B U D G E T B R i E F - CONGRESS CONSIDERS MEDICAID SPENDING CUTS

Book excerpt: This debate is set in the context of the federal budget for federal fi scal year (FFY) 2006 that begins on October 1, but the outcome could shape the Medicaid Program for the next fi ve to 10 years - or beyond. [...] The importance of a budget resolution to a program like Medicaid is procedural: its adoption by both the House and Senate paves the way for budget "reconciliation" legislation that makes changes in the program. [...] These fi gures exceed the $13.8 billion in cuts over that period attributable to policy changes proposed by the Administration, as estimated by the CBO.12 The House version of the Budget Resolution did not specify how the $14.9 billion to $20 billion in proposed federal Medicaid spending reductions were to be achieved. [...] Instead, the Senate Budget Resolution provided for the establish- ment of a national commission to make recommendations to the Congress for reforming Medic- aid.13 The Final Budget Resolution The fi nal Budget Resolution, adopted by both the House and the Senate on April 28, assumes up to $10 billion in Medicaid spending reductions between FFY 2007 and FFY 2010. [...] 5 California's Lack of a Strong Presence on Key Committees and in the Majority Leadership Could Put the State at a Disadvantage Since federal Medicaid policy changes affect states in different ways, the changes adopted by a committee tend to refl ect the interests of the states represented.