Health Care Week in Review | HHS Announces New Healthcare Advisory Committee; Trump Administration Issues EO on DEI Practices in Federal Contracting

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9

Why it matters

HHS Healthcare Advisory Committee Announcement. On March 26, 2026, the U.S. Department of Health and Human Services (HHS) and Centers for Medicare & Medicaid Services (CMS) announced members of the new Healthcare Advisory Committee, a federal advisory body under the Public Health Service Act to provide non-binding recommendations on modernizing U.S. healthcare.[12][8][10] Key members include Bill Gassen (Sanford Health president/CEO and AHA chair-elect designate), Dennis Laraway (Cleveland Clinic CFO), and Dan Liljenquist (Intermountain Health chief strategy officer), selected from over 400 nominations for two-year terms with public meetings.[8][12][14] The committee advises HHS Secretary Robert F. Kennedy Jr. and CMS Administrator Dr. Mehmet Oz on priorities like chronic disease prevention, reducing regulatory burden, data interoperability, Medicaid quality improvements, and Medicare Advantage sustainability (e.g., risk adjustment updates).[12][10][3]

Trump Administration Executive Order on DEI. Simultaneously on March 26, 2026, President Trump signed Executive Order “Addressing DEI Discrimination by Federal Contractors,” mandating a clause in all federal contracts and subcontracts prohibiting “racially discriminatory DEI activities” to promote efficiency and curb waste passed to the government.[2][5][6] Federal agencies must implement via contract amendments by April 25, 2026 (30 days), with prime contractors required to update subcontracts immediately; enforcement includes contract termination, debarment, and prioritized False Claims Act (FCA) suits by the Attorney General.[2][4][5] Involved parties are federal contractors/subcontractors, Office of Management and Budget (OMB) for guidance, and Department of Justice (DOJ).[9][13]

Context and Newsworthiness. The advisory committee follows a nomination process started in 2025, aligning with the administration's push to shift from “sick care” to prevention-focused healthcare amid Medicare/Medicaid challenges.[12][8] The EO builds on prior actions, including a May 2025 DOJ memo using FCA against DEI in federal dealings and earlier anti-DEI orders, reflecting ongoing Trump policy to eliminate perceived discrimination.[2][4][6] Both developments, dated March 26-27, 2026, are newsworthy now due to immediate compliance deadlines (e.g., subcontract revisions), litigation risks for contractors, and their signal of intensified federal healthcare modernization and anti-DEI enforcement in contracting.[2][5][12]

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