'President Bush’s 2009 budget will virtually freeze most domestic programs and seek nearly $200 billion in savings from federal health care programs, a senior administration official said Thursday.
The Bush budget also will likely exceed $3 trillion, this official said.
Bush will propose nearly $178 billion in savings from Medicare — a number that’s nearly triple what he proposed last year. Much of the savings would come from freezing reimbursement rates for most health care providers for three years. An additional $17 billion would come from the Medicaid program, the state-federal partnership that provides health coverage to the poor. The cuts would come over five years.'