November 21, 2005
HOUSE PASSES SPENDING RECONCILIATION BILL
The House passed its spending reconciliation package (H.R. 4241) by a vote of 217-215 last week. The bill calls for savings of nearly to $49.5 billion over five years. The Rules Committee approved a manager's amendment making modifications to the measure that would lessen cuts to the Medicaid and Food Stamp programs.
Specifically, the amendment would increase the home equity limit for determining Medicaid eligibility for nursing home care to $750,000 (compared to $500,000 in the Energy and Commerce Committee recommendation); maintain the current $3 co-payment for Medicaid services (rather than increasing it to $5 as in the Energy and Commerce Committee recommendation); allow the Secretary of Health and Human Services to delay the change in pharmacy reimbursement rates under Medicaid if the average prices paid by pharmacies are above the new reimbursable amounts; and expands uses of Medicaid Transformation Grants to encourage the use of generic drugs and to reduce Medicaid drug spending.
Modifications made to the Food Stamp program include several provisions, such as grandfathering in certain legal immigrants who already receive food stamps; allowing children who lose food stamp eligibility to still qualify for free school lunches in some circumstances; and allowing recipients receiving "substantial and ongoing" non-cash TANF benefits to continue receiving food stamps in certain circumstances, as well as recipients whose incomes are 150 percent of the poverty line or less.
Although no new funds were included in the manager's amendment for the Low-Income Home Energy Assistance Program, it appears that assurances were made that the $1 billion in funding already provided in the bill would be increased during conference.
The manager's amendment also dropped provisions (like the previous manager's amendment) that would have allowed oil and natural gas leasing in a portion of the Arctic Natural Wildlife Refuge and that would have allowed Governors to opt-out of the Outer Continental Shelf moratorium.
The measure now heads to conference to be reconciled with the Senate-passed $35 billion version.
HOUSE REJECTS LABOR-HHS-EDUCATION CONFERENCE REPORT
The House last week, failed to pass the conference report for the departments of Labor-Health and Human Services and Education. The bill that would have provided $142.5 billion for discretionary spending in FY 2006, failed by a vote of 209-224. The report eliminated several programs, including rural health research, state planning grants for health care access, comprehensive school reform grants, and occupational and employment information programs under vocational education. To reach an agreement in conference, a number of provisions were also excluded, including an $8 billion Senate provision that would have provided funding for preparation for an avian flu pandemic and additional funding for the Low-Income Home Energy Assistance Program. Additionally, the report did not include earmarks for any congressional districts.
It is unclear whether appropriators will again attempt to pass an FY 2006 Labor-HHS-Ed bill or if they will instead adopt a yearlong continuing resolution. The measure also may possibly be attached to another spending bill as part of an omnibus package.
SENATE PASSES TRIA EXTENSION
Last week, the Senate passed by voice vote a two-year extension (S. 457) of the Terrorism Risk Insurance Act (TRIA). The program, enacted in 2002 following the September 11, 2001, terrorist attacks, is set to expire on December 31, 2005. The bill would narrow the scope of the program and place a greater financial burden on the insurance industry. The Senate Banking panel approved the measure by voice vote on Wednesday, November 16. Similar to the House TRIA measure (H.R. 4314), the Senate bill would increase the trigger level from $5 million to $50 million in 2006 and $100 million in 2007. The House Financial Services Committee approved its measure on Wednesday, November 16, by a vote of 64-3.
It is unclear when the House will consider the bill, although it will likely occur in December. More than 26 Governors recently signed onto a letter urging Congress to extend the program past the December 31 deadline.
Congress Passes Conference Report to FY 2006 Transportation-Treasury-HUD Appropriations Bill
On Friday, November 18, the House voted (392-313) to adopt the conference report to the FY 2006 Transportation-Treasury-HUD Appropriations Bill. The Senate then cleared the bill for the President's signature. The measure contains $65.9 billion in discretionary funds and would provide $36.8 billion for highway programs and $13.8 billion for the FAA. Mass transit projects are funded at $8.2 billion ($200 million less than the $8.4 billion included in the House measures, but $562 million above FY 05 numbers and $427 million above the Administration's requested level).
The final bill would appropriate $1.3 billion for Amtrak. The Administration has threatened to veto the measure if it provided Amtrak with too much funding in the absence of language overhauling the way the passenger rail service does business. The measure separates Amtrak's operations funding from its capital funding. The U.S. Department of Transportation (DOT) will now provide oversight of Amtrak's capital funding and approve grants for projects. Additionally, the conference report stipulates that if the DOT inspector general cannot certify that Amtrak has shown "operational savings" by July 1, 2006, none of Amtrak's money may be used to subsidize food, beverage, and sleeper car service, which typically lose money.
