WASHINGTON WIRE
September 28, 2007
Issue 147
Congress Sends SCHIP Bill to the President for Expected Veto
Finance Committee Holds Hearing on the Community Choice Act
House Approves Health Program Extension Package, Spares Hospitals Medicare Cuts
Top Story
Congress Sends SCHIP Bill to the President for Expected Veto
On Thursday, the Senate approved legislation to reauthorize the State Children's Health Insurance Program (SCHIP) and invest an additional $35 billion in the program over the next five years. The House approved identical legislation on Tuesday and the bill now heads to the President for an expected veto.
The compromise bill, which closely resembles the original Senate SCHIP legislation passed earlier this year, would cover all 6.6 million children who are currently enrolled in SCHIP and 4 million additional children. The bill would be paid for by a 61-cent tobacco tax increase. The House approved SCHIP legislation earlier this year that would have increased tobacco taxes by 45-cents and included cuts to the Medicare managed care program.
The President has vowed to veto the legislation stating that the bill represents a step toward government-run healthcare. The House passed the bill by a vote 265-159, several votes shy of the two-thirds majority needed to override a Presidential veto. However, the Senate passed the bill by a veto-proof margin of 67-29.
The SCHIP program is set to expire on September 30th. Assuming the President follows through on his veto threat, it is likely that Congress will have to send the President at least a short-term extension bill to continue funding the children's health program.
Health Care News
Finance Committee Holds Hearing on the Community Choice Act
On Tuesday, the Senate Finance Committee held a hearing on the Community Choice Act (S.799/H.R. 1621), legislation to provide equal access to community-based services and supports to individuals who are eligible for nursing homes services under Medicaid.
The legislation, introduced by Senator Tom Harkin (D-IA), is a high priority for the disability community and members of the community flooded the hearing room on Tuesday in support of the bill.
Currently, state Medicaid programs must offer nursing home care but are not required to offer equal access to home-and community-based services (HCBS). Although many states operate HCBS waivers and, as of recently, have the ability to provide HCBS as an optional benefit, there is no requirement that Medicaid provide these services and if the services are provided in a state, there are often waiting lists. As a result, individuals with disabilities who would prefer to receive services at home are often placed into nursing home care.
Although Patrick Flood, Director of Health and Human Services of Vermont, testified at the hearing that community-based services are on average less expensive than nursing home care, previous costs estimates of the legislation have been between $10 billion and $20 billion. But Mitch LaPlante of the University of California, stated that those estimates have been inflated by including individuals who are not necessarily at the institutional level of care required by the bill. LaPlante stated that he and his colleagues instead estimate the costs of the bill to be between $1.4 billion and $3.7 billion, depending on level of participation.
Senate Finance Committee Chairman, Max Baucus (D-MT), stated that he would seek a new cost estimate from the Congressional Budget Office on the bill.
House Approves Health Program Extension Package, Spares Hospitals Medicare Cuts
Legislation approved by the House on Wednesday would reduce a pending $20 billion cut to hospitals under the Medicare inpatient prospective payment system (IPPS) rule.
This "behavioral offset" is set to be implemented by Medicare beginning October 1st in order to compensate for expected exaggerated charges by physicians who will soon start receiving adjusted payments based on the severity of illness of their patients. The House legislation would reduce the expected 2.4% payment reduction to 0.6% in 2008 and 0.9% in 2009.
Additionally, the legislation extends Medicare's Qualifying Individual (QI) program which assists low-income seniors with their Medicare Part B premiums. The bill also extends Medicaid's Transitional Medical Assistance Program and the Abstinence Education program.
The Senate is expected to approve the legislation soon.
Upcoming Events
Hearings
Wednesday, October 3, 2007
Pandemic Influenza: State and Local Preparedness
Senate Homeland Security and Governmental Affairs - Subcommittee on State, Local and Private Sector Preparedness and Integration
2:30 a.m., 342 Dirksen
Health Care for Aging Veterans
Senate Special Aging Committee
10 a.m., 325 Russell
Smoking Prevention and Tobacco Control
House Energy and Commerce - Subcommittee on Health
10 a.m., 2123 Rayburn
Thursday, October 4, 207
Veterans' Health Research Programs
House Veterans' Affairs - Subcommittee on Health
10 a.m., 334 Cannon
Americans with Disabilities Act
House Judiciary - Subcommittee on Constitution, Civil Rights, and Civil Liberties
10 a.m., 2141 Rayburn
Immigration Detainee Medical Care
House Judiciary - Subcommittee on Immigration, Citizenship, Refugees, Border Security, and International Law
1 p.m., 2141 Rayburn
For More Information
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