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Saturday, January 18, 2020

Backlash on Meat Diet Recommendations Begs Question of Scientist-Industry Ties

It’s almost unheard of for medical journals to get blowback for studies before the data are published. But that’s what happened to the Annals of Internal Medicine last fall as editors were about to post several studies showing that the evidence linking red meat consumption with cardiovascular disease and cancer is too weak to recommend that adults eat less of it.
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Annals Editor-in-Chief Christine Laine, MD, MPH, saw her inbox flooded with roughly 2000 emails—most bore the same message, apparently generated by a bot—in a half hour. Laine’s inbox had to be shut down, she said. Not only was the volume unprecedented in her decade at the helm of the respected journal, the tone of the emails was particularly caustic.
“We’ve published a lot on firearm injury prevention,” Laine said. “The response from the NRA (National Rifle Association) was less vitriolic than the response from the True Health Initiative.”
The True Health Initiative (THI) is a nonprofit founded and headed by David Katz, MD. The group’s website describes its work as “fighting fake facts and combating false doubts to create a world free of preventable diseases, using the time-honored, evidence-based, fundamentals of lifestyle and medicine.” Walter Willett, MD, DrPH, and Frank Hu, MD, PhD, Harvard nutrition researchers who are among the top names in their field, serve on the THI council of directors.
Katz, Willett, and Hu took the rare step of contacting Laine about retracting the studies prior to their publication, she recalled in an interview with JAMA. Perhaps that’s not surprising. “Some of the researchers have built their careers on nutrition epidemiology,” Laine said. “I can understand it’s upsetting when the limitations of your work are uncovered and discussed in the open.”
Subsequent news coverage criticized the methodology used in the meat papers and raised the specter that some of the authors had financial ties to the beef industry, representing previously undisclosed conflicts of interest.
But what has for the most part been overlooked is that Katz and THI and many of its council members have numerous industry ties themselves. The difference is that their ties are primarily with companies and organizations that stand to profit if people eat less red meat and a more plant-based diet. Unlike the beef industry, these entities are surrounded by an aura of health and wellness, although that isn’t necessarily evidence-based.
State of the Science
The Annals published 5 systematic reviews—4 that included results from randomized clinical trials (RCTs) and observational studies examining the relationship between red meat and health, and a fifth that looked at health-related values and preferences about eating meat. Based on the reviews, the authors produced a guideline that concluded adults needn’t change their meat-eating habits.
In an accompanying editorial, coauthors Aaron Carroll, MD, and Tiffany Doherty, PhD, wrote that the guideline “is sure to be controversial, but it is based on the most comprehensive review of the evidence to date.”
Carroll, a regular JAMA contributor who directs the Indiana University School of Medicine’s Center for Pediatric and Adolescent Comparative Effectiveness Research, also wrote in the New York Times about the difficulties involved in conducting high-quality nutrition research.
“Even observational trials are hard to do well,” Carroll wrote. In the short-term, it’s difficult to find big differences in death and disease rates, even in large groups of people, he noted. “But quantifying what people are eating over long periods is challenging, too, because people don’t remember.”
The guideline’s lead author, Bradley Johnston, PhD, is a cofounder and director of NutriRECS, an independent group that says it uses its members’ expertise in clinical issues, nutrition, public health, and evidence-based medicine to produce nutritional guidelines that aren’t hampered by conflicts of interest. Besides systematic reviews about the relationship between dietary patterns, food, and nutrients and health outcomes, NutriRECS said it considers patient and community values, attitudes, and preferences in its guideline recommendations.
In the Annals papers, NutriRECS members and their coauthors wrote that they sought to bring scientific rigor to current meat intake guidelines based mostly on observational studies that don’t establish cause-and-effect relationships.
Johnston, an associate professor with Texas A&M University’s nutrition and food science department, and his coauthors used the GRADE (Grading of Recommendations, Assessment, Development, and Evaluations) approach to assess the quality of evidence upon which they based their guideline. The GRADE framework considers evidence from randomized controlled trials (RCTs) to be of the highest quality and observational data to be of lower quality because of residual confounding. A panel of 14 individuals from 7 countries voted on the final guideline recommendations, and 3 dissented.
The authors, who noted that their recommendations were “weak” and based on low-certainty evidence, found no statistically significant link between meat consumption and risk of heart disease, diabetes, or cancer in a dozen RCTs that had enrolled about 54 000 participants. They did find a very small disease risk reduction among people who consumed 3 fewer servings of red meat weekly in epidemiological studies that followed millions, but the association was uncertain.
The authors acknowledged that other reasons besides health—namely concerns about the environment and animal welfare—might motivate people to reduce their meat intake, although those factors did not bear on the recommendations.
