US Bipartisan Budget Plan Approved

25 May 1997

The US House of Representatives' Budget Committee has approved detailsof the bipartisan plan for balancing the budget and cutting taxes.

Included is $115 billion in Medicare savings over five years, but spending would still rise from $209 billion in 1997 to $280 billion in 2002. This is achieved through reduced payments to health care providers, creating health care plans and slight rises in monthly premiums for doctors' coverage. Coverage for mammography, colorectal screenings and diabetes is expanded. The plan calls for $14 billion in Medicaid savings, mostly from reduced payments to some hospitals. About $1.5 billion would be spent to help some Medicare recipients pay monthly premiums for doctors' care.

Republican leaders have said they expect both the House and the Senate to give final approval by the end of the month.

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