Senate Tax Cut Bill May Include Funds for State Medicaid Programs
Senate Finance Committee Chair Charles Grassley (R-Iowa) yesterday reached a compromise with fellow Senate Republicans on a 10-year, $435 billion tax cut bill that would provide $20 billion in funds for states, in large part for their Medicaid programs, the Des Moines Register reports. Senate Majority Leader Bill Frist (R-Tenn.) said yesterday that he could support the compromise (Norman, Des Moines Register, 5/8). However, Frist said that Senate Republicans are "pretty evenly divided" over the issue (Dalrymple, AP/Nando Times, 5/7). Grassley said that a provision to provide funds for states "is necessary to win backing for any tax cut package from both parties," the Register reports (Des Moines Register, 5/8). Sen. Susan Collins (R-Maine) said, "I have made very clear to the leadership that I want to continue to work with them to ensure that the final package does contain fiscal relief to the states." The House version of the tax cut bill does not include funds for states, but House Democrats yesterday planned to announce a tax cut bill that would include $44 billion in funds for states for their Medicaid programs and infrastructure investments (AP/Nando Times, 5/7).
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