House budget plan unveiled

House Budget Committee Chairman Tom Price (R-GA) today unveiled the committee’s budget plan for fiscal year 2016, which would reduce Medicare spending by $148 billion and Medicaid and other health care spending by $913 billion over 10 years. Overall, the plan would reduce spending by $5.5 trillion over the next 10 years to balance the federal budget. With respect to health care, the plan would repeal the Affordable Care Act, including the Independent Payment Advisory Board charged with making coverage decisions on Medicare. It also would create and implement a “premium support” Medicare model, allowing beneficiaries to remain in “traditional Medicare” or transition to the new model; combine Medicare Parts A and B to create a single deductible for seniors; make reforms to medical liability laws to curb frivolous lawsuits; and repeal the Medicare physician sustainable growth rate formula. In addition, the House proposal would repeal Medicaid expansion under the ACA and create a block grant program that gives states flexibility to tailor a program to their communities; and unify Medicaid and the State Children’s Health Insurance Program into a single program. The committee is scheduled to begin consideration of the plan tomorrow.