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For Immediate Release: Wednesday, March 16, 2005

contact: Joann Bowman 503-957-4364 Jennifer Fuson 202-339-9350

Medicaid Matters: Support for Smith Amendment Gains Momentum in Senate

(Washington, DC) — After a heavy push from activists in Oregon, the state’s U.S. Senators have taken the lead to protect the Medicaid program from drastic federal budget cuts, with Oregon Senator Gorgon H. Smith (R) offering an amendment this week that would protect an estimated $14 billion in Medicaid funding from Senate budget cuts. The Republican leadership is expected to try to derail this amendment.

Oregon Action is conducting a statewide campaign that includes a series of newspaper advertisements, postcards sent to legislators, letters to the editor, and clever actions depicting millionaires thanking low- and middle-income constituents for bearing the brunt of the federal budget cuts.

“Medicaid provides critical support to Oregon's health care infrastructure. We are grateful that our Senators, and particularly Senator Smith, have taken leadership to support Medicaid,” said Mallory Pratt of Oregon Action.

The amendment, to be finalized this week, would eliminate the requirement that the Senate Finance Committee find $15 billion in mandatory spending cuts over five years—and an estimated $14 billion targeted toward Medicaid.

Low-income Households Hit the Hardest; Wealthy Get $70 Billion

Medicaid is just one program among many that help the working poor and face billions of dollars in cuts. The Senate Budget Committee’s proposed budget, released last week, continues with $70 billion in additional tax breaks for the wealthy and cuts entitlement programs (like Medicaid, food stamps, student loans) by $32 billion by 2010—increasing the deficit by an estimated $130 billion over the next five years.

These cuts to low-income programs include roughly:

• $6.6 billion to student loan programs
• $15 billion to Medicaid
• As much $2.8 billion to nutrition programs

“The federal budget reflects our priorities as a nation, yet the priorities in this budget – massive tax breaks for the rich, increasing the deficit by billions of dollars, all while cutting services and supports for working families across the country – are completely out of step with reality,” said Deepak Bhargava, Executive Director, the Center for Community Change.

Oregon Action is a statewide grassroots organization dedicated to progressive social change.

The Actions Speak Louder campaign, led by the Center for Community Change, is an effort to hold President Bush accountable for his budget decisions and the priorities they reflect. The campaign will raise awareness, spark grassroots action and start a dialogue with people in ‘red’ states as to whether the President’s budget reflects the moral values he espouses. To see what’s at stake, visit www.ActionsSpeakLouder.org

© 2005 The Center for Community Change

1000 Wisconsin Ave. NW, Washington, DC 20007
(202) 342-0519 | info@communitychange.org