House proposes to strike extension of Medicare sequester to pay for trade bill

House leaders today proposed removing additional sequestration cuts on Medicare in 2024 to pay for the cost of extending the Trade Assistance Adjustment program. The proposal, which is contained in the Trade Preferences Extension Act of 2015, would replace the Medicare sequester extension approved last month by the Senate with savings by strengthening federal tax compliance laws. The striking of the Medicare sequester and replacement pay-for would be included in the Africa Growth and Opportunity Act component of the trade package, which would then have to pass the Senate. Despite objections from the AHA and other health care organizations, the Senate May 22 approved trade legislation (H.R.1314) that would extend the Medicare sequester to the last six months of 2024, increasing the amount cut by $700 million, the Congressional Budget Office estimates. The House is expected to consider the Trade Preferences Extension Act of 2015 this week along with a bill containing both the TAA program and a renewal of trade promotion authority.