Throughout the spring and summer we have devoted significant attention and energy to efforts to save and strengthen the Medicare program.

I would like to take this opportunity, however, to update you on another issue of great importance to the citizens of Iowa, the restructuring of Medicaid.

Medicaid is a joint federal-state matching entitlement program that pays for medical assistance for low-income people who are aged, blind, disabled, members of families with dependent children and certain other pregnant women and children.

This jointly funded program was designed to be administered by the states. But instead of allowing them to design innovative, cost-efficient mechanisms to best serve the unique nature of their citizens, the federal government has micro-managed the program with a maze of “one size fits all” regulations for every state.

Governors across the country have agreed the Medicaid program is failing the disadvantaged Americans it was intended to serve.

Furthermore, the extreme yearly rate of increase has made it very difficult for state budgets to provide the necessary match.

The House of Representatives has drafted a bill that will roll back federal mandates and and unproductive restrictions and give the state greater control over its own program.

According to the House Commerce Committee, the proposal will give Iowa $6.87 billion in Medicaid assistance by 2002.

Perhaps even more importantly, it will help correct previous inequities in the old funding formula.

In 1994, federal Medicaid spending per person in Iowa was $2,452, the 20th highest average in the nation.

Under the proposed funding formula that figure will rise to $3733 in 2002, the 15th highest average in the nation.

The Medicaid reform plan, or “MediGrant” program, also creates a safety net for the most vulnerable by mandating special setasides for the blind, disabled, pregnant women and seniors who cannot afford their monthly Medicaid Part B premiums.

Beyond these special requirements, the State of Iowa will have the flexibility it needs to design effective, innovative health programs tailor-made to meet the special needs of our low income citizens.

Many Iowans rely on Medicaid to provide them with basic health care services.

We must take this opportunity to increase Medicaid’s efficiency by letting each state tailor the program to its own unique needs.

As always, if you are having a problem with a federal agency or have questions regarding legislation, please don’t hesitate to contact one of my district offices in Shenandoah, Burlington, Ottumwa, Indianola or Ames. The toll-free Iowa number is 1-800- 432-1984.

Congressman Jim Ross Lightfoot represents the 3rd District of Iowa in the Congressional House of Representatives.