Business
Senators Grill Dr. Oz on Medicaid Cuts and Medicare Changes
In a hearing on Friday, senators pressed Dr. Mehmet Oz, the TV celebrity nominated to head Medicare and Medicaid, on Republican-led proposals that would significantly affect the health care coverage for nearly half of all Americans.
At his confirmation hearing before the Senate Finance Committee, Dr. Oz bantered with senators in a friendly atmosphere, joking about basketball and allegiances to college teams. He largely escaped tough questions from either side of the aisle, displaying his on-air charm as he deflected Democrats’ most pointed concerns about potentially radical changes in health coverage for not only those 65 and older but also for poor children.
Many senators seemed distracted by the fierce debate over the Republicans’ budget deal to avert a government shutdown, and they dashed in and out of Dr. Oz’s hearing. But he is poised to sail through the Senate for confirmation as the next administrator of the Centers for Medicare and Medicaid Services, an agency with $1.5 trillion in spending.
Senator Elizabeth Warren, Democrat of Massachusetts, made a big deal of his financial conflicts before the hearing. But at the session, she did not press him on those issues. Instead, she focused on his views about whether private Medicare plans are overcharging the government, an area where she and Dr. Oz seemed to agree on the need to tackle potential fraud and waste.
Throughout the hearing, he displayed a facile knowledge of a variety of relevant agency issues, although he repeatedly reverted to stock answers that he would need to study the topic at hand more.
Several lawmakers, mainly Democrats, tried to force Dr. Oz to express his views on the Trump administration’s goals to cut back on health care costs and agency budgets, but he repeatedly sidestepped those minefields.
“It is our patriotic duty to be healthy,” he told senators. “It costs a lot of money to take care of sick people who are sick because of lifestyle choices.”
This refrain is in line with the Make America Healthy Again movement championed by Robert F. Kennedy Jr., the new secretary of the Department of Health and Human Services, and Dr. Oz’s soon-to-be boss if he is confirmed.
Medicare Advantage and privatization
Introductory remarks from Senator Ron Wyden, Democrat of Oregon, held out an initial promise of some challenging questions. He accused Dr. Oz of dodging almost $500,000 in Social Security and Medicare taxes in recent years by using a tax exemption related to limited partnerships, something Democrats concluded after reviewing Dr. Oz’s tax returns. But there were no follow up questions on it.
Mr. Wyden also raised the specter that he was going to grill Dr. Oz on his connection to TZ Insurance Solutions, a for-profit company that sells Medicare Advantage plans to older Americans. Dr. Oz has been a relentless promoter of these private plans, which have been criticized by lawmakers and regulators for systemic overbilling and denying patients care, on his show and YouTube channel.
Dr. Oz, 64, is also a registered broker for TZ Insurance in states across the country, according to a recent investigation into his finances by The New York Times. Again, Mr. Wyden flagged the issue and did not follow up.
Despite concerns by Democrats that Dr. Oz would most likely roll back some of the rules meant to rein in the plans, he instead committed to strong oversight. He acknowledged that some of the brokers now selling these plans were “churning policies,” switching people from one plan to another, regardless of whether the change in coverage benefited them.
“Part of this is just recognizing there’s a new sheriff in town,” Dr. Oz said. “We actually have to go after places and areas where we’re not managing the American people’s money well.”
Several times in the hearing, Dr. Oz addressed bipartisan concerns over whether Medicare Advantage plans are overpaid. In response to questions from a fellow physician, Senator Bill Cassidy, Republican of Louisiana, Dr. Oz mentioned a study suggesting the federal government spends more on the private alternative to Medicare than the government-run program. “It’s upside down,” he said.
“We should examine whether some of the money should be reimbursed to the American people,” Dr. Oz said.
He also expressed interest in solving some of the bipartisan concern over insurers’ use of prior authorization for approving medical procedures by reducing the number of services that would be subject to review.
