V. REGULATORY IMPACT OF THE SPENDING REDUCTION PROVISIONS

SECTIONS A-C-HEALTH PROVISIONS

In compliance with paragraph 11 (b) of rule XXVI of the Standing Rules of the Senate, the committee states that the provisions of the bill related to Medicare, Medicaid, and Utilization and Quality Control Peer Review will not impact on the personal privacy of individuals.

In implementing certain cost saving provisions of the bill there will be some increase in Federal regulatory activity. It is not anticipated, however, that the legislation would impose an unusual or burdensome regulatory effect. Several provisions will, in fact, decrease regulatory activity and associated paperwork.

Four provisions related to Medicare (sections 107, 115, 116, and 118) and two related to Medicaid (sections 132 and 135) are expected to decrease regulatory activity and associated paperwork. Ten medicare provisions, two Medicaid provisions, and the utilization and quality control provision will impose a minimal regulatory effect. Five medicare provisions (sections 102, 108, 110, 114, and 120) and one Medicaid provision (section 133) will require the promulgation of new regulations in order to implement these significant changes in program policy. The paperwork associated with these six provisions will be significant but is not expected to be burdensome.

SECTIONS D-G-INCOME SECURITY

D. Aid to Families With Dependent Children

Setcions 151-154, 158 and 161-162 are expected to have, at most, a minimal impact on regulatory burden and paperwork for States. Sections 154-156, 159 and 160 will place an increased regulatory, financial, and paperwork burden on States complying with these provisions. It is not anticipated, however, that these provisions would impose an unusual or burdensome regulatory impact. Sections 155, 156, 158, and 160 would impose greater reporting requirements on recipients seeking to comply with federal law and regulation. A number of the provisions would have economic impacts on certain recipients in the form of lower benefit amounts (sections 150, 151, 156-158) or benefits that would not be paid because eligibility requirements would no longer be met (sections 153-156, 160).

E. Child Support Enforcement

Section 171 of the title E would decrease the Federal regulatory burden and resulting paperwork for State agencies by repealing a provision in current law which States have reported difficult to implement because of legislative barriers and administrative difficulties.

Section 172 would increase Federal regulatory activity and paperwork, but only minimally. Section 173 would decrease the regulatory and financial burden on States.

F. Supplemental Security Income

Sections 181, 182, 184 and 185 of title F are expected to have, at most, only a minimal impact on Federal regulatory activity. Section 183 should reduce the Federal regulatory, financial, and paperwork burden by correcting a flaw in current law and ensuring that SSI accounting procedures operate more efficiently. Sections 181 and 182 would have a relatively minor economic impact on recipients resulting in slightly lower future benefit amounts.

G. Unemployment Compensation

Section 191 of title G is not expected to place any significant Federal regulatory burden on the States. It may result in slightly lower benefit amounts if States choose to incorporate this provision into their laws.

VI. CHANGES IN EXISTING LAW

In the opinion of the committee, it is necessary in order to expedite the business of the Senate, to dispense with the requirements of paragraph 12 of Rule XXVI of the Standing Rules of the Senate (relating to the showing of changes in existing law made by the spending reduction provisions in H.R. 4961, as reported by the committee).

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