HR3971OCT7

TheWeekInCongress.com

Week Ending October 7, 2005

H.R.3971 To provide assistance to individuals and States affected by Hurricane Katrina.

BRIEF

The bill provides social services to victims of the storm and makes some non-germane modifications to what Medicare and Medicaid covers.

$15 million to Alabama, $85 million to Mississippi and $400 million to Louisiana will be sent to bolster the Unemployment Trust Fund for those states. States affected by Katrina but not hit by the hurricane would see financial help to assist evacuated families. In particular, if a family left the area to avoid the hurricane, came back and qualified for assistance but wasn’t there when the assistance was doled out, can still receive the assistance.

The bill would eliminate Social Security coverage for any drug made to combat erectile dysfunction (Unless the drug has that effect but is prescribed for another use). Medicare and Medicaid are prohibited from funding such prescriptions.

In the sexual arena, however, the bill extends abstinence education and promises to provide funds not otherwise appropriated to carry out that provision.

Sponsor: Representative Nathan Deal (R-GA-10^th)

Vote: Passed House by voice vote October 6, 2005

Cost to the taxpayers: CBO estimates that H.R. 3971 will increase direct spending by $341 million in 2006, mostly for payments of Medicare Part B premiums and transitional medical assistance. However, the act will reduce direct spending by $1.5 billion over the 2006-2015 period, largely from
the elimination of coverage for erectile dysfunction drugs. CBO estimates that the act will also reduce revenues by $394 million over the same period.