Health Funding Negotiated

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(STATEHOUSE) - Indiana House and Senate negotiators spent their second day of budget hearings reviewing health funding.

House Democrats for now are holding to their plan to flatline Medicaid spending, arguing the program returns money to the treasury now and should use that to cover increases.

House Republicans retort the 40-million dollars the program expects to have in reserve this year is a tenth of a percent of its budget. And State Budget Director Chuck Schalliol says even the five-percent increase the administration asked for and got from the Senate is expected to fall 37-million dollars short--the plan is to make up for it out of reserves.

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