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ACTION National Conference of State Legislatures logoALERT

National Conference of State Legislatures
Office of State-Federal Relations
March 15, 2005
URGENT!!

MEDICAID – ON THE ROPES, HELP WANTED

Budget Resolution on Senate Floor
The Senate is currently considering the FY 2006 budget resolution (Senate Con. Res. 18).  Pending before the body is a Smith (R-Oregon) amendment to remove the Medicaid reductions ($15 billion over 5 years) and replace it with the establishment of a Medicaid Commission.  The Commission would have one year to develop a reform plan for Medicaid.  The House Budget Committee has proposed a $20 billion reduction in Medicaid funding over the 5-year period. The chart below illustrates the reductions proposed by President Bush in his FY 2006 budget proposal.  The House bill tracks the Administration’s proposals.  The Senate bill is slightly below the Administration’s 5-year proposal. 

NCSL supports the Smith amendment and supports the establishment of a Medicaid Commission (S. 338).  We urge you to call your Senators and to urge them to support the amendment.  The vote on the amendment will likely occur later today.  

FY 2006 Budget--- Proposed Medicaid Changes FY 2006-2010; FY 2006-2015

President’s Medicaid
Proposals- FY 2006
Summary
 2006  2007 2008  2009  2010   2006-2010
(5-year
score)
 2006-2015
(10-year
score)
Asset Transfer
Reform

-99 

 -197

 -295

 -393

 -491

 1,476

 -4,505

Provider Tax Reform

 -231

 -461

 -811

 -825

 -839

 -3,167

 -7,615

Administrative Claiming
Allotment

 0

 -128

 -221

 -329

 -452

 -1,130

 -5,953

Payment Reform

 0

 -1,322

 -1,415

 -1,513

-1,619

 -5,869

 -15,189

Appropriate Payment for
Medicaid Services

 -129

 -427

 -715

 -845

 -969

 -3,084

 -11,742

Medicaid Pharmacy
Reform

-542 

 -723

 -1,255

 -1,372

 -1,493

 -5,385

 -15,091

Totals

 -1,001

 -3,258

 -4,712

-5,277 

 -5,863

 20,111

 60,095

NCSL Staff Contact: Joy Johnson Wilson, Health Policy Director (202-624-8689, joy.wilson@ncsl.org)

We would appreciate any feedback you are able to provide regarding support or opposition to the amendment. Please forward any feedback to Joy Wilson.

Denver Office: Tel: 303-364-7700 | Fax: 303-364-7800 | 7700 East First Place | Denver, CO 80230 | Map
Washington Office: Tel: 202-624-5400 | Fax: 202-737-1069 | 444 North Capitol Street, N.W., Suite 515 | Washington, D.C. 20001