“That would require a systematic review of the relevant evidence, which was beyond the scope of our work—and indeed, of our expertise,” Johnston and his coauthors commented on the Annals website in response to criticism for not considering environmental impact.
Katz and other THI members have criticized the authors’ use of GRADE because, unlike pharmaceutical research, so much nutrition research is observational and so little involves RCTs. “We can’t randomly assign people to diets for decades,” Katz told JAMA. “Even if we could…we couldn’t blind them to what they’re eating…everything about nutritional epidemiology cries out for the use of other methods [besides GRADE].”
Katz and coauthors including Willett recently published an article about a tool they constructed that deemphasizes the importance of RCTs in evaluating evidence about what they call lifestyle medicine, including diet. “We’re not anti-meat,” said Katz, founding director of the US Centers for Disease Control and Prevention–funded Prevention Research Center at Griffin Hospital, a 160-bed acute-care community hospital in Derby, Connecticut, that’s affiliated with the Frank H. Netter MD School of Medicine at Quinnipiac University and the Yale School of Medicine. “We’re just pro-science.”
The problem, said Harvard Medical School obesity specialist David Ludwig, MD, PhD, is that the science is not that good. “The average research study in nutrition is just lower quality.”
In a recent JAMA Viewpoint, Ludwig and his coauthors wrote that compared with pharmaceutical research, dietary studies are far more challenging in terms of consistency, quality control, confounding, and interpretation, which makes translating those findings into public policy “exceedingly difficult.”
Instead of coming up with tools to give more weight to observational studies in guideline development, nutrition scientists need to rethink how they design studies, John Ioannidis, MD, DSc, of the Stanford University School of Medicine, wrote in a 2018 JAMA Viewpoint.
“The field needs radical reform,” Ioannidis noted.
Word Gets Around
Demands to retract the Annals papers before they were published suggest that the journal’s embargo policy had been violated. (Embargoes prohibit reporters and press officers at the authors’ institutions from circulating articles before they’re published. Breaking an embargo is a serious breach.)
An article on the THI website states that the organization had obtained the meat articles 5 days before they were scheduled to be published online. Laine said Katz was on the Annals’ press release list because he writes a weekly column for the New Haven Register, a Connecticut newspaper.
Katz said he circulated only the press release—“that’s in the public domain”—but not the embargoed articles, among THI colleagues, telling them that the guideline “looks like it’s going to be a serious problem for us.”
Actually, embargoes apply to press releases as well as the articles themselves, said Angela Collom, the Annals media relations manager. The Annals and many other journals post releases to a website run by the American Association for the Advancement of Science that restricts access to members of the media who agree to embargo policies.
“Those channels are not public domain,” Collom said. Because Katz shared the press release, she added, the Annals dropped him from the list of journalists eligible to receive embargoed releases or articles.
Four days before the articles were published, Katz and 11 THI members sent Laine a letter asking her to “pre-emptively retract publication of these papers pending further review by your office.” The signatories included THI council members Hu and Willett; Neil Barnard, MD, president of the Physicians Committee for Responsible Medicine (PCRM); former US Surgeon General Richard Carmona, MD, MPHDavid Jenkins, MD, PhD, a nutrition professor at the University of Toronto Faculty of Medicine; and Dariush Mozaffarian, MD, DrPH, dean of the Friedman School of Nutrition Science and Policy at Tufts University.
“It’s really frightening that this group, which includes people like Walter Willett and Frank Hu at the Harvard School of Public Health, which happens to be my alma mater, were aware of this and assisting it,” Laine said.
What’s more, THI member John Sievenpiper, MD, PhD, also signed the letter to Laine even though he coauthored the NutriRECS systematic review about the relationship between meat consumption and all-cause mortality and the risk of cardiovascular disease, heart attack, and type 2 diabetes.
Laine said she contacted Sievenpiper, a nutrition scientist at the University of Toronto, after receiving the letter and pointed out that he had signed a standard form affirming his agreement with his paper’s conclusions. That had not changed, he told her, but he did not agree with the guideline paper, of which he was not an author.
Hours before the meat articles were posted and the embargo lifted, Barnard’s PCRM went so far as to petition the Federal Trade Commission (FTC) “to correct false statements regarding consumption of red and processed meat released by the Annals of Internal Medicine.” But the FTC describes its role as protecting consumers and promoting competition in the marketplace, so it’s unclear what authority or interest it would have in this case.
Despite PCRM’s name, less than 10% of its 175 000 members are physicians, according to its website, which describes the organization’s mission as “saving and improving human and animal lives through plant-based diets and ethical and effective scientific research.”
“Information Terrorism”
The rebukes continued for weeks after publication of the meat articles, but Katz didn’t comment via the typical routes of posting comments on the journal’s website or writing a letter to the editor. He said he did neither because he’s “able to react much more immediately and generate a much wider awareness with my own blog platforms.”
