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Rendell Says States Unlikely To Get Extra Medicaid Funds


Posted on Jul 16, 2010

There is “less than a 50-50” chance Congress will approve the $11.6 billion in extra federal Medicaid assistance U.S. states have included in their current budgets, Governor Ed Rendell said today.

Rendell, 66, called the denial of funding “a disaster” in an interview with Erik Schatzker on Bloomberg Television’s InsideTrack today. He said he spoke about the issue last night with Senate Majority Leader Harry Reid, a Nevada Democrat.

Faced with concern that the federal deficit is swelling, the Senate twice has failed to generate the 60 votes needed to bring the proposal to a vote. The loss of the extended Medicaid funding will cost more than 200,000 government jobs, according to Mark Zandi, chief economist of Moody’s Analytics Inc.

In Pennsylvania, Rendell said 20,000 teachers, police and government workers will be fired if the $848 million in extra federal aid included in his $28 billion budget isn’t approved.

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