Congress blocks Medicare cost-control rule; healthcare stocks rally
S.J.Res. 198 — A joint resolution providing for congressional disapproval under chapter 8 of title 5, United States Code, of the rule submitted by the Centers for Medicare & Medicaid Services of the Department of Health and Human Services relating to "Medicare Program; Implementation of Prior Authorization for Select Services for the Wasteful and Inappropriate Services Reduction (WISeR) Model". · Filed by Ron Wyden (D-OR) · 21 cosponsors · Introduced Jun 24, 2026 · Reported out
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What it does
This is a Congressional Review Act resolution that would block the Centers for Medicare & Medicaid Services from implementing a new rule requiring prior authorization (advance approval) for certain Medicare services deemed wasteful or inappropriate under the WISeR Model. If passed, the rule would be nullified and CMS could not reissue it without new congressional authorization.
Why we flagged it
This is a procedural CRA resolution under 5 U.S.C. § 802 that seeks to nullify an executive agency rule. It does exactly one thing: disapprove the WISeR prior authorization rule and prevent its enforcement.
What the text implies
- Blocking prior authorization may preserve higher Medicare spending on services CMS deemed wasteful, increasing program costs and taxpayer burden.
- The resolution protects pharmaceutical, medical device, and healthcare service providers from utilization controls that would reduce their service volume and revenue.
The full analysis lists 4 implications of this text.
Who stands to gain
pharmaceutical manufacturers; medical device companies; healthcare service providers