In his October 6 column for the New Haven Register, Katz compared the articles, which he called “a great debacle of public health” to “information terrorism” that “can blow to smithereens…the life’s work of innumerable careful scientists.”
About 3 weeks later, PCRM asked the district attorney for the City of Philadelphia, where the Annals editorial office is located, “to investigate potential reckless endangerment” resulting from the publication of the meat papers and recommendations.
Another salvo came during a recent 1-day preventive cardiology conference, where half the presentations were on plant-based diets. During his keynote address, Willett showed a slide entitled “Disinformation” that faulted several organizations and individuals: the “sensationalist media,” specifically the Annals and longtime New York Times science reporter Gina Kolata, who wrote the newspaper’s first story about the meat papers; “Big Beef,” specifically Texas A&M and nutrition scientist Patrick Stover, PhD, vice chancellor at the school and a coauthor of the NutriRECS meat consumption guideline; and “evidence-based academics,” namely NutriRECS and Gordon Guyatt, MD, MSc, chair of the panel that wrote the meat consumption guidelines.
“It was part of my talk addressing the confusion that the public gets from the media about diet and health,” Willett said in an email to JAMA. “Some of this relates to the triangle of disinformation that is…feeding into this. The same strategy is being used to discredit science on sugar and soda consumption, climate change, air pollution, and other environmental hazards.”
Guyatt, a distinguished professor at McMaster University in Hamilton, Ontario, led the development 30 years ago of the concept of evidence-based medicine. In an interview with the Canadian Broadcasting Company a few days after the meat articles were posted, Guyatt called the response to them “completely predictable” and “hysterical.”
Tufts University professor Sheldon Krimsky, PhD, described it differently. “It sounds like a political campaign,” said Krimsky, who spoke on a panel about corporate influence on public health at the annual meeting of the American Public Health Association. “I’ve seen Monsanto do the same thing on the other side.”
Krimsky, who studies linkages between science and technology, ethics and values, and public policy, said THI is part of a plant-based diet “movement.” “If Katz wrote a paper, and it was published in one of the journals, I would assume he would have to disclose his relationship with his organization.”
Steven Novella, MD, founder and executive editor of the Science-Based Medicine website and a long-time critic of Katz, was more pointed in his assessment of the THI campaign against the meat articles. “It’s a total hit job,” Novella, a Yale neurologist, told JAMA. “They have a certain number of go-to strategies…in order to dismiss any scientific findings they don’t like.” One such strategy, he said, is to lodge accusations of “tenuous” conflicts of interest.
“Confluence” or Conflict of Interest?
The New York Times was the first organization to raise the issue of potential conflicts of interest among the meat papers’ authors. An October 4 article noted that Johnston, who reported having no conflicts of interest in the 3 years prior to publication, coauthored a December 2016 Annals study that was funded by the nonprofit International Life Sciences Institute (ILSI), which is primarily supported by the food and agriculture industry.
He and his coauthors of the 2016 article used GRADE to conduct “a separate and independent review of the methodological quality of dietary guidelines that address (added) sugar recommendations,” Johnston told JAMA. They found that the evidence to support recommendations to cut back on added sugars was low to very low, highlighting “methodological deficiencies in nutritional guidelines,” Johnston said. “This paper did not say sugar is okay to consume.”
He said he received the ILSI funding in 2015, which was before the 3-year period for which he was required to report competing interests for the meat articles. However, according to a December 31 correction in the Annals, Johnston didn’t include on his personal disclosure form a grant from Texas A&M AgriLife Research that he received within the 36-month reporting period. The grant funded investigator-driven research about saturated and polyunsatured fats, according to the correction.
Johnston isn’t the only one who’s had ILSI ties. True Health Initiative member Sievenpiper served as a scientific advisor for ILSI’s Carbohydrates Committee and as vice chair of the ILSI North America Scientific Session 2018. And in late 2015, Canada’s National Post newspaper reported that the Corn Refiners Association retained Sievenpiper as an expert witness to support its case that high-fructose corn syrup is no less healthy than sugar.
Shortly after the meat papers were published, THI Director Jennifer Lutz posted an article entitled “Steak Holder Interests: Industry Funding and Nutrition Reporting,”
The article called out Stover, who coauthored the NutriRECS meat guideline, for having an undisclosed conflict of interest because his school receives funding from the beef industry. Stover is vice chancellor and dean for the Texas A&M College of Agriculture and Life Sciences, which is part of Texas A&M AgriLife. Lutz’s article noted that 44 Farms, the largest Texas producer of Black Angus cattle, has established an endowment at Stover’s school to support the International Beef Cattle Academy.
However, the beef industry provides only about 1.5% of AgriLife’s funding, which it posts online, spokeswoman Olga Kuchment said. Federal sources, such as the US Department of Agriculture, account for about half of AgriLife’s funding, Kuchment added. Besides animal science, AgriLife research areas include nutrition and food science, horticultural science, and soil and crop sciences. Although he has received AgriLife funding, Johnston said, “I personally have never had ties with the beef industry.”