Nevada items secured by our congressional delegation in the draft version of the conference report, are as follows (unofficial list, measure must still be signed by the President):
McCarran International, Las Vegas, Nevada – 3,000,000
Reno, Nevada – 3,300,000
FAA – Reno/Tahoe International, Nevada – feasibility study ILS
FHWA – Obligation limitation for the federal-aid highway program is $35.910 billion, which will be reduced by the standard takedowns of administration expenses, research, discretionary programs, and an off-the-top amount of $625 million for earmarked STP projects in the bill
FHWA – Bypass Bridge at Hoover Dam: Statutory language for reimbursement of funds expended under agreement with Arizona and Nevada
FHWA - Federal Lands:
Craig Road Grade Separation, Las Vegas, NV – 5,000,000
Hoover Dam Bridge, Arizona and Nevada – 1,000,000
Hoover Dam Bridge, AZ – 6,000,000
Interstate 580 Freeway Extension, NV – 1,000,000
Lake Mead Parkway Improvements, City of Henderson, NV – 3,000,000
SR 160 Blue Diamond Highway Widening, Valley View to Rainbow, NV – 3,750,000
FHWA - Interstate Maintenance Disc:
Cactus Avenue/I-15 Interchange Project, NV – 1,000,000
I-215/I-515 Interchange, NV – 1,000,000
I-80 Colfax Narrows Project, NV – 5,000,000
Interchange at Interstate 80 at Fernley, NV – 450,000
FHWA - STP projects:
Clark County, NV Beltway and Interchanges – 150,000
SR-146, Saint Rose Parkway (Phase 2) Reconstruction and Widening, NV – 3,000,000
FTA – Bus & Bus Facilities (in addition to SAFETEA-LU amounts):
Boulder Highway Max Bus Rapid Transit System, NV- 450,000
Nevada Statewide Bus & Bus Facilities, NV – 3,000,000
Reno and Sparks Intermodal Transportation Terminals and Related Development, NV – 500,000
RTC Transit Maintenance Facility, NV - 500,000
FTA – Capitol Investment Grants:
Regional Fixed Guideway Project, Nevada - $3,000,000
FTA – Capitol Investment Grants from previous years not reallocated:
Las Vegas, Nevada, Resort Corridor Fixed Guideway
Other Items – Statutory language requiring transfer of land for Clark County Heliport Facility
HUD
The Department of Housing and Urban Development would receive $34 billion, about $2.1 billion more than enacted last year and $4.9 billion more than the Administration requested, largely because Congress did not consolidate several housing grant programs as the Administration had proposed. Under the measure, Section 8 low-income housing programs would be split into two accounts: tenant-based vouchers, which would receive $15.6 billion; and project-based contracts, which would receive $5.1 billion. The report would fund the Community Development Block Grant program at $4.2 billion - with $3.8 billion of that sum directed toward formula funding.
CONGRESS PASSES CONFERENCE REPORT TO FY 2006 MILITARY CONSTRUCTION-VA APPROPRIATIONS BILL
On Friday, November 18, the House adopted the conference report for the $82.6 billion FY 2006 appropriations bill for military construction and veterans' programs; the measure was then cleared by the Senate. The report recommends $68 billion for the Department of Veterans Affairs, (an increase of $2 billion above the FY 2005 level). Included in the report is $25 million for state extended nursing care facilities and $32 million for grants for construction of state veterans' cemeteries. Approximately $1.2 billion in the measure is "contingent" emergency funding to meet a shortfall in veterans health care.
Nevada specific projects within the bill include funding for operation, maintenance and training related to the Predator unmanned aircraft in Indian Springs, a facility and weapons for the F/A 22 fighter jets at Nellis Air Force Base, and a National Guard facility at Reno/Tahoe International Airport to examine and interpret intelligence gathered by the Predator aircraft as well as $199 million for the construction of a new veteran's hospital in Las Vegas.
*info taken from press releases from our congressional delegation.
SENATE CLEARS CONFERENCE REPORT TO FY 2006 COMMERCE-JUSTICE-SCIENCE APPROPRIATIONS BILL
The Senate cleared the conference report to the FY 2006 Commerce-Justice-Science appropriations bill (H.R. 2862) by a vote of 94-5. The measure provides $2.7 billion for assistance to state and local crime fighting initiatives and contains a provision that exempts the universal service fund from the accounting provisions of the Anti-Deficiency Act for one year, through December 31, 2006. It also provides $80 million in FY 2006 for the Advanced Technology Program. The measure now awaits the President's signature.
For a list of Nevada specific items, please see Senator Reid's November 17 press release: http://www.reid.senate.gov/record2.cfm?id=248998
HOUSE PASSES HURRICANE REGULATORY RELIEF ACT OF 2005
Last week, the House passed under suspension the Hurricane Regulatory Relief Act of 2005 (H.R. 3975). The bill would provide broad regulatory relief, flexibility, and waiver authority for many education, labor, and health and human services program requirements in states affected by hurricanes Katrina and Rita. The measure also would provide loan relief to higher education students and institutions in affected states. Specific provisions include transferability of Highly Qualified Teacher status for states serving displaced students or a hurricane disaster area; teacher loan relief; cancellation of student loans and institutional repayment for cancelled student enrollment; deferment of repayment for active student loans; broad waiver authority for the Secretary of Education; flexibility and waiver authority for the Secretary of Health and Human Services regarding Head Start, the Community Services Block Grant, and the Child Care Development Block Grant; and waiver authority to the Secretary of Labor regarding several labor programs.
For a list of this week's federal grants, please visit our website at: www.nevadadc.org