Food and Drug Administration Commissioner Mark McClellan refused to comment on a report that President Bush will nominate him as the next CMS administrator. Questioned at a Washington event, McClellan said only, "I'm focusing on doing the best job I can at the FDA." The Wall Street Journal reported that the White House is set to nominate McClellan to replace Tom Scully, who resigned as CMS administrator in December 2003. Prior to heading the FDA, McClellan was a top healthcare adviser to Bush. A telephone call to the White House press office had not been returned by deadline.
Meanwhile, Scully continued to deepen his involvement in private industry, joining the board of Select Medical Corp., Mechanicsburg, Pa. Select Medical, which provides long-term, acute-care services and rehabilitation, is partly owned by private equity firm Welsh, Carson, Anderson & Stowe, where Scully is a senior adviser. Hospital operator Ardent Health Services, which added Scully to its board earlier this week, also is partly owned by Welsh, Carson. Scully will receive quarterly compensation of $6,000 at Select Medical and $3,000 at Ardent. Both companies pay $1,500 for attendance at each board meeting, plus additional compensation for attendance at committee meetings and expenses. Scully is eligible for stock options at both companies. He is barred from lobbying the CMS for a year following his departure. -- by Tony Fong and Mary Chris Jaklevic