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Washington Highlights: February 18, 2005

Senators, Provider Groups React to Medicaid Reform Proposals

Expressing concern that reforming Medicaid through budget reconciliation "is not a dialogue or conversation," Sen. Jeff Bingaman (D-N.M.) joined Sen. Gordon Smith (R-Ore.) Feb. 9 to introduce bipartisan legislation (S. 338) that would establish a Bipartisan Commission on Medicaid. Comprised of state and federal legislators, policy experts, providers, and beneficiaries, the 23-member Bipartisan Commission would have 14 months to conduct hearings, commission research, and make recommendations on how to best address rising Medicaid expenditures within the context of tight state and federal budgets.

During his floor statements introducing the bill, Sen. Smith explained that "[f]or too long Medicaid has gone unnoticed by policy makers…even though it recently became the nation's largest health care program." Sen. Smith added "we have a unique opportunity in the history of the Medicaid program. For once, everyone seems to be focused on protecting and improving the program. The challenge lies in bringing everyone together."

Cosponsors for S. 338 include Sens. Olympia Snowe (R-Maine), Jim Jeffords (I-Vt.), Rick Santorum (R-Pa.), John Kerry (D-Mass.), Mike Dewine (R-Ohio), Dick Durbin (D-Ill.), Lincoln Chafee (R-R.I.), Blanche Lincoln (D-Ark.), Susan Collins (R-Maine), Ben Nelson (D-Neb.), George Voinovich (R-Ohio), Jon Corzine (D-N.J.), Norm Coleman (R-Minn.), John Ensign (R-Nev.), Chuck Hagel (R-Neb.), Mary Landrieu (D-La.), Patty Murray (D-Wash.), Frank Lautenberg (D-N.J.), and John McCain (R-Ariz.). A House companion bill is expected to be introduced shortly.

A Feb. 15 letter to Congress signed by 21 provider groups expressed similar concerns that the "Medicaid reductions as outlined in the President's budget proposal" may undermine efforts "to ensure that our healthcare safety net is reliable, secure, and provides quality care to our nation's poor and elderly." It urged Congress "to reject any proposal that will put our most vulnerable citizens in jeopardy."

Information:
Christiane Mitchell, Director, Federal Affairs
AAMC Government Relations
cmitchell@aamc.org
(202) 828-0526

Bipartisan Bill Would Expand Stem Cell Lines

Some of the foremost congressional champions of stem cell research held a joint press conference on Capitol Hill Feb. 16 to announce bipartisan legislation to expand the current federal policy on research involving human embryonic stem cells.

The "Stem Cell Research Enhancement Act of 2005" would expand the Administration's policy on federal support for research using human embryonic stem cell lines. Under the current federal policy, only stem cell lines derived before Aug. 9, 2001, are eligible for federally funded research. The proposed legislation would lift that restriction, permitting federally funded research on human embryonic stem cell lines regardless of the date on which they were derived. The legislation also would direct the National Institutes of Health to develop appropriate ethical guidelines for future derivation of human stem cell lines.

Reps. Mike Castle (R-Del.) and Diana DeGette (D-Colo.) are leading the effort on the House bill (H.R. 810), which has more than 150 cosponsors. Senators Arlen Specter (R-Pa.) and Tom Harkin (D-Iowa) are leading the Senate proposal, which also is cosponsored by Senators Orrin Hatch (R-Utah), Gordon Smith (R-Ore.), Dianne Feinstein (D-Calif.), and Edward Kennedy (D-Mass.).

The Coalition for the Advancement of Medical Research (CAMR), which is composed of more than 90 nationally recognized organizations including the AAMC, has endorsed the legislation. In a Feb. 15 letter to the bills' cosponsors, CAMR noted, "More than three years have passed since President Bush articulated the current federal policy in this area in a nationally televised statement in August 2001. Since then, we have learned much more about the potential of research on human stem cells to open vistas of scientific research for future therapies and cures that could save millions of lives at risk today…. We have also learned that the limitations placed by the existing federal policy are consigning U.S. medical research to the sidelines even as other nations are hurrying to develop this field."

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

House Appropriations Committee Reorganizes

House Appropriations Committee Chairman Jerry Lewis (R-Calif.) Feb. 11 announced a new organizational structure for the committee that reduces the number of subcommittees from 13 to 10 by eliminating the Legislative Branch and District of Columbia subcommittees and dividing up the programs under the VA-HUD subcommittee into the remaining subcommittees. Legislative Branch appropriations will now be handled at the full committee level, and jurisdiction over funding for the District of Columbia will move to the Transportation, Treasury, HUD and Judiciary subcommittee.

Ralph Regula (R-Ohio) remains chairman of the Labor, Health and Human Services, Education and Related Agencies subcommittee, and David Obey (D-Wis.) will continue as the ranking Democratic member. The only change to the make-up of Labor-HHS subcommittee is the addition of Rep. James Walsh (R-N.Y.) to replace Mike Simpson (R-Idaho). Appropriations for the Department of Veterans Affairs will now be handled by the Military Quality of Life Subcommittee, to be chaired by Rep. Walsh who moves over from the VA-HUD subcommittee; Chet Edwards (D-Texas) will be the ranking member. Jurisdiction over the National Science Foundation will move to the Science, State, Justice and Commerce subcommittee, and be chaired by Frank Wolf (R-Va.) with Alan Mollohan (D.-W.Va.) as the ranking member.

Senate Panel Approves Slate of Health Bills

The Senate Health, Education, Labor and Pensions (HELP) Committee Feb. 9 passed the Genetic Information Nondiscrimination Act (S. 306), the Trauma Care Systems Planning and Development Act (S. 265) and the Children's Hospital Educational Equity and Research (CHEER) Act (S. 285). Sponsored by Sen. Olympia Snowe (R-Maine), S. 306 seeks to bar employers from using genetic information in employment decisions and to prohibit insurers from using it to make coverage decisions. The full Senate passed the bill Feb. 17 and sent it to the House where it is expected to languish due to objections from the business community.

Cosponsored by Senate Majority Leader Bill Frist (R-Tenn.) and Sen. Edward Kennedy (D-Mass.), S. 265 reauthorizes the trauma care program through FY 2009 and increases trauma care and emergency services research and development, with an emphasis on improving care in rural areas. It also commissions an Institute of Medicine study on the state of trauma care and research.

S. 285 is sponsored by Sens. Kit Bond (R-Mo.) and Kennedy and reauthorizes the Children's Hospital Graduate Medical Education program at $330 million for FY 2006 and such sums as necessary through FY 2010. This program, created in 2000, provides funds to freestanding children's hospitals to support the training of pediatric and other residents in graduate medical education programs. This bill and S. 265 have not yet been placed on the Senate calendar.

Information:
Erica Froyd, Director, Public Health and Research Legislative Affairs
AAMC Government Relations
efroyd@aamc.org
(202) 828-0525

Crawford Formally Nominated for FDA Post

President Bush Feb. 14 formally announced his intention to nominate Lester M. Crawford, D.V.M., Ph.D., to be Commissioner of the Food and Drug Administration (FDA). Dr. Crawford has served as the Acting Commissioner since March 2004. Previously, Dr. Crawford was Chair of the Department of Physiology-Pharmacology at the University of Georgia, Administrator of the Food Safety and Inspection Service (USDA) and Deputy Commissioner of FDA. From 1997-2002, he was Director of the Center for Food and Nutrition Policy at Georgetown University and at Virginia Tech, where it moved in 2001. Dr. Crawford received his D.V.M. from Auburn University, and his Ph.D. in pharmacology from the University of Georgia.