WASHINGTON WIRE


January 16, 2009
Issue 186

HOUSE INTRODUCES ECONOMIC RECOVERY LEGISLATION WITH $87 BILLION FMAP INCREASE

HOUSE VOTES TO REAUTHORIZE HEALTH INSURANCE PROGRAM FOR CHILDREN

CMS ISSUES FINAL RULE ON DME COMPETITIVE BIDDING PROGRAM 

Hearings 

Top Story

HOUSE INTRODUCES ECONOMIC RECOVERY LEGISLATION WITH $87 BILLION FMAP INCREASE

At the end of last week, House Democrats revealed an $825 billion stimulus package that includes $87 billion for state Medicaid programs and an extension of moratoria on six controversial Medicaid regulations. The lengthy bill also includes $20 billion towards implementing health information technology, $4.1 billion for prevention and wellness and $1.1 billion towards comparative effectiveness research.

The Senate and House Appropriations Committees, and House Energy and Commerce and Ways and Means Committees, are scheduled to mark up their economic recovery bills next week. The House bill, HR 598, includes the “American Recovery and Reinvestment Tax Act of 2009, "Assistance for Unemployed Workers and Struggling Families Act," “Health Insurance Assistance for the Unemployed Act of 2009” and the “Health Information Technology for Economic and Clinical Health Act.” The Senate bill, S. 1, is entitled the "American Recovery and Reinvestment Act of 2009" and the public version is currently a one-page summary. 

Health Care News

HOUSE VOTES TO REAUTHORIZE HEALTH INSURANCE PROGRAM FOR CHILDREN

On Wednesday, Jan. 14, the House voted 289-139 to reauthorize the State Children's Health Insurance Program, with 40 Republicans and 249 Democrats voting in favor of the bill. On Thursday, the Senate Finance Committee approved 12-7 a draft bill similar to the House version, and the Senate could bring legislation to the floor as soon as next Wednesday.

The draft bill, written by Senate Finance Committee Chair Max Baucus (D-MT), would increase funding for the program by $31.5 billion, expanding coverage to an additional 4 million previously uninsured children. A series of amendments were approved during the mark-up, largely along party lines.

Republican committee members expressed dismay over the provisions and complained that Democratic Senators were not including them in the process. Finance Committee Ranking Member Sen. Charles Grassley (R-IA) suggested it would be easier to incorporate the SCHIP program into health reform efforts if the program was extended in its current form.

CMS ISSUES FINAL RULE ON DME COMPETITIVE BIDDING PROGRAM 

On Thursday, Jan. 14, CMS published a competitive bidding final rule that implements a provision in the 2008 Medicare bill which delays round one and two of the program. The durable medical equipment competitive bidding program will restart later this year, and CMS said in the rule that it will leave the payment calculation the same.

The final competitive bidding rule requires CMS provide feedback to suppliers about missing financial documentation, suppliers to notify CMS of subcontracting relationships with other suppliers and their accreditation status, an exemption for off-the-shelf orthotics, and that some Healthcare Common Procedure Coding System codes be re-evaluated. 

Upcoming Events

Hearings

Wednesday, Jan. 21

Senate Health, Education, Labor and Pensions
Nominations cleared for action: Tom Daschle for Health and Human Services secretary, Hilda L. Solis for Labor secretary and Arne Duncan for Education secretary
10 a.m. 430 Dirksen

House Appropriations Committee
Full Committee Markup: Economic Recovery
Noon, 2359 Rayburn Bldg.

Thursday, Jan. 22

Senate Appropriations
Full Committee Markup: Stimulus package (S 1)
Time TBA, S-128 Capitol

House Energy and Commerce Committee
Full Committee Markup: Economy Recovery Package
10 a.m., 2123 Rayburn Bldg.

House Ways and Means Committee
Full Committee Markup: Economic Recovery and Stimulus
10 a.m., 1100 Longworth Bldg.

For More Information

For further information on any topics discussed or publications listed, or to get copies of anything mentioned in this alert, please call (202) 466-6550 and ask for the Legislative Practice Group.


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