Chuck Grassley: “amendment No. 297 is an FMAP amendment. This amendment is about $2.3 billion of the $87 billion that is in this bill for…”

“amendment No. 297 is an FMAP amendment. This amendment is about $2.3 billion of the $87 billion that is in this bill for Medicare. There will be no less money spent in Medicare overall. It will still be $87 billion. We are talking about the $87 billion and the formula as to how it is divided. Let me ask my colleagues a question: If Congress is going to give States $87 billion in Medicaid funds, shouldn't the formula be fair? The exceedingly complex formula in this bill is simply not fair to certain States. It is not fair to States with low unemployment rates or States that have not seen the recession hit full force yet, and for those States where the recession hasn't hit, it is just around the corner. For instance, in the Midwest agricultural areas, we tend to be countercyclical. We tend to be lagging when we hit recession. Yet we will be coming along into recession when the other parts of the country are recovering. Now, those States I just mentioned that have low unemployment, as an example, will see less of the $87 billion than other States. My amendment gives each State a flat 9.5-percent increase in their FMAP payments, and the States can choose which 9 consecutive quarters in any 11-quarter period best fits the economic needs of their State. That is a better, more fair way to spend the $87 billion. This amendment is budget neutral.”