Thursday, February 05, 2004

Controversial changes to Medicare
Article in the February APA Monitor - "The prescription drug benefit and other proposed changes to Medicare sparked a national debate in 2003. The bill Congress passed last year could significantly change the health-care landscape, giving managed care even more influence. Perhaps the most controversial changes are components of the law that introduce incentives for private competition in an attempt to control the costs of the Medicare system..."  
  

Federal Agencies Face Cuts
Washington Post story on President Bush's budget proposal - "President Bush announced a $2.4 trillion budget for fiscal 2005 yesterday that would cut spending for nearly half the federal government's agencies while directing record sums toward anti-terrorism and military programs. Growth in discretionary spending in the rest of the government would be held to 0.5 percent. The budget eliminates or cuts 128 programs, part of Bush's plan to reduce the budget deficit -- $521 billion this year -- by 50 percent within five years. ... The Department of Health and Human Services' total request of $580 billion for fiscal 2005 represents a 5.8 percent increase from 2004. The discretionary portion of the budget would decrease by 1.6 percent to $68 billion. The new prescription drug benefit for seniors and the overhaul of the Medicare bill is driving the increase in spending, as is the five-year doubling of community health centers for the uninsured." See also the January 31 Post story Higher Medicare Costs Suspected for Months - "Bush administration officials had indications for months that the new Medicare prescription drug law might cost considerably more than the $400 billion advertised by the White House and Congress, according to internal documents and sources familiar with the issue. .."