But Medicaid spending has begun to surge again in recent months.

- By far and away, the largest driver of Medicaid spending is long term care.

She said Medicaid spending on drugs soared from $6 million in 1984 to $15 million last year.

In fact, his budget this year called for increases in Medicaid spending.

Even with these changes, he said, Medicaid spending will probably grow more than 7 percent a year.

And federal officials say the increase in Medicaid spending on such services offers a host of opportunities for corruption.

In poor states the federal share of Medicaid spending is nearly 80 percent.

The negotiators were also close to capping the growth of Medicaid spending.

There is also his perennial request for relief on Medicaid spending.

Health care experts are warning that a turn away from Medicaid spending could have a devastating impact on the medical infrastructure.