Senate to Attempt to Pass Extenders Bill for Third Time - June 22, 2010

Earlier today, Senate Finance Committee Chairman Max Baucus (D-MT) released a third version of a substitute amendment to H.R. 4213, a jobs and tax extenders package which has been languishing in the Senate. The new amendment includes a scaled-back extension of enhanced federal Medicaid funding for states (FMAP). Specifically, the bill provides for a six-month extension of FMAP, but at a reduced enhancement rate. Last year’s American Recovery and Reinvestment Act (ARRA) provided an FMAP increase of 6.2 percent over the baseline, through December 2010. The new Baucus substitute provides a 5.3 percent increase over the baseline in FY 2011 Q2 (January-March) and 3.2 percent over the baseline in Q3 (April-June). The bill also includes a limited extension of 340B drug discounts to the inpatient setting for some safety net hospitals.

Senate leaders are whipping votes on the new amendment now. It is not yet clear if or when the Senate will move the bill forward.

In an effort to keep you continuously updated on these issues as well as health reform implementation developments, NAPH has started posting a weekly podcast called This Week in Washington.