Tag: regulatory

  • Assoc of American Med Schools chief says medical research needs ‘regulatory relief’

    Assoc of American Med Schools chief says medical research needs ‘regulatory relief’

    While the debate over President Donald Trump’s cuts to facilities and administrative costs associated with federally funded research grants rages on, one expert in the field of medicine says he sees a clear way forward. 

    Dr. David Skorton, president and CEO of the Association of American Medical Colleges, has had a wide-ranging career spanning government, higher education and medicine. He now runs a national association that oversees all Medical Doctorate-granting schools in the country, and about 500 academic health systems teaching hospitals. Skorton told Fox News Digital that while he does not agree with Trump’s blanket cuts, the current status quo needs changing. He cited over-regulation as a reason why facilities and administrative costs have gotten so “wildly expensive.” 

    TRUMP NOMINEES DEBUT NEW SCIENTIFIC JOURNAL AIMED AT SPURRING SCIENTIFIC DISCOURSE, INCREASING TRANSPARENCY 

    He also said that transparency from research institutions could help create better awareness of how taxpayer dollars are being used to support those institutions that have become the bane of critics who say they are stockpiling taxpayer dollars for their own benefit. 

    Dr. David Skorton, president and CEO of the Association of American Medical Colleges, which represents all the MD-granting accredited medical schools in the country, and about 500 academic health systems teaching hospitals. (Fox News)

    “In some cases, more than one agency will develop regulations, and the researchers have to answer to all of those different agency regulations. We should be able to harmonize those things and come out with a more thoughtful approach to reducing some of the regulatory burden,” Skorton said. He added that, in turn, researchers will be able to spend more time doing what they do best, research, which in the long run will mean greater results for the public.   

    “It would also mean that the costs would go down because the additional personnel, the additional things that are necessary to keep track of things for these regulations, that would also go down,” Skorton pointed out.

    JUDGE BLOCKS TRUMP ORDER LIMITING ‘INDIRECT’ NIH RESEARCH COSTS AFTER PUBLIC OUTCRY

    Skorton said that the impact of reducing over-regulation will be two-fold: it will improve the current research environment and show that there is room for collaboration to reduce overhead costs while not threatening new research. In particular, he pointed to research involving human or animal subjects, which Skorton said is often riddled with regulatory requirements that, while important, could be streamlined.  

    The National Institutes of Health is facing a shakeup with the new administration, worrying some about how it may impact critical aspects of public health.

    The National Institutes of Health is facing a shakeup with the new administration, worrying some about how it may impact critical aspects of public health. (Fox News)

    Skorton added that the AAMC was “very hungry” to work with the administration on improving this framework, noting that “we’re not here to claim that the status quo is perfect, and we want to defend it, but the idea of very quickly knocking down the facilities and administrative costs to what felt like an arbitrary number to many of us, 15%, will cause research to be reduced.”

    The AAMC president said there is an onus on research institutions as well to better educate folks about where their taxpayer dollars are going when they are utilized by federally funded research programs.

    JUDGE ORDERS TEMPORARY REVERSAL OF TRUMP ADMIN’S FREEZE ON FOREIGN AID

    “For every dollar that we get at universities, medical schools, et cetera, for research from the NIH or some other science agency, for every dollar another half dollar, roughly, is contributed by the institution,” Skorton pointed out. “That’s something that maybe people don’t realize, and why would they, because we have to be more clear in making that visible, that we already contribute a lot to the research.”

    Medical research

    In fiscal year 2023, the NIH spent around $35 billion across roughly 50,000 grants that went to research institutions, such as universities and hospitals. Of that $35 billion, according to the Trump administration, $9 billion was allocated for “indirect costs” that cover expenses related to depreciation on buildings, equipment, capital improvements, interest on debt associated with certain buildings, and operations and maintenance expenses. (iStock)

    Fox News Digital spoke to medical experts who have supported Trump’s blanket cut to administrative and facilities costs, and they argue that reducing this price burden on the federal government will increase the availability of new research grants, while getting rid of financial bloat that universities have been able to take advantage of at the taxpayers’ expense.