Republican plans to cut Medicaid
Democrats seemed most frustrated by Dr. Oz’s stance toward Medicaid, the state-federal program that covers 72 million low-income Americans. “All my colleagues want to know, are you going to cut Medicaid?” asked Senator Maria Cantwell, Democrat of Washington.
But Dr. Oz, who has not spoken much about the program he would also oversee as head of the agency, did not answer directly. He said he did not know the details of the Republican budget discussions, in which lawmakers are looking at hundreds of billions of dollars in cuts that could result in people’s loss of coverage as it became more difficult to enroll and states had to shoulder more of the burden.
When questioned by Senator Raphael Warnock, Democrat of Georgia, about Republican efforts to add burdensome monthly paperwork for some people to show they should get benefits, Dr. Oz said he favored the work requirements that Republicans want to limit eligibility. But he agreed with the senator about making sure people who should be eligible for Medicaid were not cut off.
Dr. Oz and his supplement business
There were other subjects senators seemed to veer away from. For instance, Dr. Oz has made tens of millions of dollars over the years promoting dietary supplements, often without any mention of his financial interest. He has been paid by numerous medical and health firms for showcasing their products. Many of those companies would be affected by any decisions he would make as the administrator for the Centers for Medicare and Medicaid Services, and many already benefit from agency funding.
Senator Maggie Hassan, Democrat of New Hampshire, asked him to put a dollar figure on exactly what he has made from promoting supplements on his daytime TV show. He said he was not paid anything. He started to explain that Sony Pictures distributed the show, and that it was the entity paid by these companies (which in turn paid him), but he was cut off. Ultimately, Ms. Hassan was unable to extract anything meaningful from him and moved on.
Patient privacy and the DOGE intrusion
In the hearing, Mr. Wyden pressed Dr. Oz about the access granted to Elon Musk’s so-called Department of Government Efficiency to Americans’ private medical information. Mr. Wyden raised concerns about the need to protect people’s privacy given the department’s potential ability to view personal health and medical data. Despite his repeated questions, he said, the Trump administration had so far not addressed those concerns. Surprisingly, Dr. Oz said he had no discussions with the administration about what Mr. Musk’s team was doing as it inspected agency information, but he promised to “address what is going on.”
Measles
The measles outbreak in Texas and New Mexico has heightened concerns and leveled significant criticism at the response by Mr. Kennedy and the Trump administration. Senator Ben Ray Luján, Democrat of New Mexico, asked Dr. Oz whether he believed the measles vaccine was safe. Dr. Oz said he did, but when the senator followed up by asking whether it was effective, Dr. Oz stepped back and said that judging individual vaccines and their recommendations for use would not be under his purview but under that of the Centers for Disease Control and Prevention.
“My job, if confirmed, is to make sure we pay for those vaccines,” he said.
Business
‘We’ve lost our way’: Clifton’s operator gives up on downtown Los Angeles
The proprietor of Los Angeles’ legendary Clifton’s has given up on reopening the shuttered venue.
It’s just too difficult to do business in downtown’s historic core, he says.
Andrew Meieran bought Clifton’s on Broadway in 2010 and poured more than $14 million into repairs, renovations and upgrades, adding additional bar and restaurant spaces in the four-story building. In 2018, he found that demand for cafeteria food was too low to be profitable, and he pivoted to a nightclub and lounge concept called Clifton’s Republic, featuring multiple dining and drinking venues. Meieran has tried elaborate themed environments, such as a tiki bar and forest playgrounds, and renting out the location for big events to spark more interest.
It was never easy, but during and since the pandemic, the neighborhood has grown increasingly unsafe as downtown has emptied of office workers and visitors.
Storefronts are gated up due to vandalism in the historic district in downtown Los Angeles on Tuesday.
(Eric Thayer / Los Angeles Times)
The alley behind Clifton’s Cafeteria in the downtown historic district Tuesday.
