Clark Hill

Government & Public Affairs Update

August 10, 2010

 

 

 

Government & Public Affairs Team

 

R. Daniel Beattie

Alan L. Canady

Delbert J. Chenault

Roderick S. Coy

Denise Ilitch

Andrew C. Richner

Donald F. Tucker

Reginald M. Turner
John Van Fossen, Practice Group Leader

Lucius A. Vassar
Chris Wagner

 

 

Offices

 

Birmingham, MI

Detroit, MI

Grand Rapids, MI

Lansing, MI

Chicago, IL

Phoenix, AZ

Washington, DC 

  

 

 

House Returns From Recess to Approve State Aid


Following Senate approval of an aid package last week that will send $26 billion to state governments to extend Medicaid funding and prevent teacher layoffs, House Speaker Nancy Pelosi (D-CA) indicated that the House would return from its 5-week recess to vote on the bill.

Senate Republicans Susan Collins and Olympia Snowe of Maine joined Democrats in supporting the measure, resulting in a 61-39 vote for the legislation and a recall of the House this week to continue Democrats' emphasis on their efforts to create jobs despite  continually high unemployment.

As a result, $16.1 billion is provided for state Medicaid programs - about half of what President Obama had requested initially, as well as $10 billion to prevent tens of thousands of teacher layoffs.

However, due to record budget deficits and political expediency, Democrats needed to reduce those amounts to ensure that the bill was paid for by decreasing the amount of renewable energy loan guarantees available through the Department of Energy, increasing taxes on multinational corporations and reducing food stamp funding from levels approved in last year's stimulus bill.

The House approved the bill easily by a margin of 247-161 and then adjourned until September 14.  The bill now awaits the President's signature.

 

 

If you have any questions concerning these issues, please contact Chris Wagner at 202.772.0924 or cwagner@clarkhill.com.

 

 

To find out more about Clark Hill and our Government & Public Affairs Practice Group, visit clarkhill.com or call 800.949.3124

 

 

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