• California: According to a new KFF analysis, Medicare Advantage (MA) plans are expected to receive at least $13.4 billion in Medicare quality bonus payments for 2026. The total quality bonus payments for 2026 are a slight increase from the $12.7 billion paid out in 2025. However, researchers noted that they are more than four times greater than the $3 billion paid out in 2015, showing a rapid increase in spending over the last 10 years. Currently, around two-thirds of enrollees are in MA plans that qualify for a bonus payment, a decrease from 75% in 2025. The quality bonus payments are linked to CMS' annual Star Ratings program, with contracts earning four or more stars receiving bonus payments. Over the years, critics have called for either changing or ending the program. Previously, the Congressional Budget Office in 2018 estimated that eliminating quality bonus payments could save the federal government almost $100 billion over a decade — a figure KFF researchers say has likely grown due to more people enrolling in MA plans. Earlier this year, CMS finalized changes to the Star Ratings, which will go into effect in 2027, but they are unlikely to decrease spending. Instead, KFF researchers said the changes will likely increase MA spending by $18.6 billion over the next decade. (Minemyer, Fierce Healthcare, 7/6)
• Colorado: Last month, FDA announced that it would allow Colorado to import certain prescription drugs from Canada as part of efforts to reduce prices for the state's residents. It is the second U.S. state after Florida to be granted such authorization. However, state importation programs have been extremely difficult to implement, in part due to pushback from both the Canadian and U.S. pharmaceutical industries. Although Florida was granted approval to import drugs from Canada in 2024, it has not imported any drugs since then. Currently, Colorado is aiming to import 20 brand-name drugs from Canada, but what it receives will largely depend on negotiations with Canadian manufacturers. The state also plans to submit importation requests for individual drugs to FDA. "Critical to this next step is gaining manufacturer partners," said Marc Williams, spokesperson for Colorado's Department of Health Care Policy & Financing. "We look forward to working with innovative companies who want to help Coloradans save money on their prescription drugs in the coming months." Other states that have applied to import drugs include Maine, New Hampshire, and New Mexico. (Lawrence/Silverman, STAT+ [subscription required], 6/15)
• District of Columbia/New York: Planned Parenthood, as well as two smaller regional abortion providers, was able to resume billing Medicaid for services other than abortion after almost a year of being restricted. The defunding was originally mandated as part of the One Big Beautiful Bill Act, which was signed into law last year. According to Planned Parenthood, the restrictions on Medicaid funding led to almost 30 of its roughly 600 affiliate clinics shutting down over the last year. Affiliates also dispensed 25% fewer packs of birth control pills and conducted roughly 20% fewer breast cancer exams than the year before. Although some services will be returning with the renewed funding, others will not, and clinics that closed will likely remain closed. "When you close something down and you lose positions, it's very difficult to bring that back and build it back up again," said Evelyn Kieltyka, SVP of program services at Maine Family Planning, which had to close three primary care clinics due to the Medicaid funding restrictions. (Mulvihill, The Hill, 7/6)

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