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HEHS-94-187R 1 (1994-06-15)

handle is hein.gao/gaobackoz0001 and id is 1 raw text is: Is1qjy- United States GAO General Accounting Office Washington, D.C. 20548 Health, Education and Human Services Division B-257501 June 15, 1994 The Honorable Tom Harkin Chairman The Honorable Arlen Specter Ranking Minority Member Subcommittee on Labor, Health and Human Services, Education and Related Agencies Committee on Appropriations United States Senate In November 1993, the President released his detailed legislative proposal for national health care reform. The proposed Health Security Act (HSA) is a comprehensive plan to provide universal health insurance for a broad range of services. The President's 1995 budget request to the Congress includes a $5.4 billion estimate of the federal expense to start up and administer the proposed new health care system over 6 years. Concerned about how the administrative costs of implementing the proposed new health care system would be funded, given the limit Congress placed on discretionary appropriations,I you asked that we determine what justifications the administration used to support the federal administrative cost estimates that appear in the President's 1995 budget. Specifically, you asked that we identify the federal administrative functions that were considered and determine the underlying assumptions used to derive the estimated costs. On April 29, 1994, we brieked your staffs on the results of our work. 'The Budget Enforcement Act of 1990 (BEA) contains procedures designed to enforce the deficit reduction agreement. The act divides the budget into two mutually exclusive categories: (1) discretionary programs and (2) direct spending. The act also provides pay-as-you-go procedures for legislation affecting direct spending or receipts. For 1991 through 1995, among other provisions, the act limits discretionary spending. The Omninus Budget Reconciliation Act of 1993 extended the discretionary spending limits through 1998. GAO/HEHS-94-187R Federal Administrative Costs Under HSA

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