(Eric Thayer / Los Angeles Times)
Vandalism has been rampant, with graffiti appearing on the historic structure almost daily. Vandals would use acid or diamond glass cutters to deface the windows, often cracking the glass. It would cost Meieran more than $30,000 each time to replace the windows. Insurance companies either stopped offering policies that covered vandalism or raised premiums by as much as 600%, he said.
There has been continuous crime in the area, he said, including multiple assaults on people in front of his building. He last shut the venue last year, hoping things would improve and he could come back with a business that could work. Now he has given up. Someone else may take over the space or even the name of the historic spot, but he is done trying.
“We’ve lost our way,” Meieran said. “I want to get up on the tops of the skyscrapers and yell that people need to pay attention to this.”
The disenchantment of a business leader who used to be one of downtown L.A.’s biggest backers shines a spotlight on the stubborn safety concerns, rising costs and thinner foot traffic that have made it increasingly difficult for even iconic businesses to survive.
The once-popular institution dates back to 1935, when it was a Depression-era cafeteria and kitschy oasis that sold as many as 15,000 meals a day when Broadway was the city’s entertainment hub.
It served traditional cafeteria food such as pot roast, mashed potatoes and Jell-O in a woodsy grotto among fake redwood trees and a stone-wrapped waterfall reminiscent of Brookdale Lodge in Northern California.
It’s not the only once-prominent destination that has failed to find a way to flourish in today’s market. Cole’s, one of L.A.’s most famous restaurants and often credited with inventing the French dip sandwich, closed last month after a 118-year run.
“The bigger problem for us and the rest of the industry is the high cost of doing business,” said Cedd Moses, who used to operate Cole’s and has backed many other bars and restaurants in historic buildings downtown for decades. “That’s what is killing independent restaurants in this city.”
Outside of Clifton’s Cafeteria.
(Eric Thayer / Los Angeles Times)
Clifton’s Republic owner Andrew Meieran stands next to a boat on the top floor of the historic restaurant in 2024.
(Wally Skalij / Los Angeles Times)
Clifton’s opened and closed repeatedly during the pandemic and, more recently, after a burst pipe caused extensive damage. Meieran opened it for special events such as last Halloween, but it has otherwise been closed.
Police are woefully understaffed and hampered by public policy, said Blair Besten, president of downtown’s Historic Core Business Improvement District, a nonprofit that arranges graffiti removal, trash pickup and safety patrols in the area.
Businesses and residents in the area would like to see a bigger police presence, but there have been protests against that by people who are not from downtown, she said.
“People are starting to see the fruits of the defunding movement,” she said. “It has not led us to a better place as a city.”
The Los Angeles Police Department is making progress downtown, Captain Kelly Muniz said, with violent crime down more than 10% from last year.
“While we’re working very hard to solve crime, to prevent crime, there are still elements such as trash, open-air drug use, homelessness and graffiti,” she said. “We’re swinging in the right direction.”
Retailers have been opting out of downtown L.A., said real estate broker Derrick Moore of CBRE, who helps arrange commercial property leases. Brands have headed to more vibrant nearby neighborhoods such as Echo Park and Silver Lake.
“A lot of operators are just electing to skip over downtown,” he said. “They’re leasing spaces elsewhere, where they feel they have a greater chance at higher sales.”
A man walks past a pile of trash left on the street in the historic district.
(Eric Thayer / Los Angeles Times)
While some businesses are struggling, many downtown residents say their perceptions of safety are improving and that the area is regaining some vibrancy.
“A lot of people live here. I think people forget that,” Besten said. “We’re all surviving. It’s just hard for all the businesses to survive.”
A green shoot for the Historic Core is Art Night on the first Thursday of every month, when 50 or 60 locations, including permanent art galleries and pop-up galleries in unused storefronts, display art to map-toting visitors who come for the occasion.
They often end up in Spring Street bars, which more typically thrive on weekend nights but are still a draw to downtown.