Meanwhile, industry ties and other potential conflicts of interest seem to be common among THI council members and the organization itself.
Among the not-for-profit “partners” listed on the THI website are #NoBeef, the Olive Wellness Institute, which describes itself as a “science repository on the nutrition, health, and wellness benefits of olives and olive products”; and the Plantrician Project, whose mission is “to educate, equip, and empower our physicians, healthcare practitioners and other health influencers with knowledge about the indisputable benefits of plant-based nutrition.”
Among THI’s for-profit partners are Wholesome Goodness, which sells “better-for-you foods” such as chips, breakfast cereals, and granola bars “developed with guidance from renowned nutrition expert Dr David Katz”; and Quorn, which sells meatless products made of mycoprotein, or fermented fungus made into dough.
Katz, who on his personal website describes himself as an entrepreneur, bristles at the suggestion that he, his organization, or any of his council members might have conflicts of interest.
“We weren’t telling people: Buy our kumquats,” he said.
Perhaps not kumquats, but Katz, according to his curriculum vitae (CV), and Hu have received funding from the California Walnut Commission. And the T.H. Chan School of Public Health, Hu’s and Willett’s academic home, has received hundreds of thousands of dollars from the walnut group.
“I don’t think there is any basis in the world to accuse Walter Willett of conflict of interest. He and Frank Hu have genuine interest in the health effects of nuts,” Katz said. “There’s nothing fundamentally wrong [with] industry funding.”
And, Katz told JAMA, “I think there’s a big difference between conflict of interest…vs a confluence of interest. The work you do is what you care about…No one’s ever paid me to say anything I don’t believe.”
Katz is a past president of an organization called the American College of Lifestyle Medicine (ACLM), whose website states that THI was “birthed from under ACLM’s wing” in 2015, during his 2-year term. The ACLM established the American Board of Lifestyle Medicine, which isn’t recognized by the American Board of Medical Specialties. Among ACLM’s corporate “partners” is Plant Strong by Engine 2, which holds retreats “designed to foster and celebrate your plant-based potential,” and MamaSezz, which delivers “ready-to-eat whole food plant-based meals with no BS (you know, Bad Stuff).”
Carmona, the THI council member and former surgeon general, serves on the board of Herbalife Nutrition, the dietary supplements company, and as “chief of health innovation” at Canyon Ranch, “the world’s recognized leader in…luxury spa vacations.”
In a 2018 commentary entitled “Resisting influence from agri-food industries on Canada’s new food guide,” THI council member Jenkins listed under his “competing interests” dozens of research grants from companies and industry groups, including the Pulse Research Network, the Almond Board of California, the International Nut and Dried Fruit Council; Soy Foods Association of North America; the Peanut Institute; Kellogg’s Canada; and Quaker Oats Canada.
Katz’s 66-page CV provides much food for thought about industry funding of nutrition research. He lists 2 grants from Hershey Foods totaling $731 000 to study the effects of cocoa on vascular function in people with hypertension and in those with obesity. He received 4 grants totaling $662 000 from the Egg Nutrition Center, the research and education division of the American Egg Board. One of the egg grants was awarded in August 2010, around the same time he published an article entitled “Recent anthropologic and clinical research raises questions about egg/cholesterol relationship–Eggsoneration” in the Egg Nutrition Center’s Nutrition Closeup newsletter. He also received $249 701 from ISOThrive to study the effects of its eponymous “gastroenterologist recommended microFood” in overweight adults.
Katz also is senior nutrition advisor for Kind Healthy Snacks—a THI partner—and has received $153 000 in research grants from the company. In 2015, the year Katz became an advisor to Kind, it received a warning letter from the US Food and Drug Administration (FDA) for false nutrient claims, including the use of the word “healthy,” on its labels.
Consumer Confusion
Do consumers lose when nutrition researchers can’t play nice?
Timothy Caulfield, LLM, research director of the University of Alberta’s Health Law Institute and a THI council member, gave 3 public lectures in 1 week not long after Annals published the meat articles. “This issue came up at all 3,” Caulfield said.
“I understand both the concern about conflict of interest, especially in nutrition research, and the value of advocating [for] a more plant-based approach to nutrition,” he said. “But there is so much public confusion surrounding diet. I worry about any messaging that might be interpreted as dogmatic.”
Caulfield, described in a 2018 profile in Toronto’s Globe and Mail as “one of North America’s most high-profile skeptics, taking on the rising tide of pseudoscience and misinformation,” noted that “the [THI] council has many alternative medicine practitioners and embraces ‘integrative health.’ This can be difficult to square with a science-based approach.”
When asked if he planned to step down from the THI council, Caulfield said, “I’ll need to put more thought into this. I haven’t asked them to remove my name…but I haven’t been actively involved.”
The cacophony that has erupted over the meat papers is drowning out the valid points they made, Laine said.
“The sad thing is that the important messages have been lost,” she said. “Trustworthy guidelines used to depend on who were the organizations or the people they came from.” Today, though, “the public should know we don’t have great information on diet,” Laine said. “We shouldn’t make people scared they’re going to have a heart attack or colon cancer if they eat red meat.”

