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NDI Guidance III Roadmap to a Viable NDI Policy UNPA February 9, 2017 in Salt Lake City, UT

How the Trump Administration is Changing Washington, and What that Means for FDA Susan C. Winckler, RPh, Esq Chief Risk Management Officer

Our Agenda…  The Trump Administration: The First 20 Days  What It Means to FDA…  FDA and its Supervisors  FDA and its Peers  FDA and its Agenda

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The Trump Administration: The First 20 Days

Administrations in Transition Planning

Deliverable 1: First 200 Days Plan

Deliverable 4: Contingency Plans

Handoff (First 100 Days)

Agency Reviews

Implementation

200 Days Plan

Task Forces Key White House Staff

Deliverable 2: Presidential Appointments Deliverable 3: Presidential Budget

Transition

Cabinet Positions Key Sub-Cabinet &SES Positions Other Appointments OMB/Agency FY14 Budget Planning President’s Economic Plan

Presidential Budget

Readiness Budget Planning

Lame Duck Period

Scenario Planning

Black Swan Events

Deliverable 5:

President – Elect Transition Functions

Deliverable 6: Relationship with Congress ©2016 LEAVITT PARTNERS

PE Transition Function Project

PE Transition Organization

Legislative Affairs Project Presidential Outreach

President-Elect Outreach Initial Outreach

September 2016

October 2016

November 2016

December 2016

January 2017

February 2017

March 2017

April 2017

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By the Numbers…  28 Nominees Advanced    

Tom Price (Secretary, HHS) Seema Verma (Administrator, CMS) Mick Mulvaney (Director, OMB) David Shulkin (Secretary, VA Affairs)

 8 Confirmed by the Senate 

0 from the health-related positions above

 8 Executive Actions  12 Presidential Memoranda  Lots of tweets… ©2016 LEAVITT PARTNERS

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Two Actions Most Important to FDA Action

Date

Notes/Context

Executive Order 13771: Reducing Regulation and Controlling Regulatory Costs

January 30th

• For every one new regulation issued, at least two prior regulations be identified for elimination • Cost offsets required; must also be listed on Unified Regulatory Agenda • Impact: if applied at an Agency level, could create real challenges for FDA • Requires planning, careful financial analysis, “counting” • NDI Guidance a ‘saver’ or a ‘cost’?

Presidential Memorandum: Hiring Freeze

January 23rd

• Non-military Federal employee hiring frozen except for “public safety” positions • “Public safety” has traditionally included inspectors/consumer safety officers; Commissioned Corps also exempt • Can yield situation with less-than-optimal management • At least 1,000 open positions 7

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FDA and its New Supervisors…

FDA…HHS…White House  Within FDA, limited number of political appointees  Commissioner, some Deputies, formerly the Chief Counsel  More appointees in HHS  Secretary, Assistant Secretaries, Counselors…

 Most in White House  Political leadership sets agenda and tone    

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Policy Posture Priorities Generally does NOT include product decisions nor enforcement actions 9

FDA Organization Chart Women’s Health

Chief Scientist

Food & Veterinary Medicine

Resource Planning & Strategic Mgmt

Minority Health

Commissioner of Food & Drugs Stephen Ostroff, M.D. (acting)

Chief Counsel

Chief of Staff Thomas Kraus

Counselor to Commissioner

Medical Products and Tobacco

Operations

Global Regulatory Operations and Policy International Programs

Special Medical Programs Oncology Center of Excellence

Coordinated Outbreak Response & Eval.

Executive Secretariat External Affairs

Policy, Planning, Legislation, & Analysis (Vacant) Policy Leslie Kux

Equal Employment Opportunity

Finance, Budget, & Acquisitions

Human Resources

Facilities Engineering & Mission Support

Information Management & Technology

Safety, Security, & Crisis Mgmt

Planning Malcolm Bertoni Legislation (Vacant) Public Health Strategy & Analysis Peter Lurie

National Center for Toxicology Research

Center for Food Safety & Applied Nutrition

Center for Veterinary Medicine

Office of Regulatory Affairs

Cntr for Biologics Evaluation & Research

Center for Tobacco Products

Center for Drug Evaluation & Research

Center for Devices & Radiological Health

William Slikker

Susan Mayne

Steven Solomon

Melina Plaiser

Peter Marks

Mitchell Zeller

Janet Woodcock

Jeffrey Shuren

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New FDA Leadership?

 Nominee coming “soon”

 Expected to focus on streamlining drug/device approval  “We’re going to streamline FDA; we have a fantastic person.”

 Senate confirmation process follows...

 Frequently involves navigation of many issues on a variety of topics  Can create a “low-profile” preference  Safety issues don’t listen

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2017 Congressional Agenda (That Other FDA Supervisor…)

Congressional Agenda

Inauguration (Jan. 20)

Supreme Court Nomination (Jan. 31) Reconciliation for Possible ACA and Entitlement Reforms (Repeal and Replace?) (Feb-April)

Jan. 2017

Expiring Policies

UFAs (March-Sept.)

Cabinet Nominations (Jan/Feb.)

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Feb. 2017

FY18 Congressional Budget and Reconciliation Instructions (April)

March 2017

Tax Reconciliation Vehicle (April-Oct.)

FY18 Appropriations Bills (April-Sept.)

FY18 POTUS Budget (April)

April 2017

May 2017

June 2017

July 2017 Aug. 2017 September 2017 FY 17 Appropriations Expire Sept.

Debt Ceiling Reached (Can be extended with extraordinary measures) (March)

Continuing Resolution Expiration (April 28)

UFA Pink slips sent (July)

CHIP Expires Sept.

UFAs Expire Sept.

Oct. – Dec. 2017

Medicare, Medicaid, Public Health Extenders Expire Sept.12or Dec.

FDA and its Peers…

FDA…CMS…NIH  Within ‘OpDivs’, limited number of political appointees  Typically top leader and deputies

 Most peer interaction is at political or top leadership level

 Peer interaction will wait; top priority for new politicals is getting their own house in order

 Dynamic may change if EO 13771 (2-for-1) applied at a Departmental level  Who has ‘cost savers’?

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The FDA Agenda… Or at least what they think it will be.

Emerging User Fee Agreements: The UFAs. Reauthorization Due 9/30/17

PDUFA VI (Prescription Drugs)

MDUFA IV (Medical Devices) ©2016 LEAVITT PARTNERS

GDUFA II (Generic Drugs)

BsUFA II (Biosimilars) 16

Much on the horizon…

• Posture of FDA/Industry Interaction

• Supported? Discouraged? Just scrutinized?

• Commercial Speech and recent court cases • Foundation of food and drug law

• Interest in Food Safety? • Where Does Dietary Supplement Policy Fit? • Inspections Continue, Enforcement Action Continues • Safety • Contamination with drugs

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