“I think nightlife will thrive downtown, since bars attract people that don’t mind a little grittier atmosphere,” said Moses. “Our sales are hitting new records at our bars downtown, fortunately, but our costs have risen dramatically.”
A closed sign for Clifton’s Cafeteria.
(Eric Thayer / Los Angeles Times)
Clifton’s former backer, Meieran, says he doesn’t think things are going to bounce back enough to warrant more massive investment. He has sold the building, and the owner is looking for a new tenant to occupy Clifton’s space. He still controls the Clifton’s name.
While there is still a chance he could let someone else use the name Clifton’s, Meieran is done for now — too many bad memories.
“There was a guy who was terrorizing the front of Clifton’s because he decided he wanted to live in the vestibule in front, and he didn’t want us to operate there,” Meieran said. “He would threaten to kill anybody who came through.”
He doesn’t believe official statistics that show crime and homelessness are way down in the area, and he doesn’t want to restart a business when criminals can so easily erase his hard work.
“What business that’s already on thin margins can survive that?” he said.
Business
If you shop at Trader Joe’s, it may owe you $100
Trader Joe’s customers might soon get a payout from the popular grocery chain.
The Monrovia-based company agreed to a $7.4-million settlement in a class action lawsuit that claimed customers were left vulnerable to identity theft.
Customers who purchased items with a credit or debit card from March to July in 2019 might be eligible for a payment as part of the settlement.
The plaintiff alleged that some receipts printed in 2019 included 10-digit credit or debit card numbers —double what’s allowed under the Fair and Accurate Credit Transactions Act.
Trader Joe’s “vigorously denies any and all liability or wrongdoing whatsoever,” the grocery chain said in the settlement website. The grocery chain decided to settle to avoid a long and costly litigation process.
The payout will go toward paying impacted customers as well as attorney fees and other expenses.
About $2.6 million will go toward attorney fees, and the plaintiff will receive a $10,000 incentive payment, according to the settlement. The remaining funds will be distributed evenly among customers who submit valid claims.
It’s unclear how much money each customer would get, but the payout could be about $102, according to the settlement notice.
To receive the payout, customers must have received a receipt displaying the first six and last four digits of the card number.
Some customers identified as part of the settlement class have been notified and received a class ID number to file a claim.
Customers have from now until June 6 to file a claim online or by phone.
A customer not identified in the settlement can still submit a claim by entering the first six and last four digits of the card used, along with the date it was used at Trader Joe’s.
Brian Keim, the plaintiff who brought the case, used his debit card at stores in Florida in 2019. He said some stores printed transaction receipts that included the first six and last four digits of customers’ card numbers.
The receipts did not include other personal information, such as the middle digits of the users’ cards, the cards’ expiration dates, or the users’ addresses. No customer has reported identity theft as a result of the receipts since the lawsuit was filed, the grocer said.
However, identity theft doesn’t require submitting a claim for payment.
The settlement was agreed upon by both the grocer and the plaintiff, but still has to be approved by a court. A hearing is set in August.
Business
Used EV sales charge up on high gas prices, even as new EV demand declines
As gas prices soared in California last month, Irvine resident Marc Tan realized his Mercedes SUV was getting too expensive to refuel.
He decided to save money at the pump and purchased a used Tesla last month.
“I had to trade in my SUV, “ said Tan, who works as a nurse. “It was just too expensive.”
Tan has bought two electric vehicles this year to avoid relying on gas while driving his kids to school and activities.
As the war in Iran squeezes the global oil supply, fuel prices have increased sharply across the U.S. Average prices in California climbed to nearly $6 per gallon, according to AAA, while national prices were slightly above $4. Gas prices in California have risen 30% since the start of the year, according to data from the U.S. Energy Information Administration.
The trend has driven renewed interest in electric vehicles, and those looking to save money on gas are also trying to save money on their cars by buying pre-owned vehicles.
New EV sales are still declining following blows to the industry from the Trump administration, but used EVs are bucking that trend because they look more affordable now relative to new cars and used gas-powered cars.