    One of the doctors who shared their thoughts, Dr. Erika Schwartz, echoed calls for reform to the current structure, similar to Skorton.  

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    “While infrastructure support is necessary, there’s room for more efficient cost management. A reformed funding model could redirect more resources to direct research activities while maintaining essential support services,” Schwartz said. “This could potentially increase the number of funded research projects and accelerate medical breakthroughs, ultimately benefiting patients more directly.”

  • House committee holding hearing on regulatory policy’s impact on LA fires

    House committee holding hearing on regulatory policy’s impact on LA fires

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    A subcommittee of the U.S. House of Representatives will hold a hearing on Thursday on how regulatory policy impacts the prevention of natural disasters, with a focus on the deadly wildfires that ravaged Southern California last month.

    The GOP-led House Judiciary Subcommittee on the Administrative State, Regulatory Reform and Antitrust will kick off the hearing, titled “California Fires and the Consequences of Overregulation,” at 10 a.m. on Thursday.

    Not only will the hearing examine how regulatory policy in the Golden State has affected the prevention of natural disasters, specifically wildfires, it will also address how “excessive regulation” on insurance and permitting slows down recovery.

    Days after the fires began, California Gov. Gavin Newsom suspended regulations related to rebuilding, waiving permitting requirements based on the California Coastal Act and the California Environmental Quality Act to allow for a quicker rebuilding process.

    CALIFORNIA GOV. NEWSOM TO SEEK MORE FEDERAL FUNDS FOR LA FIRE RECOVERY DURING DC MEETING WITH TRUMP

    Firefighters work from a deck as the Palisades Fire burns a beachfront property in Malibu, California, Jan. 8, 2025.  (AP Photo/Etienne Laurent)

    In the wake of the fires, a March 2024 announcement from California’s largest private insurer, State Farm, stating that it was discontinuing coverage for 72,000 home and apartment policies resurfaced, generating backlash and questions surrounding the accessibility of insurance in that area specifically.

    The insurer said a letter sent to the California Department of Insurance (CDI) shortly after that announcement was an “alarm signaling the grave need for rapid and transformational action.”

    Now, State Farm is asking the CDI to “immediately approve” a 22% rate increase for non-tenant homeowners, a 15% increase for renters and condo owners, and 38% for rental dwellings.

    la wildfires

    Smoke from the Palisades Fire rises over residences in Mandeville Canyon Saturday, Jan. 11, 2025, in Los Angeles. (AP Photo/Jae C. Hong)

    ESSENTIAL PHONE NUMBERS FOR LOS ANGELES-AREA RESIDENTS AND HOW YOU CAN HELP THEM

    The increased rates are to help “avert a dire situation,” State Farm said, and would go into effect on May 1, 2025.

    “As of February 1st, State Farm General (Fire only) has received more than 8,700 claims and has already paid more than $1 billion to customers,” the insurer wrote in a release on its website. “State Farm General will ultimately pay out significantly more, as collectively these fires will be the costliest disasters in the history of State Farm General.”

    la wildfires

    An aerial photo shows multiple charred homes after the Eaton Fire in Altadena, California, on Jan. 30, 2025. (AP Photo/Jae C. Hong)

    KELSEY GRAMMER SAYS CALIFORNIA LAWMAKERS ‘TOOK THEIR EYE OFF THE BALL’ IN WILDFIRES CATASTROPHE

    The hearing comes a day after Newsom traveled to Washington, D.C., to meet with President Donald Trump and Congressional members in efforts to secure more federal funding for wildfire recovery. 

    The Secretary of the California Natural Resources Agency, Wade Crowfoot, who oversees water and fire policy across the state, also attended the meeting.

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    Witnesses at the hearing include Steve Hilton, founder of Golden Together; Steven Greenhut, R Street Institute resident senior fellow and western region director; and Edward Ring, who oversees Water and Energy Policy at the California Policy Center.

