassment occurring on NIH-funded research or NIH-supported activities over the last decade, and it raises concerns about what, if any, actions the NIH has taken to resolve these issues. The NIH’s own statistics show a significant problem with more than 300 cases related to sexual or gender harassment since 2018—with about a third of those allegations being substantiated. This also represents hundreds of men and women who may be forced to operate in a hostile or unsafe research environment.”  [...]  “According to the HHS website, OCR does investigate and resolve complaints of sexual harassment in the education and health programs of recipients of grants or other federal financial assistance from HHS—including the NIH. Moreover, HHS OCR is required to conduct periodic compliance reviews of institutional Title IX programs to ensure compliance with the law—including examining the way in which complaints are handled by the institution.”  The Chairs have requested answers to questions about HHS OCR’s role by April 30, 2024.  BACKGROUND :  Based on a recommendation from the U.S. Government Accountability Office (GAO), HHS OCR and the NIH adopted a memorandum of understanding (MOU) to facilitate communication between the two components of HHS as it relates to sexual harassment.   This MOU was intended to clarify procedures on how the enforcement arm of HHS and the grant-making arm share valuable information with one another in an effort to respond appropriately to complaints of sexual harassment and prevent federal grant money from going to those with a history of sexual misconduct.   TIMELINE OF INVESTIGATION :  August 10, 2021 : E&C Republican Leaders Question NIH’s Handling of Sexual Harassment Complaints  August 11, 2022 : E&C Republican Leaders follow up with NIH on Insufficient Response to its Letter on the NIH’s handling of Sexual Harassment  November 30, 2022 : E&C Republicans to NIH: Turn Over Previously Requested Information Ahead of New Congress  March 14, 2023 : E&C Republicans Press NIH for Information on Handling of Sexual Harassment Complaints  October 6, 2023 : E&C Republicans Signal Intent to Issue Subpoenas to Obtain Information on NIH’s Handling of Sexual Harassment if Questions Go Unanswered  January 26, 2024 : Chair Rogers notifies NIH of Imminent Subpoena  February 5, 2024 : Chair Rodgers Subpoenas NIH for Documents Related to Investigation into Sexual Harassment at NIH and NIH Grantee Institutions February 20, 2024: HHS Responds on behalf of NIH to offer a rolling in camera document review to the Committee. Documents produced in the review have been highly redacted, including the redaction of the names of individuals convicted of criminal offenses, public news articles about individuals who have been found guilty of harassment, and redaction of the names of the institutions where the abuse occurred—effectively preventing the Committee from understanding if NIH continues to fund work performed by substantiated abusers at other institutions—a practice known as “pass the harasser.”

Washington D.C. — House Energy and Commerce Committee Chair Cathy McMorris Rodgers (R-WA) delivered the following opening remarks at today’s Innovation, Data, and Commerce Subcommittee hearing titled “Legislative Solutions to Protect Kids Online and Ensure Americans’ Data Privacy Rights.” “Right now, the average American spends nearly seven hours online a day, with two and a half hours of that time being spent on social media platforms. “The consequences range from increased suicide rates and depression, to increased polarization and loss of trust in our institutions. “All the while, these companies are collecting nearly every data point imaginable which they use to then control what we see and when we see it. “Many of these tools were created with good intentions to bring people together. “But over time they have strayed from their core mission in the interest of more control over our lives. “This isn’t the American dream. America was built on individual liberty and freedom, freedom of thought, expression, and speech.” REFLECTING BACK ON WHERE WE STARTED “Our founders fought for these freedoms because they were tired of living under the crushing weight of tyranny. “They were tired of being told how to think and how to live by a few elites who thought they knew best and who exploited others for their own power and wealth. “Fast forward to today, we find ourselves living in a similar, modern form of digital tyranny, where a handful of companies and bad actors are exploiting our personal information, monetizing it, and using it to manipulate how we think and act.” HOW WE GET BACK ON TRACK “Many companies are using their control over our data to erode people’s agency, their rights, and their identity. “It’s time for that status quo to change. “Today, we will be discussing several pieces of legislation, including the American Privacy Rights Act, to give people the RIGHT to control their personal information online and not have it used against them. “We’re putting people back in control of who they are, what they think, and how they live their lives. “This is especially necessary for our children. “As a mom of three school-aged children, Big Tech platforms are my biggest fear. “The algorithms developed by these companies are specifically designed to get kids addicted to their platforms, and they’ve been used to target children with content that leads to dangerous, life-threatening behaviors. “For me and my husband, as well as millions of parents across the country, this is a battle for our kids’ development, their mental health, and ultimately, their safety. “We must build a better future for our children. They are our future. THE AMERICAN PRIVACY RIGHTS ACT “The American Privacy Rights Act is foundational for protecting our kids online. “Working together with other important legislation, like the Kids Online Safety Act, the Children’s and Teen’s Online Privacy Protection Act, and other bills, which we’re also discussing