How state groups are working to lower healthcare prices

A RAND report on hospital pricing last May pushed many employer purchasing groups into action.
The report infuriated self-insured employers who previously didn’t know how much they were paying, at least partly due to gag clauses in contracts between providers and insurers barring disclosure of negotiated rates even to plan sponsors, said Gloria Sachdev, CEO of the Employers’ Forum of Indiana. (A bipartisan bill in Congress would outlaw such secrecy provisions.)
The RAND Corp. researchers found that hospital systems’ average prices ranged from 150% of Medicare to more than 400%. Hospitals in Indiana, Wyoming, Maine, Wisconsin, Montana and Colorado had the highest average prices relative to Medicare, while those in Michigan, Pennsylvania, New York and Kentucky had the lowest.
“The RAND analysis showed that Colorado hospitals on average are being paid 270% of Medicare,” said Robert Smith, executive director of the Colorado Business Group on Health. “We’re paying Mercedes prices and getting a Peugeot.”
Here’s what’s happening in response to price growth in four states paying higher prices:
Connecticut and Maine
Starting next year, the state of Connecticut will offer its 210,000 employees and retirees financial incentives to get care for about 45 procedures and conditions from lower-cost, higher-quality providers in its new “network of distinction.”
In addition, plan members will receive incentives to get certain procedures like joint replacements done at selected centers of excellence across the country, said Francois de Brantes, a senior vice president at Remedy Partners, which is administering the state program.
That effort will be supercharged by the Connecticut Legislature’s decision to cut the budget for public employee health benefits by 10%.
Maine has adopted a similar but more limited centers of excellence program for its state employee plan.
Colorado
In January, the Colorado Business Group on Health launched a statewide employer purchasing cooperative, including the state employee health plan, which will encourage employees to use higher-value providers.
It will work with insurers to negotiate prices benchmarked to Medicare rates and will push insurers to make those same rates available to small businesses.
The Colorado group also will use composite patient safety and quality scores from Quantros to select network providers. Employer groups say many companies are leery about steering patients without reliable quality measures.
“We must generate price sensitivity, and the only way to do that is to match the consolidated power hospitals have with consolidated purchasing power,” said Robert Smith, executive director of the Colorado Business Group on Health.
Wisconsin
The Alliance, a purchasing cooperative, has started negotiating hospital contracts for its 250 employer members, representing 100,000 lives, based on rates of 175% to 225% of Medicare. That’s substantially less than they’re current paying. The cooperative also is negotiating bundled-payment rates for orthopedic and imaging services, encouraging employer members to offer workers incentives to use providers with lower prices and higher quality.

