FDA Finalizes Shift to Standardized 12‑Digit NDC Format
The Food and Drug Administration (FDA) has finalized its rule to transition all National Drug Codes (NDCs) to a uniform 12‑digit format. NDCs are codes used by the FDA to uniquely identify drugs marketed in the US.
The current standard is a unique 10-digit number broken into three segments, including the labeler code, product code, and package code. The FDA estimates that under the current coding system, it will run out of codes in ten to fifteen years. Beginning March 7, 2033, the agency will begin assigning new 12‑digit NDCs and require conversion of existing 10‑digit codes.
This change is intended to prevent code exhaustion and standardize labeler, product, and package codes. To support industry readiness, the rule provides a 7‑year implementation period before the effective date. The FDA is allowing an additional 3‑year transition window after the effective date for firms that use the 10-digit code on drug labeling. Prior to the effective date, they can update their labeling to the 12-digit code by adding lead zeros to different segments of the code as needed.
This rule change may affect billing and other electronic data processes.
New York Pushes Workers’ Compensation Reforms in State of the State and Budget Negotiations
In her State of the State address, Gov. Kathy Hochul renewed her push to expand access to care for injured workers.
Under current rules, providers must obtain special authorization from the Workers’ Compensation Board before treating these patients – a process only 10% of eligible providers have completed. For the second year in a row, Gov. Hochul has proposed “Universal Authorization” to “allow any eligible licensed medical provider in good standing to treat injured workers.” This proposal would greatly expand the available provider pool.
Several related measures are also moving through the legislature and may be wrapped in the budget bills due soon. Senate Bill 304 and its companion bill A6205 clarify that the state’s list of pre‑authorized procedures cannot be used to automatically deny treatments that are not on the list. S6217 would raise the threshold for insurer pre‑approval from $1,000 to $1,500, reducing administrative delays and carrying a similar provision as S304/A6205 related to clarifying the intent of the pre-authorized procedures list.
This bill has passed the Senate and awaits Assembly action.
Electronic Standards for Health Care Claims Attachments Finalized
The Centers for Medicare and Medicaid Services (CMS) has issued a final rule creating national electronic standards for health care claims attachments and electronic signatures, with compliance required by May 26, 2028.
The rule covers supporting clinical documentation – such as medical records, imaging, clinical notes, telemedicine records, and lab results – and replaces fax and mail-based submissions with standardized electronic formats. It also adopts authenticated electronic signature requirements to ensure secure, verified transactions.
The final rule applies only to claims attachments; CMS opted not to finalize standards for prior authorization attachments at this time. The agency projects significant administrative and cost savings from streamlined electronic exchanges and encourages providers and payers to begin preparation ahead of the May compliance deadline.
State workers’ compensation agencies are likely to follow suit by incorporating these federal standards into their own processes.
FECA Hearing Highlights Support for Managed Care Reforms
All federal employees who are injured on the job are covered by the Federal Employees’ Compensation Act (FECA), which has not been meaningfully updated since 1974.
The Subcommittee on Workforce Protections of the U.S. House of Representatives Committee on Education and Workforce held a hearing on March 18, 2026, focused on FECA modernization, including proposals to improve the program through the use of managed care networks. Republican subcommittee members expressed strong support for these proposals, emphasizing their potential to improve care coordination, increase efficiency, and deliver better outcomes for injured workers.
Invited witnesses echoed this view, with representatives from Sedgwick Government Solutions and the Ohio Bureau of Workers’ Compensation pointing to state‑level managed care models as evidence that structured networks can reduce costs and improve outcomes, while maintaining access to high‑quality care.
The hearing reflected continued momentum among majority members to apply proven managed care approaches within FECA to strengthen the program, reduce costs, and improve outcomes for both workers and taxpayers.
Louisiana Bill Pushes Updates to Workers’ Compensation Medical Fee Schedule
Proposed legislation in Louisiana would direct the state’s Workers’ Compensation Administration to implement a medical fee schedule that aligns payment rates with those of surrounding states and reflects reasonable market rates.
House Bill 357 also calls for annual updates based on structured, independently managed data collection to ensure accuracy, credibility, and continued provider participation. In addition, the bill would require the agency to examine ways to reduce administrative burden, accelerate payments, and expand provider access with input from a broad range of stakeholders.
While the measure faces challenges to advance this session, it reflects growing pressure on the Louisiana Workers’ Compensation Administration to update its fee schedule and administrative processes.