today, these solutions will ensure the best protections to date for our children. “Today we find ourselves at a crossroads. “We can either continue down the path we’re on, letting companies and bad actors continue to collect troves of our data unchecked while they trample on core American values, like free expression, free speech, and identity, or we can give people the right to control their information online. “Congress has been trying to develop and pass comprehensive data privacy and security legislation for decades. “With the American Privacy Rights Act, we are at a unique moment in history where we finally have the opportunity to imagine the internet as a force for prosperity and good. “I’d like to thank Senator Cantwell for working with me on this landmark draft bill. “I would also like to thank Ranking Member Pallone, who has been a trusted partner over the years as we have worked together on privacy. “We would not be here today without his tireless efforts and leadership, and I look forward to continuing to work with him to strengthen privacy protections for Americans. “I’d also like to thank the members of this committee—Republicans and Democrats—many of whom have also been involved in these efforts over several congresses. “I look forward to continuing to work together to get this legislation through Congress and signed into law.”

Washington D.C. — House Energy and Commerce Committee Chair Cathy McMorris Rodgers (R-WA) delivered the following opening remarks at today’s Health Subcommittee hearing titled "Examining Health Sector Cybersecurity In The Wake Of The Change Healthcare Attack."   “Thank you to everyone for being here today as we discuss cybersecurity in health care and the recent Change Healthcare cyberattack.   “While I am disappointed that UnitedHealth Group chose not to make anyone available to testify today, so the Committee and the American people could hear directly from them about how that specific cyberattack occurred, I will note UnitedHealth briefed E&C members recently on the matter and have committed to testifying at a future hearing.  “Health care cybersecurity was already a concern before the Change attack, and I look forward to today’s discussion about what the federal government, doctors, hospitals, and others have done right and where there is opportunity to improve the resiliency of the health care sector.”  CHANGE CYBERATTACK   “The Change Healthcare cyberattack is just the most recent case of ransomware targeting our health care system, and, due to Change’s integration with so many of the health care providers and payers, it is still impacting providers and health care organizations across the country.   “I have heard concerns from providers, rural hospitals, and many others, all worried about what this cyberattack means for them.   “And just this morning, the Change Health hackers were posting stolen data from the ransomware attack.  “There are still many unanswered questions and lessons to be learned from this attack.   “How did this attack gain entry to the Change system?   “How can hospitals, doctors, and others best protect themselves?   “What other third parties do our nation’s health care providers rely upon that, if taken offline, could have a similarly negative impact on the U.S. health care system?”  HEALTH SYSTEM CONTEXT FOR CHANGE   “Health care infrastructure is crucial for patients receiving the care they need, and, sadly, this will likely not be the last breach or ransomware attack that will happen.   “Patient data is valuable, and it is housed online.   “That is why we must continue to examine health care cybersecurity and make sure that patient data remains protected.   “HHS has overall responsibility for ensuring cybersecurity within health care across the U.S. federal government, and the Administration for Strategic Preparedness and Response, or ASPR, has been designated as the ‘one-stop shop’ responsible for leading and coordinating the cybersecurity efforts—both within HHS and with external partners.  “However, there seems to be multiple offices and agencies that have some role in our cyber response.  “The Office of Civil Rights, the HHS Chief Information Officer, the Office of the National Coordinator, and, in this most recent response, CMS, all played a role.  “As our health care system becomes more consolidated, the impacts of cyberattacks—if successful—may be more widespread, pulling in even more agencies and offices within HHS.”  E&C CYBER WORK   “This Committee has led at examining cybersecurity across all sectors.   “In 2019, Congress made explicit that part of the responsibilities of ASPR is preparedness and response to cyber threats.   “In 2020, a bill led by Dr. Burgess, which passed through this Committee, encouraged health care organizations to adopt strong cybersecurity best-practices.   “Last Congress, this committee worked to give FDA more authority over cyber security of medical devices.  “And more recently, in the reauthorization of the Pandemic and All-Hazards Preparedness Act reported by this committee, we made it explicit that cybersecurity should be considered and prioritized as part of ASPR’s National Health Security Strategy, and the Energy and Commerce Committee will continue leading the way in examining this issue.   “I hope we can use this hearing today to learn more about the Change Healthcare cyberattack and the response.   “Is this a unique situation?   “What do providers and patients need to know and look out for?   “I don’t want this committee to be back here in five or 10 years, after more patients’ health care is disrupted by known criminal actors finding vulnerabilities in the cyber security of our health system.  “To prevent that, I look forward to hearing from our witnesses about:   “What can health care learn from other sectors?   “Are there more federal authorities HHS needs?   “What is the best balance to get better adoption of existing cybersecurity practices?  “I look forward to the discussion today and yield back.”