    Fox Business’ Rachel Wolf contributed to this report.

  • SEC launches crypto task force to create regulatory clarity

    SEC launches crypto task force to create regulatory clarity

    The relationship between Wall Street’s top cop and the U.S. cryptocurrency industry is on the mend following more than four years of friction.

    On Tuesday, the Securities and Exchange Commission announced it is spearheading efforts to establish a regulatory framework for digital assets with the creation of a new crypto task force.

    The initiative, which will be led by Republican commissioner Hester Peirce, was acting chair Mark Uyeda’s first official action following his appointment to the position by President Trump on Monday. Uyeda, a Republican commissioner, will serve in the role until Paul Atkins, Trump’s permanent pick to lead the agency, is confirmed by the Senate.

    FOX Business was first to report in November that the task force was a possibility and that Peirce, often referred to as “Crypto Mom,” had expressed interest in leading such a group.

    PRESIDENT TRUMP APPOINTS MARK UYEDA ACTING SEC CHAIR

    SEC Commissioner Mark Uyeda speaks during the 2024 Financial Markets Quality Conference at Georgetown University in Washington, D.C., on Sept. 17, 2024. (Al Drago/Bloomberg via Getty Images / Getty Images)

    As FOX Business previously reported, the task force will work closely with industry players to create an open dialogue that will allow for a friendlier regulatory environment. 

    Tuesday’s announcement stated the task force will focus on helping the commission draw clear regulatory lines, provide realistic paths to registration, craft sensible disclosure frameworks, and deploy enforcement resources judiciously. It will also coordinate with other federal agencies, including the Commodity Futures Trading Commission, which is poised to take on a larger role in crypto regulation.

    The SEC, under the leadership of Biden’s chair Gary Gensler, brought more than 100 legal actions against crypto players over the last four years as the commission has attempted to bring the sector into compliance using enforcement. Many of the lawsuits were brought over credible allegations of fraud and manipulation, but others centered around companies failing to register their sales of digital assets as securities.

    Industry participants have long complained that the decentralized nature of cryptocurrencies and the blockchain technology they run on disqualifies them from being regulated like traditional securities, i.e. stocks and bonds. They have frequently called on regulators and Congress to develop a new regulatory framework specific to digital assets. 

    Gensler, however, believed traditional securities laws were enough to properly regulate the industry and that most digital assets aside from bitcoin are securities, suing companies that challenged this view by refusing to register with the commission.

    PRESIDENT TRUMP LAUNCHES OWN CRYPTOCURRENCY MEME COIN AHEAD OF INAUGURATION

    SEC Chairman Gary Gensler participates in a meeting of the Financial Stability Oversight Council at the U.S. Treasury on July 28, 2023 in Washington, DC. The council met to deliver an update on the Council’s Climate-related Financial Risk Committee and spoke on the transition from LIBOR. (Photo by Kevin Dietsch/Getty Images)

    SEC Chairman Gary Gensler participates in a meeting of the Financial Stability Oversight Council at the U.S. Treasury on July 28, 2023 in Washington, DC. The council met to deliver an update on the Council’s Climate-related Financial Risk Committee a (Kevin Dietsch/Getty Images / Getty Images)

    President Trump has promised a lighter regulatory touch that will benefit developing industries like artificial intelligence and crypto. Since his election on November 5, he’s appointed a handful of industry advocates to key leadership positions at the Treasury, SEC and CFTC, and named venture capitalist David Sacks the first ever crypto and AI ‘czar’.

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    Peirce and the crypto task force are already welcoming input on regulation from the public via email and will hold roundtables with industry participants in the future.

    “This undertaking will take time, patience, and much hard work…,” Peirce said in a press release announcing the initiative. “We look forward to working hand-in-hand with the public to foster a regulatory environment that protects investors, facilitates capital formation, fosters market integrity, and supports innovation.”