Experts warn over scale of China virus as US airports start screening

The true scale of the outbreak of a mysterious SARS-like virus in China is likely far bigger than officially reported, scientists have warned, as countries ramp up measures to prevent the disease from spreading.
Fears that the virus will spread are growing ahead of the Lunar New Year holiday, when hundreds of millions of Chinese move around the country and many others host or visit extended  living overseas.
Authorities in China say two people have died and at least 45 have been infected, with the outbreak centred around a seafood market in the central city of Wuhan, a city of 11 million inhabitants that serves as a major transport hub.
But a paper published Friday by scientists with the MRC Centre for Global Infectious Disease Analysis at Imperial College in London said the number of cases in the city was likely closer to 1,700.
The researchers said their estimate was largely based on the fact that cases had been reported overseas –- two in Thailand and one in Japan.
The virus—a new strain of coronavirus that humans can contract—has caused alarm because of its connection to SARS (Severe Acute Respiratory Syndrome), which killed nearly 650 people across mainland China and Hong Kong in 2002-2003.
China has not announced any travel restrictions, but authorities in Hong Kong have already stepped up detection measures, including rigorous temperature checkpoints for inbound travellers from the Chinese mainland.
The US said from Friday it would begin screening flights arriving from Wuhan at San Francisco airport and New York’s JFK—which both receive direct flights—as well as Los Angeles, where many flights connect.
And Thailand said it was already screening passengers arriving in Bangkok, Chiang Mai and Phuket and would soon introduce similar controls in the beach resort of Krabi.
Two deaths
No human-to- has been confirmed so far, but Wuhan’s health commission has said the possibility “cannot be excluded”.
A World Health Organization doctor said it would not be surprising if there was “some limited human-to-human transmission, especially among families who have close contact with one another”.
Scientists with the MRC Centre for Global Infectious Disease Analysis—which advises bodies including the World Health Organization—said they estimated a “total of 1,723” people in Wuhan would have been infected as of January 12.
“For Wuhan to have exported three cases to other countries would imply there would have to be many more cases than have been reported,” Professor Neil Ferguson, one of the authors of the report, told the BBC.
“I am substantially more concerned than I was a week ago,” he said, while adding that it was “too early to be alarmist”.
“People should be considering the possibility of substantial human-to-human transmission more seriously than they have so far,” he continued, saying it was “unlikely” that animal exposure was the sole source of infection.
Local authorities in Wuhan said a 69-year-old man died on Wednesday, becoming the second fatal case, with the disease causing  and damage to multiple organ functions.
After the death was reported, online discussion spread in China over the severity of the Wuhan coronavirus—and how much information the government may be hiding from the public.
Several complained about censorship of online posts, while others made comparisons to 2003, when Beijing drew criticism from the WHO for underreporting the number of SARS cases.
“It’s so strange,” wrote a web user on the social media platform Weibo, citing the overseas cases in Japan and Thailand. “They all have Wuhan pneumonia cases but (in China) we don’t have any infections outside of Wuhan—is that scientific?”

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Trump Plan to Strengthen Social Security Involves Cutting Disability Benefits

Social Security, America’s top social program, is in some pretty big trouble.
Every year, the Social Security Board of Trustees releases a report that examines the short-term (10-year) and long-term (75-year) outlook for the program. Since 1985, just two years after the last bipartisan overhaul of Social Security, the trustees have cautioned that the long-term outlays of the program would outpace its incoming revenue. In other words, the trustees have raised the red flag that Social Security’s $2.9 trillion in asset reserves (i.e., its net-cash surpluses built up since inception) could be completely gone very soon.
By the latest projection, the program’s asset reserves will be exhausted by 2035, which could lead to a cut to retired worker benefits of up to 23%. That’s a problem when roughly a third of current retirees are almost wholly reliant on Social Security for their income.
Fixes are needed, and President Donald Trump hasn’t shied away from offering his take.
President Trump giving remarks in the White House from behind the presidential podium.
IMAGE SOURCE: OFFICIAL WHITE HOUSE PHOTO BY SHEALAH CRAIGHEAD.

