AMCP Comment Letter on Draft CY 2026 Part D Redesign Program Instructions

On Saturday, October 11, Governor Gavin Newsom signed SB 41, a bill that limits certain business practices employed by pharmacy benefit managers (PBMs) in California. This bill follows previous attempts by the governor to regulate PBMs, including changes implemented in the budget that require PBMs to obtain a license, submit detailed operational and financial statements annually to the Department of Managed Health Care, and act in the best interests of health plans and covered individuals.

Under the current Continuing Resolution passed on March 15, government funding will expire at 12:01 AM ET on the morning of Oct. 1. A Continuing Resolution (CR) extends government funding at existing levels in lieu of passage of a regular appropriations bill—occasionally with minor fiscal changes or additional policy “rider” amendments included—for a predetermined amount of time. Unless Congress reaches a deal on an additional funding package, federal government activities and operations deemed “nonessential” will temporarily cease, while “essential” functions and mandatory spending such as Social Security and Medicare payments will continue under contingency plans determined by federal agencies and the Office of Management and Budget (OMB). Since 1980, there have been 14 government shutdowns, with the longest and most recent shutdown to date occurring from Dec. 22, 2018 – Jan. 25, 2019 under the first Trump administration.

Last month, the Department of Health and Human Services (HHS) abruptly announced the firing of former CDC Director Dr. Susan Monarez, which was followed by the resignation of several CDC officials including former CDC Chief Medical Office Dr. Debra Houry.