Volume 25, Number 434: December 27, 2004

Cover Story - Medicaid on “the Chopping Block” -- Federal Deficit May Force Changes
If President George W. Bush is to cut the federal deficit in half, he will have little choice but to put Medicaid on “the chopping block.” Left unchanged, Medicare and Medicaid will consume about $7 trillion over the next ten years. Congressional staff discuss ways to achieve savings, such as converting Medicaid or portions of it to a block grant, reducing fraud and abuse, and expanding private long-term care insurance.

Behavioral Health News - Substance Abuse Funding Put at Risk by Federal Rule
In some states, funding for substance abuse treatment and prevention services are being threatened by federal regulations.

Highlights
Complementary medicine cheaper...Pollutants and lung disease...MN plans insurance pool...States and reinsurance...KY helps meth kids...Preventing errors in hospitals...Deadliest days of the year.

Graphically Speaking - Americans are Slightly Healthier - But Infant Mortality is Up, Report Shows
Overall, the health of Americans is improving – but the rate of improvement has leveled off. And infant mortality has risen for the first time in 40 years, says a new report.

FYI - Utah’s Unique Waiver: A Sign of the Future?
Nominee for HHS Secretary Mike Leavitt won a unique Medicaid waiver when he was governor of Utah. Launched in 2002, the waiver expanded coverage to some by reducing benefits to others.