This will be a big month for appropriations watchers, and those of you who are watching telehealth and a proposed 340B overhaul could be busy too, Victoria and Peter report.

Why it matters: Tired of doomscrolling about the presidential race? Then relax with some nice, normal health care policy fights.

Appropriations

The appropriations process is set to be in full swing the rest of this month, starting with the full House Appropriations Committee markup of the Labor-HHS bill Wednesday.

• Expect that bill to keep the same poison pills that Democrats oppose, including a ban on federal funds being used for gender-affirming care and an elimination of funding for Title X family planning clinics.
• The GOP-crafted bill also includes changes aimed at streamlining centers at the NIH and implementing more congressional oversight over the agency.
• The Senate is also kickstarting its appropriations process this week (which is expected to be bipartisan), with the Appropriations Committee revealing its 302(b) allocations and marking up the Agriculture-FDA bill Thursday.

E&C telehealth bill

E&C was going to mark up telehealth legislation last month, but it got derailed because of an unrelated controversy over a data privacy bill.

• The full committee markup will likely be rescheduled for sometime this month.
• The telehealth bill itself has wide support, and the payfors are particularly interesting, as we wrote about last week. Be on guard, PBMs and hospitals!
• House Ways and Means already approved its version of telehealth in May, which is similar to E&C's.

Senate hospital cost debate

There is not likely to be much formal action in the Senate in the coming month on site-neutral policies or hospital transparency, but we will be watching for pressure to build up.

• The Senate Aging Committee will also hold a hearing Thursday on health care transparency.

340B legislation

The timeline for the Senate 340B working group to release its final version of the overhaul legislation keeps getting pushed back, but it possibly could come out this month.

• The big issue to watch is whether the bill addresses the definition of a "covered patient," which is crucial for both drugmakers and hospitals.
• The pharmaceutical industry has argued that the current definition for a 340B patient is too expansive, while providers say they're just following current law.

Treat and Reduce Obesity Act

Before the recess, Ways and Means overwhelmingly approved the Treat and Reduce Obesity Act out of the committee, with just a few Democrats opposed.

• Although the bill is a priority of retiring lawmaker Rep. Brad Wenstrup, the legislation would still need to be marked up by Energy and Commerce before it could reach the House floor.

1. Hearings watch: The Senate HELP Committee is holding a hearing on medical debt at 10am ET Thursday.

• And House Ways and Means is holding a field hearing on medical innovation in Salt Lake City at 10am MT (noon ET) Friday.

2. Biden's pitch: In his letter to congressional Democrats this morning, President Biden makes clear that his battle lines with former President Trump will focus on the Affordable Care Act, abortion, IVF and drug prices.

3. Psychiatric hospital trouble: Nonprofit hospital systems are launching joint ventures with for-profit companies to open psychiatric hospitals, and patients are being put at risk, STAT reports.

4. Chevron watch: A KFF issue brief explains what the Supreme Court ruling could mean for health care policy.

5. Ozempic study: A new study has found that people with type 2 diabetes who take weight-loss medications like Ozempic had a lower risk of obesity-related cancers than those who take insulin, Reuters reports.