CQ’s Carey Discusses Medicare, SCHIP Legislation, VA Secretary Confirmation

Mary Agnes Carey, associate editor of CQ HealthBeat, examines a scaled-back Medicare bill being developed by the Senate Finance Committee, President Bush's second veto of SCHIP legislation and Senate confirmation of the new Department of Veterans Affairs secretary in this week's "Health on the Hill from kaisernetwork.org and CQ."

According to Carey, the House and Senate have not yet agreed on a Medicare package, but members of the Finance Committee are working on a scaled-back version of the bill. The measure seeks to delay a scheduled 10% reduction in Medicare physician fees. The legislation likely will not include major cuts in Medicare Advantage plans; instead, the measure might tap into money from a "stabilization fund" included in the Medicare drug benefit to fund the fee cut fix, Carey says. A long-term extension of SCHIP also could be included in the bill, according to Carey. A continuing resolution funding SCHIP expires on Friday.

Carey also discusses Bush's veto of legislation that would have reauthorized and expanded SCHIP. Bush said that the bill is too expensive and that it will shift children who currently have private health coverage into government-sponsored programs -- the same objections the president had to the first SCHIP bill. Carey says that a long-term extension of SCHIP, which will be included in Medicare legislation, is the likely outcome of the SCHIP debate. House Speaker Nancy Pelosi (D-Calif.) has scheduled a veto override vote for Jan. 23, 2008, just days before Bush is scheduled to deliver the State of the Union address on Jan. 28, 2008. Carey also details the status of several fiscal year 2008 appropriations bills.

Lastly, Carey discusses Veterans Affairs Secretary James Peake's goals for the agency, including improved treatment for post-traumatic stress disorder. The Senate confirmed Peake as VA secretary last week. Bush has said he expects Peake to implement recommendations from a presidential commission led by former Sen. Bob Dole (R-Kan.) and former HHS Secretary Donna Shalala. The recommendations call for an overhaul of the VA disability benefits system and improved treatment of mental health disorders. According to Carey, the Senate also recently took action on legislation that would expand programs and funding for treatment of traumatic brain injuries for veterans returning from Afghanistan and Iraq (Carey, "Health on the Hill from kaisernetwork.org and CQ," 12/17).

The complete audio version of "Health on the Hill," transcript and resources for further research are available online at kaisernetwork.org.