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Senior Politics

Bush Threatens Veto if His Cost Cuts Not in Budget Resolution

Medicare, Medicaid reductions by Bush likely big stumbling block

April 10, 2006 – President George W. Bush, who has never used his veto power, said Friday he will veto the fiscal year 2007 budget resolution from Congress if it does not include cuts he has recommended in his budget. Presumably, this includes the large cuts in Medicare and Medicaid recommended by the President but ignored, so far, in the budget resolutions in both houses of Congress.

Click here to the Daily Health Policy Report - KaiserNetwork.orgPresident Bush Says He Will Veto Budget Package That Does Not Curb Spending

President Bush on Friday said he would veto the fiscal year 2007 budget resolution unless Congress includes spending reductions that he has requested to reduce the federal deficit by half by FY 2009, the Washington Times reports (Curl, Washington Times, 4/8).

 

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March 31, 2006 – Chances of Congress approving the cuts to Medicare and Medicaid recommended by President Bush in his budget proposal are now looking as dead as his proposal to add personal investment accounts to Social Security. The latest blow came in the budget resolution passed by the House Budget Committee, which did not include these cuts. The Senate earlier ignored them. House members began discussions yesterday on the vote on the resolution by the House, which moderates wanting a larger cap to be sure there are not more cuts to health care spending, according to KaiserNet.org. Read more...

House Budget Plan Ignores Bush Cuts to Medicare but Hits Veterans Health Care

March 30, 2006 – The budget cuts proposed by President Bush to Medicare and Medicaid did not make it through the House Budget Committee, which approved a $2.8 billion plan last night by a 22-17 vote - down party lines - of the Republican dominated, conservative-leaning committee. The bill goes to the full House next week. Read more...

Read more on Senior Politics

 

The House on Thursday adjourned for a two-week recess without a vote on the budget resolution amid disagreement among Republican appropriators, conservatives and moderates. The House budget resolution includes $6.8 billion in spending reductions for entitlement programs but excludes reductions for Medicare and Medicaid.

In addition, the House budget resolution includes an $873 billion cap on discretionary spending requested by President Bush. Under the discretionary spending cap, spending for health and other nonsecurity programs would remain at about FY 2006 levels (Kaiser Daily Health Policy Report, 4/7).

House Republican moderates, such as Rep. Nancy Johnson (R-Conn.), have sought to add about $7 billion to the discretionary spending cap for health, education and other domestic programs, and conservatives have "balked, demanding tight spending caps and pushing budget reforms that would further control domestic spending," the Times reports (Washington Times, 4/8).

The Senate budget resolution, which passed last month, would add more than $16 billion to the discretionary spending cap (Kaiser Daily Health Policy Report, 3/29). Bush said, "If necessary, I will enforce spending restraint through the exercise of the veto" (Washington Times, 4/8).

House Negotiations Likely To Resume
House Republican leaders on Friday "vowed to try to resurrect" negotiations on the budget resolution after the spring recess, CongressDaily reports (Cohn, CongressDaily, 4/7).

House Majority Whip Roy Blunt (R-Mo.) said, "I do think we have a real opportunity to get back and get this budget done," although certain "process-oriented issues," such as provisions on emergency spending and earmarks, remain.

Under the emergency spending provision, which was part of a package of budgetary enforcement measures negotiated last week between House Republican leaders and conservatives, oversight of appropriations for nonmilitary emergency spending that exceeds $4.3 billion would shift from House Appropriations Committee the to the House Budget Committee.

In response, House Appropriations Committee Chair Jerry Lewis (R-Calif.), who opposes the emergency spending provision, asked all 36 members of the committee to oppose the budget resolution. According to CQ Today, "Blunt's remarks appeared to signal that GOP leaders might try to break off the emergency spending provision" (Ferrechio, CQ Today, 4/7).

"Reprinted with permission from 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.”

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