ECONOMIC STIMULUS PACKAGE

THE ECONOMIC SITUATION is the most concerned topics in the present context. President Obama on Saturday in his first video address outlined the details of his $825 billion economic stimulus package that includes provisions to help many U.S. residents retain their health insurance, the New York Times reports. According to Obama, the stimulus package would help about 8.5 million residents retain their health insurance through federal subsidies for COBRA and an expansion of Medicaid He said, "This is not just a short-term program to boost employment," adding, "It's one that will invest in our most important priorities," such as health care, "that are necessary to keep us strong and competitive in the 21st century. After his address, the Obama administration issued a four-page report that includes details on the provisions in the stimulus package. Obama also announced the launch of a new Web site, www.recovery.gov, that will track all government spending under the stimulus package.
Senate Democrats Release Stimulus Package Senate Democrats on Friday released details of their economic stimulus package, which includes about $148 billion in funds for health care, CQ Today reports. Many of the health care provisions included in the Senate version of the stimulus package differ from those in the House version.The Senate version of the stimulus package includes a provision that would extend Medicaid to families who become ineligible for the program because their incomes increase at a cost of $1.3 billion over 10 years; the House version would allow states to expand their Medicaid programs to low-income, recently unemployed workers through 2010 at a cost of almost $9 billion. In addition, the Senate version of the stimulus package includes federal subsidies for 65% of the health insurance premiums under COBRA for nine months, compared with one year under the House version. The Senate version of the stimulus package also does not include a provision in the House version that would allow recently unemployed workers ages 55 and older or those with at least 10 years of tenure at their jobs to continue to receive health insurance through COBRA until they find a new job that offers coverage or reach age 65, when they can enroll in Medicare.The Senate version of the stimulus package includes about $3 billion more for health care information technology than the House version, which includes $20 billion (Yoest, Wall Street Journal, 1/24). Under the Senate version of the stimulus package, the Department of Veterans Affairs would receive at least $3.4 billion for long-term care facilities, construction of new hospitals, and modernization of treatment centers; the House version would provide VA with at least $1 billion. The Senate version of the stimulus package also includes $3.5 billion for research and facility renovations at NIH and $1.1 billion for research on the comparative effectiveness of medical treatments by the Agency for Healthcare Research and Quality. The House version of the stimulus package includes similar funds.