Used EV sales increased more than 20% year over year in the first quarter of 2026, according to data from Cox Automotive.
Used electric vehicles now cost around the same as used traditional cars and often offer better value, experts said.
“The high gas prices are getting people to look at what their options are, and the wheels are starting to spin,” said Jessica Caldwell, an auto analyst at Edmunds. “You can get a pretty nice used EV for under $25,000, which is not easy to do on the market at large,” including electric and gas cars.
Electric vehicles depreciate in value faster than traditional cars, meaning buyers can get a good deal on a used EV that hasn’t been on the road for long.
Used EVs are typically less than four years old and equipped with modern technology such as driver assistance, heated seats and Apple CarPlay. A wave of them is hitting the market as they come off lease from 2023, a year of heightened EV enthusiasm and new models.
While former President Biden was in office in 2023, the federal government heavily incentivized the transition to electric vehicles.
A Tesla dealership with cars lined up in the lot in Long Beach.
(Eric Thayer/Los Angeles Times)
“It’s not surprising that the used EV market is starting to accelerate, because it was about three or four years ago that the new one started accelerating,” said Mark Schirmer, director of industry insights at Cox Automotive. “We’re starting to get a better variety, better choice and better price points.”
Used EVs also tend to have lower mileage than their gas counterparts and therefore better value, Schirmer said, because EV drivers don’t use them for long road trips to avoid having to stop and charge.
Used electric vehicle sales increased 25% in the first quarter this year, according to Cox. New electric vehicle sales were down 26% in February from a year earlier.
The EV industry has faced setbacks recently as the Trump administration pares back EV incentives and dealership requirements, including eliminating a California ban on new gas-powered car sales by 2035.
In response, major automakers such as Ford, Hyundai and Stellantis have cut their EV offerings.
EV sales crashed following the September expiration of a $7,500 tax credit for new EVs and a $4,000 credit for used ones.
“There’s no premium you have to pay for an EV in the used market,” said iSeeCars.com analyst Karl Brauer. “Value is huge for used buyers, and when gas prices are going up, that becomes a focus.”
On social media, car shoppers and recent EV buyers are sharing their reasons for making the switch to electric.
“Not having to deal with the ups and downs of gas prices is one of the benefits of owning an EV,” one Reddit user wrote last month.
Another Reddit user said it cost them $1.59 total to charge their Ford Mustang Mach-E for six hours, reaching a battery level of 90%.
In California, the appeal of a new or used EV is twofold — gas prices are especially high, and charging infrastructure is more developed than in many other states. Although electricity rates are increasing in the state, many residents are turning to solar power to source their own energy for their cars and homes.
Data show that more people are shopping for EVs even if they haven’t made purchases yet.
Cars.com saw a 25% increase in searches for used EVs from the end of February to the end of March, and a 23% increase in searches for new EVs.
“I don’t see how else you can get a vehicle that’s as new, as reliable, as safe and as affordable as used electric vehicle,” auto analyst Brian Moody said. “Add to that the current gas prices, and it’s a no-brainer.”
Tesla’s were the most commonly searched for vehicle among used EVs on the site, according to Cars.com data.
Tesla sales have stumbled over the past year, hurt by industry challenges and reputation damage after Elon Musk involved himself in politics. Many alienated Tesla owners sold their vehicles in protest, leading to an influx of them on the used market, and therefore lower prices.
Tesla was dethroned early this year by Chinese automaker BYD as the largest EV seller in the world, but for many Californians, Musk’s signature vehicles are still an obvious choice. They come with an extensive super charging network and widespread service centers. They also offer “Full Self-Drive” mode, which appeals to many shoppers despite coming under regulatory scrutiny.
Tan, who bought two Teslas this year as gas prices have shot up, said he’s satisfied with his purchases.
“To me, Teslas are the most safe and reliable,” Tan said. “Gas has been absolutely too expensive.”
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