House Passes Dingell-Murphy Bill Protecting Medicaid Recipients

Press Release

Date: April 23, 2008
Location: Washington, DC


House Passes Dingell-Murphy Bill Protecting Medicaid Recipients

Bill saves Pennsylvania $275 million

Medicaid beneficiaries will continue to receive crucial services after the House of Representatives today overwhelmingly passed legislation that prevents severe cuts to the program and saves taxpayers money by eliminating waste, fraud, and abuse. Working with House Energy and Commerce Chairman John Dingell (MI-15), Congressman Tim Murphy (PA-18), helped steer the legislation through to final passage as prime co-sponsor.

"Working together today, Congress today ensured that our nation's most vulnerable, our children and those with physical and mental disabilities, will continue to receive much needed Medicaid services," said Congressman Tim Murphy, who helped draft the legislation. "Without this legislation, Pennsylvania alone would have lost $275 million in federal Medicaid money next year and an additional $285 million the next. This would have adversely affected the delivery of services for long-term care facilities, schools serving children with mental or physical health needs, teaching hospitals, case manage programs, and other areas that rely on Medicaid to pay for care."

During the past year, HHS issued a number of regulations that would reverse long-standing Medicaid policies and eliminate federal payments for a variety of critical Medicaid functions. The rules would affect payments to: public safety net institutions; coverage of rehabilitation services for people with disabilities; outreach and enrollment in schools as well as specialized medical transportation to school for children covered by Medicaid; graduate medical education payments; coverage of hospital clinic services; case management services that allow people with disabilities to remain in the community; and state provider tax laws. The Protecting the Medicaid Safety Net Act (H.R. 5613) prevents the implementation of these regulations for one year

"The legislation also builds safeguards into the Medicaid system so people can not falsely claim benefits, protecting taxpayers from paying for such scams and fraud," continued Congressman Murphy. "It also ensures Medicaid money goes to the needy and most in need of care. We were able to garner strong bipartisan support by eliminating fraudulent practices by requiring an electronic asset-verification system for Medicaid. There will now be a net savings for taxpayers

"The Dingell-Murphy bill shows how Congress can work together to reform healthcare and save money. We now have the opportunity to move forward on other reforms, such as eliminating healthcare acquired infections, reducing medical errors, and using health information technology to reduce costs and save lives. It is disappointing that the President continues his veto threat on legislation that will help the sick, poor, and disabled when families are struggling with the economy. I encourage the Senate to follow the House's example and pass bipartisan legislation to preserve services to Medicaid patients and work with us on these and other reforms."


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