Both Democrats and Republican in the National Governor's Association are opposing the Bush Administration's planned cuts to Medicaid payments. As part of the 2007 budget, the cuts would reduce the rate that states tax nursing homes and hospitals from six percent to three percent. The White House says the changes are necessary in order to preserve the program. HHS Secretary Mike Leavitt added that it would "remove incentives for states to shift the responsibly to fund their share of the Medicaid program to health care providers." But state governors maintain that the cuts shift too much burden to the states and they're not alone with their criticism. More than 330 Congressmen have voiced opposition to the plan and nursing homes and hospitals have also expressed concern. Critics say the cuts will severely limit how well states can care for the poorest patients. Congress had voted against similar cuts in the last two years.
- read this New York Times article