After Three Tries, Not Enough Votes, and in the Midst of Partisan Recriminations, the Senate Shelves Extenders Bill with FMAP Extension
A month-long effort by Senate Democrats to pass a jobs and extenders bill that included a six-month extension of additional federal Medicaid assistance to states collapsed Thursday evening when a motion to end debate failed to gain the necessary 60 votes. The 57-41 vote was on a new $109 billion substitute bill with a scaled back $16.2 billion FMAP provision introduced June 23rd. The vote was along party lines with only Senator Nelson (D-NE) voting with Republicans. Senators Byrd (D-WV) and Murkowski (R-AK) were absent for the vote. After the defeat, Senate Majority Leader Reid (D-NV) charged that “this process has been abused, saying that the ball is now in Republicans’ court. We have done everything that we could.” He immediately pivoted to other legislation on a small business tax bill. Reid stated that the extenders bill, which included an extension of unemployment benefits, would remain intact and not attached to other legislation.
Senate Finance Chairman Baucus (D-MT) said he spent nearly eight weeks modifying the bill, reducing tax hike provisions, cutting spending and adding offsets to address Senators’ concerns and woo support, in particular, of Senators Collins (R-ME), Snowe (R-ME), and Nelson (D-NE). The new substitute offered mid-week included offsets for everything but extension of unemployment benefits. The FMAP provision was trimmed by $8 billion and reduced the enhanced federal match to states from 6.2% to 3.2% and 1.2% in the second and third quarters of FY 2011. Although this week’s cloture vote gained more support than the failed effort last Thursday, the vote demonstrates member focus on the deficit. However, without additional federal assistance to states and provisions to help individuals and small businesses, many states will now have to revisit their budgets and make deeper cuts in public services—including Medicaid programs. ANCOR appreciates our members repeated contacts to Senators and Representatives over the past several months to pass legislation that included an extension of the additional federal Medicaid assistance.