Now GOP Congress Goes After Medicare and Seniors

Compassionate... oooo sooooo compassionate.

Congressional committees have proposed substantial cutbacks in Medicaid and Medicare, the nation's largest health insurance programs, which together cover more than one-fourth of all Americans.

The two houses of Congress are expected to approve the changes in the next two weeks as part of competing bills to slow the growth of federal spending. Negotiators from the two chambers would then try to work out the differences.

The House bill would take all of its savings from Medicaid, the program for low-income people, while leaving Medicare, the program for those 65 and older and the disabled, untouched, as the Bush administration wants. By contrast, the Senate bill would squeeze savings from both programs.

Under the House bill, states would gain sweeping authority to charge premiums, increase co-payments and trim benefits for Medicaid recipients, so benefit packages would look more like the private insurance provided by employers.

The Congressional Budget Office estimated that these changes would save the federal government more than $4 billion in the next five years, with savings of more than $3 billion for the states.