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Spokane, Washington  Est. May 19, 1883

Gop Releases New Welfare Bill Republicans Say Bill Built On Governors’ Proposals

Larry Lipman Cox News Service

Congressional Republicans on Wednesday unveiled their latest proposals to reform welfare and Medicaid, claiming they had adopted most of the guidelines unanimously endorsed by the nation’s governors in February.

The plan, announced by lawmakers in the House and Senate with responsibility over both programs, sets the stage for a campaign showdown with President Clinton this fall.

It came a day after outgoing Senate Majority Leader Bob Dole, the presumptive GOP presidential nominee, outlined his welfare proposal, and four days after Clinton endorsed a radical welfare reform plan proposed in Wisconsin.

Even before the congressional plan was announced, however, three Democratic governors who had voted for the plans developed by the National Governors’ Association indicated that the GOP proposal was unacceptable.

Governors Bob Miller of Nevada, Roy Romer of Colorado and Howard Dean of Vermont told reporters Tuesday that Republicans had made significant changes in the governors’ proposal in order to force a presidential veto.

Republicans responded by claiming their plan gave the governors virtually everything they wanted. Where the GOP had altered the governors’ plan, they said, it was to address concerns raised by the White House.

“This is a compromise bill that I think should have bipartisan support,” said Sen. Bill Frist, R-Tenn.

“There is no poison pill,” said Rep. Billy Tauzin, R-La., referring to Clinton’s criticism that popular legislation has often been laced with unacceptable, unrelated provisions. “We are literally providing the guarantees the president asked for” regarding coverage of children, pregnant women, the elderly and the disabled.

“I challenge those governors to point out the differences,” said Rep. Mike Bilirakis, R-Fla., chairman of the House Commerce subcommittee on health. “They gave these statements and they have not even seen” the bill.

The GOP proposal differs sharply from earlier bills to reform welfare and Medicaid, the federal-state health program for the poor, which Clinton vetoed.

The new plan abandons several policy changes that Democrats had criticized. These include an effort to relax national nursing home standards, make adult children and spouses responsible for nursing home coverage before Medicaid begins, set up a two-tiered system that would reduce Supplemental Security Income benefits for less disabled children, and cut the school lunch program.

In response to White House protests, the new bill guarantees coverage for young children, pregnant women, the elderly and the disabled at least to the extent of current law. It also adds $4.5 billion for child care not in the previous GOP plan.

“We have come a tremendous distance in trying to negotiate and work out a welfare bill,” said Rep. E. Clay Shaw Jr., R-Fla., chairman of the Ways and Means human resources subcommittee. “But we’re getting to the point where there is no more wiggle room.”

Like the plans offered by Clinton and Dole, the GOP plan would limit participation in welfare to five years and require most able-bodied recipient to work at least part time to receive support.

The welfare plan does not include Dole’s suggestion that states have the option to test welfare recipients for drug use, nor does it provide as much federal control as Clinton has proposed.

Despite Clinton’s opposition, the GOP plan links Medicaid and welfare reforms. Noting that both programs are aimed at the poor, Republicans said the biggest stumbling block to moving families off of welfare is a lack of health coverage when they begin working. The Medicaid reforms are designed to allow states to better cover the working poor.

But critics argued that the GOP plan imposes spending reductions that are too steep.

The GOP plan would spend just over $800 billion on Medicaid over the next six years and could reach about $827 billion if states tapped into what they call an “umbrella fund” for unexpectedly high demands for coverage. But that is nearly $100 billion less - without the umbrella fund - than is expected to be spent over the next six years under current law.

xxxx Highlights of GOP bill Welfare recipients would have to work 35 hours a week after two years of receiving benefits. States would be required to have 50 percent of recipients working by 2002. No one could receive welfare benefits for more than five years. States would get an extra $4.5 billion for child care. States would be given flexibility to tailor welfare and Medicaid programs to meet their needs. Children, pregnant women, disabled people and the elderly would continue to receive a guaranteed Medicaid benefits package. Source: House Commerce Committee