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Congress Cuts Federal Subsidies for Impotence Drugs

In an effort to provide medical assistance and unemployment benefits to residents of the Gulf Coast region devastated by Hurricane Katrina, Congress on Wednesday sent legislation to the president that would end Medicare and Medicaid payments for erectile dysfunction drugs such as Viagra. This cut alone could save the federal government about $2 billion over the next five years, according to United Press International. States will still be allowed to subsidize impotence drugs considered medically necessary under Medicaid, but they will no longer receive matching federal funds, according to the Associated Press.

Sources:

UPI 10/19/05; Associated Press 10/20/05

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