FEDERAL LEGISLATIVE REPORT April 18, 2008

[Omaha Steve]

Below are the top stories of the week from Capitol Hill.

In this issue:

* Bill to Block Bush Cuts to Medicaid Moves Forward
* Aid to Cash Strapped States
* House Democrats Rally for Child Care and Head Start Funding Increases
* New Evidence that Employers Continue to Drop Health Benefits
* House Committee Approves Extension of Unemployment Benefits
* House Passes Student Loan Bill

Bill to Block Bush Cuts to Medicaid Moves Forward
A House committee unanimously approved legislation (H.R. 5613) that would block implementation of seven harmful Bush Administration Medicaid regulations. These regulations would cut $20 billion in federal funds to states over five years, but states may actually have to absorb $50 billion in cuts over that period if the regulations are implemented. A top Administration official has threatened a veto of the bill and Sen. Charles Grassley (R-IA) has spoken out against a Medicaid regulation moratorium, which indicates that Senate Republicans may vigorously fight passage of this legislation.
(Linda Bennett- [e-mail])

Aid to Cash Strapped States
Legislation introduced in the Senate (S. 2819) to provide states with an additional $12 billion in temporary federal funds has 18 cosponsors, but more are needed. The bill, like H.R. 5613 which is moving in the House, helps state budgets by putting a hold on the Administration's cuts to states through recent Medicaid regulations. At present, twenty-seven states are looking to cut public services and jobs because of budget shortfalls in FY 2009 and another three states expect budget problems in FY 2010.
(Linda Bennett- [e-mail])

Please write your Senators asking them to cosponsor S. 2819, which provides fiscal relief to ease your state's budget crisis.

House Democrats Rally for Child Care and Head Start Funding Increases
On Monday, April 14th, members of the House of Representatives worked with AFSCME to discuss on the House floor the importance of providing adequate funding to support quality child care and Head Start programs for America's low-income and working families. This got members "on the record" as the funding committees in Congress will soon be considering how much to allocate for these programs. .Rep. Debbie Wasserman Schultz (D-FL) led the discussion and was joined by Reps. Lois Capps (D-CA), Jason Altmire (D-PA), Mazie Hirono (D-HI), Yvette Clarke (D-NY), Dale Kildee (D-MI), Dave Loebsack (D-IA), Joe Sestak (D-PA), Ike Skelton (D-MO), Nancy Boyda (D-KS), Jackie Speier (D-CA), Eddie Bernice Johnson (D-TX), Jim Matheson (D-UT), and Danny Davis (D-IL).
(Becky Levin- [e-mail])

New Evidence that Employers Continue to Drop Health Benefits
A new report by the Economic Policy Institute (EPI) finds that it is getting harder and harder for working families to hold onto their health care coverage. In its report, "A Decade of Decline: The Erosion of Employer-Provided Health Care in the United States and California, 1995-2006," http://www.epi.org/content.cfm/bp209, EPI finds that 6.4 million fewer workers had employer-provided health insurance in 2006 compared with 2000. The loss of coverage is attributed to a decline in employers providing coverage. Unfortunately, as employers drop coverage, some of the financial burden of paying for care for uninsured workers is shifted to those who have insurance. In fact, it is estimated that on average, $1,000 of the annual premium that is paid by employers and their workers for health benefits, goes to pay for care for the uninsured. Insurance coverage for AFSCME members would be less costly if all employers helped to pay for coverage for their workers.
(Barbara Coufal- [e-mail])

House Committee Approves Extension of Unemployment Benefits
A House committee this week approved an extension of unemployment benefits. The bill (H.R. 5749) passed by a 23-13 vote, mostly along party lines, however, three Republicans did vote for the bill: Phil English (PA), Dave Camp (MI), and Jon Porter (NV). A Republican alternative that would have narrowed the scope and effectiveness of the program was rejected by a vote of 13-24. The unemployment benefits extension bill is expected to be part of a second economic stimulus package that congressional Democrats hope to move through Congress within the next month.
(Nanine Meiklejohn- [e-mail])

House Passes Student Loan Bill
On Thursday, April 17th, the House passed H.R. 5715, a bill intended to ensure student access to federally backed loans this fall. It would raise the limits on how much students can borrow, give parents the option to defer repayment on PLUS loans until up to six months after their children leave school, provide temporary authority to the Department of Education to purchase student loans from lenders and clarify that the Secretary of Education has the authority to advance funds to guaranty agencies operating as lenders of last resort.
(Becky Levin- [e-mail])

Click here to join the AFSCME e-Activist Network.

AFSCME Department of Legislation
Phone: [phone] or 800/732-8120
Fax: [phone]
E-mail: [e-mail]
Website: http://www.afscme.org/
Produced by Union Labor