Van Hollen: No Major Legislation During 'Lame-Duck' Session

Rep. Chris Van Hollen (D-Md.), the third-ranking Democrat in the House, told reporters today that he does not anticipate the House voting on anything big during the brief session of Congress following this November’s elections.

“It’s very clear that there’s not gonna be major legislation during that period,” he said, citing Republican “scare-tactics” as the source of such speculation.

Nonetheless, Rep. Tom Price (R-Ga.), has filed a resolution, to be considered this coming Tuesday - the same day the House will vote on a bill to send emergency aid to states - that would prohibit Congress from voting during the two-month session.

Price defended his resolution on the floor of the House last week.

“Americans are sick and tired of their elected leaders making backroom deals to ram through unpopular, 2000-page bills that no one has read,” he said. “They are sick of out-of-touch politicians, and they are tired of being ignored.”

Van Hollen, however, rebuked Price’s notion, saying the decision by House Speaker Nancy Pelosi (D-Calif.) to call the House back into session was motivated by the need to preserve jobs.

“We’re coming back because it makes no sense from a jobs perspective and…from the prospective of our children’s education to have an insufficient number of teachers in the classroom,” he said.

Senate Breaks Filibuster On State Aid For Teachers

By Rob Sanna-Talk Radio News

The Senate voted 62-38 Wednesday ending debate on state and local government aid in order to prevent teachers, police, and figherfighters from being laid off.

“I can’t tell you how many conversations I’ve had with governors. They’ve cut, they’ve slashed, this is an emergency,” said Majority Leader Harry Reid (D-Nev.). “We’ve never had an economy like this since the great depression, and in some respects, it’s worse than the great depression.”

According to Reid, the bill is fully paid for by other budget cuts and touted that this legislation would cut the national debt by $1.3 billion.

The bill is currently awaiting a vote and when asked if the House would reconvene early to vote, Reid said that he thinks it will be “very difficult for the house to be away from Washington for 5 weeks while we have this legislation waiting for their stamp of approval.”

Senate Must Extend Medicaid Assistance Within Jobs Bill, Say Democrats

By Benny Martinez
University of New Mexico/Talk Radio News Service

The newly-unveiled jobs bill includes legislation that would extend funding of the states’ Federal Medical Assistance Percentage (FMAP) by six months, said Sen. Jay Rockefeller (D-W.V.).

FMAP legislation is next in line in a series of initiatives for the Senate jobs agenda. According to a press release, the legislation will help states with the cost of Medicaid programs to help preserve critical health care assistance for millions of Americans.

In a conference call with reporters on Friday, Rockefeller, along with Senators Carl Levin (D-Mich.), Jack Reed (D-R.I.) and Michigan Governor Jennifer Granholm (D), said that passing the FMAP extension is necessary to preserve jobs and it must be done quickly.

“We have to act swiftly to pass this because if we don’t, it’ll cost the economy up to 900 thousand jobs lost and we can’t have that,” he said. “It’s the right thing to do.”

Levin said that he doesn’t believe a filibuster will be able to stop the bill from passing.

“There was a lesson learned [with] Senator Bunning,” Levin said. “It was clear that the public outcry was strong [then], and I think that kind of outcry will also be strong here, so I will be optimistic that we’re going to be able to get this bill passed with its FMAP provisions.”

Rockefeller said the six-month extension of FMAP is the second of its kind. The first was included in the legislation of the original stimulus package in 2009.

Medicaid & Biomedical Research in our “ailing economy”

Should we invest in Medicaid and Biomedical research in a stimulus package for our down turning economy? The House Committee on Energy and Commerce held a hearing today to discuss “Treatments for an Ailing Economy: Protecting Health Care Coverage and Investing in Biomedical Research.”

In her testimony, Arizona Governor Janet Napolitano (D-Ariz.) stated, “one of the wisest and most effective things Congress can do now to speed a national recovery is to invest in the federal-state programs that Americans rely on during a downturn.” Napolitano continued, “one of the most effective ways to aid in a national economic recovery is temporarily to increase the Federal medical Assistance Percentage (FMAP), or the share of the Medicaid program paid for by the federal government.”

A recent survey of state fiscal conditions found that more than 30 states are currently projecting budget shortfalls in fiscal year 2009, totaling $26 billion. Napolitano said the federal government should “invest in existing programs where it partners with the states.”

The committee discussed how Medicaid is continuously an issue in times of economic struggle, and “congress should make a counter-cyclical stimulus a permanent part of the Medicaid statute” as Gov. Napolitano stated in her testimony.

Alan D. Viard, American Enterprise Institute, agreed that the stimulus package can increase aggregate demand by increasing consumer demand, but it cannot permanently increase the level of jobs. Viard said, “counter-cycical increases in Medicaid matching rates would function poorly as a stimulus tool…Financial transfers from the federal government to the states do not directly boost aggregate demand because they do not directly increase consumer spending, business or residential investment, government purchases, or net exports.”

In regard to the inclusion of BioMedical Research, Families USA Executive Director Ronald F. Pollack expressed support for the National Institute of Health “in order to stimulate the economy.” Pollack said, “if the sum of all NIH awards to the states were to increase by 6.6 percent, the national economic benefit would add up to $3.1 billion worth of new business activity, 9,185 additional jobs, and $1.1 billion in new wages.”

Disagreements over Medicaid funding

The House Subcommittee on Health met to discuss a bill sponsored by Rep. Frank Pallone (D-N.J.) that would increase federal funding given to states for Medicaid. According to Rep. Pallone, over 60 million Americans currently rely on Medicaid for their health care. Pallone said fiscal pressure on states, coupled with the state of the economy, is causing more Americans to seek Medicaid's assistance. By protecting Medicaid, Pallone said Congress would be protecting Americans' access to medical care while securing jobs in health care nationwide.

Pallone said his bill is similar to an economic stimulus plan put forth by the Republican Congress in 2003 and signed by President Bush. Both legislation call for temporary increases in funding that help prevent states from cutting Medicaid services and creates the possibility of states reinstating abandoned programs. Democrats on the subcommittee, concerned over health care accessibility and declines in a faltering economy, expressed their desire to retain social services for low-income Americans.

Rep. Michael Burgess (R-Texas) criticized the actions of Pallone's bill. He said 40 states experienced budget shortfalls when Congress increased Medicaid allocations in fiscal year 2003, contrasting that number with the 29 states that face budget short falls in fiscal year 2008. Burgess said the subcommittee is failing to address critical energy issues.

In an effort to reform Medicaid funding, James Frogue of the Center for Health Transformation advocated using the internet to make states more accountable for their spending. Frogue cited a New York Times article that called 40 percent of Medicaid claims in New York State into question. Frogue said Congress should verify that states are using funds responsibly prior to allocating additional funds.