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WASHINGTON - U.S. Representative Jo Ann Emerson (MO-08) today criticized health care, agriculture and defense components of the FY07 Federal Budget proposal.
"I'm not surprised by these budgetary cuts to our nation's vital farm programs, but I am
disappointed. The president has again recommended we break commitments we made in the Farm Bill by limiting payments to producers. These changes would have dramatic impacts on producers in Southern Missouri. Medium-size cotton producers across the U.S. Southeast, mid-South and Southwest would hit the ceiling for payments established in the budget. Cotton and rice producers have already made farming decisions and committed resources based on the commitment made to them in the Farm Bill. I cannot justify to them why the playing field is changing under their feet or why they are being treated different from other commodity groups.
“I am also disappointed that our producers are being asked to accept a five percent across-the-board cut. The timing could not be worse. The farm economy is weakening, energy and other input costs are skyrocketing and we just wrapped up a season of crippling weather disasters. America lost nearly 12,000 farms in the U.S. last year -- 1,000 of those are in Missouri. To add to the bad news, the Federal Reserve Bank of Kansas City tells us lenders are seeing fewer farms repaying their loans than at this time last year. American producers simply cannot bear a cut in their federal support, and we should not ask them to do so -- especially when cuts to other mandatory spending programs are far less severe.
“On health care, I cannot accept the fact that we would threaten Medicare and Medicaid benefits when there are simple solutions to save the government millions and millions of dollars on prescription drugs. I put forward a number of solutions: negotiating the prices of prescription drugs purchased through CMS; increasing the rate of generic utilization; and a safe, secure system of importation. We should also eliminate subsidies for pharmaceutical companies and health insurers as we stop using middle-men like PBM's. In 2006, federal spending on Social Security, Medicare and Medicaid will constitute about 9 percent of the Gross Domestic Product. By 2020, we will be pushing 14 percent. At some point, we have to stop cutting and look for institutional and policy changes to make these programs more efficient without hurting the Americans who rely upon them.”
The FY07 Budget proposes the following cuts, among others, in the area of health care:
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A reduction in the Social Services Block Grant program by $500 million.
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Elimination of the $630 million Community Services Block Grant (CSBG) program.
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Reduction of $133 million in cuts to rural health programs run by HRSA. HHS is
increasing overall rural health funding through other mechanisms, such as Community Health Centers, to make further improvements in rural health. For example, the Medicare Modernization Act makes available $25 billion to rural hospitals and health providers over the next 10 years.
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Elimination of the $99 million Preventive Health and Health Services Block Grant
program.
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Elimination of the Indian Health Service's Urban Indian Health Program, saving $33 million; individuals covered by this program receive care through other HHS programs.
“This is no time to go easy in our commitment to national security. I disagree with cuts in levels of perhaps the most flexible force in our nation right now – the National Guard. I do not understand how we can increase spending on defense in this budget and still cut corners. We should be building the C-17 instead of sinking billions into refurbishing old C-5 airplanes. The C-17 is a strategic asset that is proving invaluable in Iraq and Afghanistan.”
Emerson is a member of the House Committee on Appropriations, where she serves on the Agriculture subcommittee. |