Washington D.C. — House Energy and Commerce Committee Chair Cathy McMorris Rodgers (R-WA) delivered the following opening remarks at today’s Oversight and Investigations Subcommittee hearing titled "Examining How Improper Payments Cost Taxpayers Billions and Weaken Medicare and Medicaid." “Today’s hearing gets to the heart of a dire concern: the fiscal health of this nation.   “Each dollar misappropriated, spent improperly, or diverted from its intended use, only further burdens our already staggering national debt.   “In the case of improper payments in Medicare and Medicaid, it also a threat to the long-term ability of these programs to provide quality care for our nation's vulnerable populations.  “For Medicare, especially, this cuts into the solvency of the program, which is currently slated to run out of money in 2031.”  ONGOING EFFORTS   “House Republicans have been raising the alarm on the need to address improper payments for years.   “This Committee has sent multiple letters to Inspector General Grimm’s office on issues, such as payments to deceased beneficiaries and those enrolled across multiple states.  “We’re probing options for how states might strengthen their systems for beneficiary verification and eligibility detection.”  SCOPE OF IMPROPER PAYMENTS   “It’s appalling to see the government’s disregard for taxpayer funds.   “Since 2005, the federal government has recorded a staggering $2.7 trillion in improper payments, a clear and unacceptable systemic failure.  “This mismanagement indicates not only a lack of internal control but also a severe deficiency in program integrity that undermines public trust in government.  “Federal-state cooperation is vital in health care delivery, and I hope our hearing today will inform ideas to strengthen that partnership.   “However, my frustration mounts with an administration that seems to prioritize spending sprees over meaningful stewardship of taxpayer’s hard-earned money.”  UNANSWERED BUDGET NEUTRALITY QUESTIONS   “For instance, the administration significantly altered the 'budget neutrality' policy within Medicaid's Section 1115 demonstrations.   “Despite these changes, they have not updated the guidance outlined in an August 2018 letter to State Medicaid Directors, which is still listed on the CMS website as the current policy.  “This letter originally set forth the rules for calculating budget neutrality in Medicaid demonstrations, ensuring that these initiatives do not result in increased federal spending.   “The failure to update this guidance leaves states and the public relying on outdated information, potentially leading to misunderstandings and misalignments with the actual fiscal policy being implemented.   “Budget neutrality ensures that any new health care initiative under these demonstrations won't cost the federal government more money than existing programs.   “These unexpected changes have profoundly changed policy frameworks that dictate the allocation of billions in taxpayer dollars.   “This approach to policy making, which implicates significant taxpayer funds, is concerning.   “I extend my gratitude to the Comptroller General for addressing this critical matter in his written statement, underlining the pressing need for transparency and fiscal responsibility in managing these significant policy shifts.  “Despite our Committee's efforts, most notably through an October 2023 inquiry to CMS, our questions have been met with a disappointing silence.   “This lack of communication is just another example of this administration's reluctance to engage in good faith with congressional oversight and uphold a standard of transparency that is critical for public trust and the responsible management of taxpayer dollars.   “We are at a crossroads where continued inaction is not just irresponsible, it threatens the future of these critical benefits.   “Today, we seek answers to shortcomings in transparency, accountability, and fiscal prudence.  “Today, not only will we continue to highlight these issues, we will talk about what we are doing to address them through robust oversight and smart policy solutions.”