|
E-mail this page to a friend!
Final House Vote on Budget Bill Could Cut Billions
from Senior Programs
Passage expected Wednesday to cut Medicare, Medicaid
Jan. 30, 2006 – The Budget Reconciliation Bill,
which many see as making drastic cuts in government programs for senior
citizens – Medicaid and Medicare, is expected to hit the House floor on
Wednesday for a final vote, the day after the President's State of the
Union address. As reported today by the Capitol Hill Watch at KaiserNet.org, the bill will reduce federal spending by $99.3 billion
over 10 years, with half of that coming from these senior programs. The
Congressional Budget Office analysis says premiums for Medicaid
beneficiaries in the bill could cause 110,000 to lose coverage by 2015.
Capitol Hill Watch
Spending Cut Bill Would Lead to Many
Beneficiaries Paying More for Medicaid, Some Ending Enrollment,
Foregoing Care, CBO Report Says
[Jan 30, 2006]
 About 45,000 Medicaid beneficiaries would lose
coverage in 2010 because of premiums included in the fiscal year 2006
budget reconciliation bill (S
1932), and 65,000 would lose coverage in 2015, according to a new
report from the
Congressional Budget Office, the
New York Times reports.
The bill would save $38.8 billion over five years
and $99.3 billion over 10 years. Medicaid and Medicare spending
reductions would account for 50% of the savings, with 27% from Medicaid
and 23% from Medicare over 10 years (Pear, New York Times, 1/30).
The House on Dec. 19, 2005, voted 212-206 to
approve the bill, but procedural moves in the Senate require the House
to vote on the bill a second time before the legislation can move to
President Bush for consideration. The Senate on Dec. 21, 2005, voted
51-50 to approve the legislation (Kaiser
Daily Health Policy Report, 1/12).
The second House vote is expected on Wednesday.
"In response to the new premiums, some
beneficiaries would not apply for Medicaid, would leave the program or
would become ineligible due to nonpayment," the CBO report states.
Children would account for 60% of the Medicaid
beneficiaries who would lose coverage, according to the report.
The report also estimates that 13 million Medicaid
beneficiaries would have new or higher copayments for services such as
physician visits and hospital care. In addition, 13 million Medicaid
beneficiaries would pay more for prescription drugs by 2010, and 20
million would pay more by 2015, the report states.
According to the report, "About 80% of the savings
from higher cost-sharing would be due to decreased use of services." The
report estimates that 1.3 million Medicaid beneficiaries would have to
pay premiums and that 1.6 million would lose benefits, most likely for
dental, vision and mental health services. In addition, the report
estimates that 15% of Medicaid long-term care beneficiaries would have
their coverage delayed because of additional restrictions on asset
transfers.
Defeat of Bill 'Unlikely'
The CBO report "gives Democrats new ammunition to attack" the budget
reconciliation bill, but they "appear unlikely to defeat it," the Times
reports (New York Times, 1/30).
However, opponents have "stepped up their attacks
on legislation they contend is written to protect insurance companies,
drug manufacturers and other entrenched corporate interests," CQ Today
reports (Dennis, CQ Today, 1/27).
Rep. Rob Simmons (R-Conn.), who had supported the
bill, last week announced his opposition to the legislation, a move that
has led to some "nervousness about more potential GOP defections,"
CongressDaily reports. Rep. John Sweeney (R-N.Y.), who had supported the
bill, said that currently he is undecided on the legislation, and Reps.
Jim Gerlach (R-Pa.), Jim Ramstad (R-Minn.) and Frank LoBiondo (R-N.J.)
also are "seen as potential vote-switchers," CongressDaily reports. In
addition, Rep. Walter Jones (R-N.C.), who last month did not vote on the
bill, is expected to vote against the legislation because of spending
reductions for rural pharmacies (CongressDaily, 1/27).
Additional Coverage
Boston Globe: The Globe on Monday examined how provisions in the
budget reconciliation bill that would place additional restrictions on
Medicaid asset transfers could deny long-term care coverage to "needy
seniors" who "gave a modest gift to a child or a charity as much as five
years before they applied for Medicaid," according to opponents of
legislation.
AARP chief health care lobbyist Kirsten Sloan said, "People who had
no intention of defrauding the government ... are going to find
themselves in trouble."
Scott Plumb, senior vice president of the
Massachusetts Extended Care Federation, recommended the purchase of
private long-term care insurance to avoid such problems (Dembner [1],
Boston Globe, 1/30).
The
Globe on Monday also outlined the asset transfer provisions (Dembner
[2], Boston Globe, 1/30).
Milwaukee Journal Sentinel: The Journal Sentinel on
Sunday examined how, under provisions in the budget reconciliation bill
that would place additional restrictions on Medicaid asset transfers,
seniors "could have a harder time passing on modest inheritances to
their children" (Boulton, Milwaukee Journal Sentinel, 1/29).
"Reprinted with
permission from kaisernetwork.org (insert hyperlink to http://www.kaisernetwork.org).
You can view the entire
Kaiser Daily Health Policy Report, search the archives, and sign
up for email delivery at
www.kaisernetwork.org/dailyreports/healthpolicy. The Kaiser
Daily Health Policy Report is published for
kaisernetwork.org, a
free service of The Henry J. Kaiser Family Foundation. © 2006
Advisory Board Company and Kaiser Family Foundation. All rights
reserved.”
Click here to Search SeniorJournal.com for more on
this subject
Click to More Senior News on the
Front Page
Copyright: SeniorJournal.com |
