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2010 Budget notes: Department of Health and Human Services ($99.2B)

Includes $22.4 billion from the Recovery Act

By Richard Hartman Mar 01 2009, 05:57 AM

The Department of Health and Human Services (HHS) is the Federal Government's principal agency for protecting the health of all Americans and for providing essential human services.  Its motto is "Improving the health, safety, and well-being of America".

Funding Highlights:

  • Accelerates the adoption of health information technology and utilization of electronic health records.
  • Expands research comparing the effectiveness of medical treatments to give patients and physicians better information on what works best.
  • Invests over $6 billion for cancer research at the National Institutes of Health as part of the Administration's multi-year commitment to double cancer research funding.
  • Strengthens the Indian health system with sustained investments in health care services for American Indians and Alaska Natives to address persistent health disparities and foster healthy Indian communities.
  • Invests $330 million to increase the number of doctors, nurses, and dentists practicing in areas of the country experiencing shortages of health professionals.
  • Supports families by providing additional funding for affordable, high-quality child care, expanding Early Head Start and Head Start, and creating the Nurse Home Visitation program to support first-time mothers.
  • Strengthens the Medicare program by encouraging high quality and efficient care, and improving program integrity.
  • Invests over $1 billion for Food and Drug Administration food safety efforts to increase and improve inspections, domestic surveillance, laboratory capacity and domestic response to prevent and control foodborne illness.


Makes a down Payment on health Care Reform

The 2010 Budget establishes a reserve fund of more than $630 billion over 10 years to finance fundamental reform of our health care system that will bring down costs and expand coverage. The reserve is funded half by new revenue and half by savings proposals that promote efficiency and accountability, align incentives toward quality, and encourage shared responsibility. In addition, the Budget calls for an effort beyond this down payment, to put the Nation on a path to health insurance coverage for all Americans. However, additional funding will be needed. This effort must be open, and must consider all kinds of approaches as part of this process. Some major strides have already been made in the American Recovery and Reinvestment Act of 2009, including $19 billion for health information technology, $1 billion for comparative effectiveness research, and subsidies for the newly unemployed to maintain their health insurance. These initiatives put the Nation on the path toward fundamental health reform.

Accelerates the Adoption of Health Information Technology (HIT).

Building on the historic $19 billion investment in the Stimulus Package, the Obama Administration will continue efforts to further the adoption and implementation of health IT - an essential tool to modernize the health care system. The 2010 budget offers physicians and hospitals participating in the Medicare program temporary incentive payments starting in 2011 for using a certified electronic health record (EHR) followed by financial penalties starting in 2015 for failure to use such a system. It also offers incentive payments to Medicaid providers, including physicians and children's hospitals, to assist with the purchase, implementation, and use of certified EHR technology. These incentives, coupled with other activities authorized in the recovery Act, are expected to result in a dramatic increase in the percentage of health care providers using health IT within five years. Computerizing health records-while protecting the privacy and security of personal health information- is expected to facilitate improvements in the quality of health care, prevention of unnecessary health care spending, and a reduction in medical errors.

Begin the doubling of funding for Cancer Research

The Budget includes over $6 billion within the National Institutes of Health (NIH) to support cancer research. This funding is central to the President's sustained, multi-year plan to double cancer research. These resources will be committed strategically to have the greatest impact on developing innovative diagnostics, treatments, and cures for cancer. This initiative will build upon the unprecedented $10 billion provided in the recovery Act, which will support new NIH research in 2009 and 2010.

Provides health Care Coverage to Low-income individuals

Medicaid is a means-tested health care entitlement program financed by States and the Federal Government. On average, the Federal Government pays 57 percent of Medicaid costs. The recovery Act protects health care coverage for millions of Americans during the recession by temporarily increasing Federal Medicaid funding to help States facing budget shortfalls maintain their current programs.

Enhances HIV/AIDS Prevention and Treatment

The Budget increases resources to detect, prevent, and treat HIV/AIDS domestically, especially in underserved populations.

Strengthens the health Professions Workforce

The Budget invests $330 million to address the shortage of health care providers in certain areas. The Budget expands loan repayment programs for physicians, nurses, and dentists who agree to practice in medically underserved areas. This funding will enhance the capacity of nursing schools to increase the number of nurses. It will also allow States to increase access to oral health care through dental workforce development grants. The Budget's new resources will sustain the expansion of the health care workforce funded in the recovery Act.

 

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