Trump has mostly focused on indirect solutions to improve Social Security

For the most part, Trump has cautioned that direct fixes to the Social Security program are akin to political suicide. Before becoming president, Trump had this to say at the Conservative Political Action Conference (CPAC) in March 2013:
As Republicans, if you think you are going to change very substantially for the worse Medicare, Medicaid, and Social Security in any substantial way, and at the same time you think you are going to win elections, it just really is not going to happen… What we have to do and the way we solve our problems is to build a great economy.
Understanding that direct fixes to the program would leave some group of folks worse off than they were before, Trump has generally avoided flashy direct solutions. Rather, he’s primarily focused his efforts on improving the U.S. economy.
The passage of the Tax Cuts and Jobs Act (TCJA) is a prime example, with the expected growth from the TCJA expected to lead to higher payroll tax collection. The 12.4% payroll tax on earned income is Social Security’s workhorse, providing $885 billion of the $1 trillion collected in 2018. In each of the past two years, Social Security’s net-cash surplus has come in slightly ahead of the trustees’ expectations, suggesting that Trump’s tactics have, at least in the very short term, played a role in staving off the inevitable.
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The president’s plan to strengthen Social Security involves tightening SSDI’s belt

It’s also clear that indirect solutions are a temporary fix to a $13.9 trillion problem that just keeps growing. Knowing this, we’ve also begun to see policy proposals introduced over the past year from the Trump administration that would directly aim to reduce Social Security program outlays over the next decade. More specifically, these proposals are targeted at minimizing Social Security Disability Income (SSDI) outlays.
For example, the president released his fiscal 2020 budget proposal for the federal government on March 11, 2019 (the federal fiscal year ends on Sept. 30). Presidential budget proposals are almost always talking points that begin discussion in Congress, but rarely do they offer any meat on the bone in relation to a final spending bill. That, nevertheless, didn’t stop Trump from facing harsh criticism after his call to implement changes to the Social Security program that would reduce outlays by $26 billion over the next decade.
Though the president’s proposals were aimed at reducing inefficiencies with the program, a significant portion of the savings ($10 billion in total over 10 years) was to be realized from changing a single SSDI rule. This rule change would reduce the amount of retroactive pay disabled workers could recover to six months from 12 months, thereby saving $3.6 billion over the first five years and $10 billion by 2029.
But this wasn’t the last we heard from the Trump administration on SSDI benefit reductions. This past November, another rule change was proposed that would make medical reviews more common for some of the 8.4 million workers currently receiving a Social Security disability benefit.
Right now, applicants for SSDI have their chance of medical improvement placed into one of three categories — expected, possible, or not expected — with medical reviews for the first two categories of applicants being conducted within 18 months and three years, respectively. The new Trump administration proposal wants to create a new category, “medical improvement likely,” which would trigger a medical review every two years. The expectation here is that more workers would be removed from the SSDI program and pushed back into the labor force, ultimately saving $2 billion in SSDI outlays over 10 years. Of course, the increased frequency of reviews would eat up $1.8 billion of “savings” over the decade.
The point is, SSDI cuts appear to be very much in Donald Trump’s playbook as a means of improving Social Security’s long-term outlook.

Here’s why SSDI cuts are highly unlikely (at least anytime soon)

However, just because proposals meant to reduce SSDI outlays are on the table, it doesn’t mean they’re going to be implemented. In fact, the chance of Trump actually getting either of these SSDI proposals passed into law is virtually zero at the moment.
For one, the current party breakdown in Congress is unlikely to lead to any resolutions on Social Security. Democrats have a majority in the House and would unquestionably reject any proposal that would reduce SSDI payouts. And even if, by some miracle, one or both of these proposals reached the Senate, it’s unclear if there would be enough bipartisan support to get a bill to Trump’s desk for his signature.
Secondly, we’re in the midst of an election year, and there’s no chance that President Trump would risk losing votes by highlighting a proposal that would cut Social Security benefits. Should he win a second term, the idea of reducing program expenditures is probably on the table. But for the time being, he’s likely to follow his own advice offered at CPAC in 2013 and avoid direct solutions entirely.
Third, and finally, even if the Trump administration sought unilateral rule changes without consulting Congress, a lawsuit would almost certainly be filed to stop it from being implemented, leading to a drawn-out legal battle.
On one hand, the 8.4 million disabled workers currently receiving SSDI can breathe a sigh of relief in the short term. But should Trump be re-elected, a battle could begin brewing, with disability benefits clearly in the crossfire.

