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Government Affairs Home > Washington Highlights > March 28, 2003

Senate Passes Budget Plan

March 28, 2003 - The Senate March 26 passed its FY 2004 budget resolution (S. Con. Res. 23) by a 56 to 44 vote after 8 days of debate and 50 roll call votes. Six Democrats voted for final passage, and one Republican, Senator John McCain (R-Ariz.) voted against it. The Senate resolution must now be reconciled with the version (H. Con. Res. 95) the House passed March 21 by a vote of 215 to 212.

Much of the attention of the House and Senate negotiators will focus on the difference between the two resolutions in the size of the proposed tax cut. The House budget plan includes the President's proposal for $726 billion in tax cuts, while the Senate voted to limit the tax package to $350 billion.

Other issues to be resolved include the levels of Medicaid (see related article) and discretionary spending for FY 2004. The Senate added $7 billion in discretionary spending, raising its total to $791 billion. The House resolution includes $775 billion in discretionary spending for FY 2004, and the President's budget proposed $786.6 billion, according to the Congressional Budget Office.

By a 96 to 1 vote, the Senate March 25 approved an amendment offered by Senate Labor-HHS-Education Appropriations Subcommittee Chair Arlen Specter (R-Pa.) to add $2.8 billion for discretionary health programs. According to a summary from Senator Specter's office, $1.8 billion of the additional funds would be assumed for the NIH ), $600 million for CDC, and $400 million for health professions education programs in HRSA. The Senate action raises the total included for discretionary health programs to $52.4 billion in FY 2004, an increase of $2.95 billion (6 percent) over FY 2003, and $4.3 billion more than assumed in the House budget resolution.

House and Senate conferees are not expected to meet formally until April 2; however, Members and staff have already begun preliminary talks. One factor that may delay the budget conference is consideration of the $74.7 billion FY 2003 supplemental spending request for the war in Iraq that the President submitted to Congress March 25. House and Senate leaders have indicated they will push for completion of the supplemental before the start of the two-week recess on April 11.

The AAMC joined more than 30 national organizations in a March 27 letter to the chairs and ranking members of the House and Senate Appropriations Committees urging them "to set aside funding in the emergency supplemental request for homeland security needs and specifically to support the smallpox compensation program and state and local efforts to vaccinate first responders."

Information:
Dave Moore, Senior Director
AAMC Government Relations
dbmoore@aamc.org
(202) 828-0525

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