(April 7, 2008) Legislation introduced this spring by House Energy and Commerce Committee Chairman John Dingell (D-MI) that would postpone seven Medicaid regulations proposed by the Bush administration is currently in jeopardy because of pay-go restrictions.
The Congressional Budget Office found that implementing this legislation would cost $1.65 billion in FY 2008 and 2009.
Under the pay-go rule implemented by Democrats last year, any new spending proposal must be coupled with an offset that would save or raise an equal amount of money.
Most notably, this legislation would block the proposed cut to the Medicaid graduate medical education (GME) program. This proposed regulation would be devastating to teaching hospitals, which act as a safety net for many patients in the community. The Bush administration originally proposed eliminating the federal government’s longstanding practice of matching state Medicaid funds for GME programs last year, stating that it is not consistent with the Medicaid statute to pay for GME activities as a component of hospital services or separately. However, Congress established a moratorium on implementing this rule change until May 25 of this year. Dingell’s legislation would extend the moratorium on this and six provisions until next spring when a new president will be in office.
See other Graduate Medical Education information.