Next week’s watch list

Earnings reports:  Abbott Laboratories (NYSE:ABT), Johnson & Johnson (JNJ) on January 22.
IPO lockup expirations: Livongo Health (NASDAQ:LVGO) Health Catalyst (NASDAQ:HCAT), Castle Biosciences (NASDAQ:CSTL) all see their share lockups expire on January 21.
Companies forecast to make a quarterly payout change include Allergan (NYSE:AGN) to $0.76 from $0.74, Healthcare Services (NASDAQ:HCSG) to $0.2013 from $0.20.
FDA watch: The action date for Epizyme’s (NASDAQ:EPZM) tazemetostat for epitheloid sarcoma arrives next week. Merck (NYSE:MRK) also has a PDUFA date coming up on DIFICID. Meanwhile, Forty Seven (NASDAQ:FTSV) and Bellicum Pharmaceuticals (NASDAQ:BLCM) are both expected to present Phase 1 results at the ASCO GI Cancers Symposium running from January 23-25 in San Francisco.
Short report: The list of stocks heading into the trading week with an elevated level of short interest as a percentage of total float includes Health Insurance Innovations (NASDAQ:HIIQ), Mallinckrodt (NYSE:MNK), Accelerate Diagnostics (NASDAQ:AXDX), Akcea Therapeutics (NASDAQ:AKCA), Intrexon Corp (NASDAQ:XON), AMAG Pharmaceuticals (NASDAQ:AMAG), Lannett Company (NYSE:LCI), Clovis Oncology (NASDAQ:CLVS), OptiNose (NASDAQ:OPTN) and Ligand Pharmaceuticals (NASDAQ:LGND).

Machine keeps transplant livers alive for a week

With current technology, a human liver donated for transplant can only be kept alive for 24 hours, and often, if the liver is damaged or diseased, it cannot be considered for transplant. That could soon change. Liver4Life, a Wyss Institute project, has developed a liver perfusion machine that can preserve injured human livers for one week and can even repair damage.
In a paper published in Nature Biotechnology, researchers from University Hospital Zurich, ETH Zurich and the University of Zurich, explain how the perfusion machine mimics core bodily functions in order to keep livers alive. The device injects insulin and glucagon to control glucose levels, a function usually overseen by the pancreas. In place of the kidneys, a dialysis membrane provides waste removal. An oxygenator fills the role of the lungs. Nutrient infusions replace the bowels, and a pump serves as a stand-in heart. The machine moves the liver continuously to mimic movements that would be caused by the diaphragm.
The researchers first tested the perfusion machine using pig livers. Then, they obtained 10 human livers that were declined for transplantation by all hospitals in Europe and would have otherwise been discarded. Six of the 10 livers recovered to full function and were successfully preserved for one week. That’s much longer than is possible with the current methods, which entail cooling a liver to reduce metabolic function. The six livers also showed a decrease in injury and inflammation markers, usually after one or two days in the machine.
There is plenty of work to do before livers preserved in this machine can be transplanted into humans, but the technology could make more livers available for transplantation. That could save the lives of many patients suffering from liver disease and various cancers.
Going even further, because livers are known to regenerate, the technology might one day make it possible to remove a small piece of healthy liver from a patient, grow it in a perfusion machine and transplant the regenerated liver back into the original patient, while removing the remaining diseased portion. Or, a healthy donor liver might be split apart. Each piece could then be grown in the perfusion machine, yielding more than one transplantable organ.

Star Trek-inspired medical bed could make X-rays more affordable

X-ray scans are unavailable for most people on Earth (two thirds of them, according to 2012 WHO data), in part due to the sheer cost of the machines themselves. The superheated filament in conventional X-ray machines requires so much energy and heat that it costs millions of dollars just to keep the patient safe. Nanox might just have a way to make these scans widely available, though. It’s introducing the Nanox.Arc, an X-ray machine that looks like a Star Trek biobed and promises to lower the cost to low five-digit figures.

Where familiar X-ray techniques are effectively analog and involve bulky arrays of rotating tubes, Nanox is using a digital system that’s much cooler and can get away with stationary tubes that are much smaller and cheaper. The only thing that needs to move is the gantry holding the X-ray ring as it scans different parts of your body.
The business model could shake things up, too. Instead of asking customers to buy machines outright, Nanox is hoping to offer devices on a “pay-per-scan” basis where the company offers AI-based analysis and cloud services to clinics and hospitals. That would entail recurring costs, but it could still be far more affordable than purchasing a machine costing orders of magnitude more.
Nanox didn’t say when it expected to make the scanner available, although it did hope to deploy 15,000 units in the “near term.” It just got $26 million in extra funding from Foxconn, though, and it has a clear goal: it wants to give everyone a X-ray scan per year as a preventative step. Ideally, you’d spot cancer and other hidden medical issues early enough to get effective treatment, rather than waiting until there are conspicuous signs of trouble.