Government

Revised Medicaid cuts pass House

NEWS IN BRIEF — Posted Dec. 5, 2005

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The House of Representatives last month approved a budget reconciliation measure containing roughly $11.4 billion in net cuts to Medicaid over the next five years. House Republican leaders pulled the original version of the bill, which would have slashed net Medicaid spending by an additional $490 million, when several GOP members complained about the proposed cuts' severity. To ensure passage, bill handlers dialed back provisions that would raise beneficiaries' co-payments, restrict long-term care eligibility for those with significant home equity and limit reimbursement to pharmacies.

When lawmakers return from their Thanksgiving recess, negotiators will attempt to iron out the broad differences between the House and Senate versions of the bill. The Senate measure would reduce net Medicaid spending by $4.3 billion over five years but would also cut $5.7 billion from Medicare.

Note: This item originally appeared at http://www.ama-assn.org/amednews/2005/12/05/gvbf1205.htm.

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