Some House Republicans Expected To Support Measure Blocking New Medicaid Rules

Main Category: Medicare / Medicaid / SCHIP
Also Included In: Women's Health / Gynecology
Article Date: 10 Apr 2008 - 5:00 PDT

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The House Energy and Commerce Committee Subcommittee on Health is expected on Wednesday to mark up a measure (HR 5613) aimed at blocking seven new Medicaid regulations that could reduce health care coverage for pregnant women, low-income children, nursing home residents and other groups, CQ Today reports. According to CQ Today, some House Republicans "appear ready" to support the bill despite the Bush administration's opposition to it.

The seven rule changes at issue aim to restrict the services covered by some states' case management plans; limit Medicaid reimbursement to public hospitals; narrow federal Medicaid reimbursement eligibility for outpatient hospital services; bar federal reimbursement for transportation to school and school-based care for Medicaid-eligible children; restrict the types of "rehabilitative" services covered by federal funding; cut federal Medicaid reimbursement for students at teaching hospitals; and limit taxes some states charge health providers. The Congressional Budget Office estimates that the rule changes would save Medicaid about $17.8 billion over five years.

According to CQ Today, congressional dialogue over the rule changes has turned into a "proxy" discussion between state governments and the Bush administration. The National Governors Association has said the rules would shift billions in Medicaid costs to the states. Officials from the Bush administration have said the rules are necessary and would not affect "medically necessary" health care. The case-management rule is already in effect, and the other rules will soon take effect, according to CQ Today.

HR 5613 -- sponsored by Rep. John Dingell (D-Mich.), chair of the Energy and Commerce Committee -- would postpone the rule changes until April 2009. CBO estimates the measure would cost about $1.65 billion, which Dingell's aides said would be offset by a provision requiring electronic verification of assets of people applying for Medicaid coverage.

According to CQ Today, it is "questionable" how many Republicans will oppose the measure because many are concerned about shifting Medicaid costs to their districts. Dennis Smith, Medicaid director at Centers for Medicare and Medicaid Services, has said the Bush administration "strongly opposes" the bill, an indication that President Bush might veto it, CQ Today reports. Rep. Tim Murphy (R-Pa.) co-authored the measure, and Rep. Mike Ferguson (R-N.J.) has signed on as a co-sponsor. Murphy in a statement released Tuesday said the authors of the measure are "dedicated to bringing [House] members together with the goal of helping Medicaid patients and reducing costs."

Rep. Michael Burgess (R-Texas), who has shown some support to the Bush administration's position, said he does not expect a difficult mark up on Wednesday. "This is fundamentally a bipartisan bill," he said, adding, "I think it'll be accepted in that spirit." Andrew Souvall, a spokesperson for health subcommittee Chair Frank Pallone (D-N.J.), said Democrats have had "productive discussions" regarding the measure with Republicans and "anticipate the mark up will run smoothly" (Armstrong, CQ Today, 4/8).

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