Increased Health Care Demands Tax Budget

AUSTIN, Texas (AP) _ Officials say Texas lawmakers will have to spend another $1 billion to pay for rising health care costs over the next two years.

Lt. Gov. David Dewhurst on Tuesday attributed the higher spending needs to the increased demands on Medicaid, the health care program for the poor.

As the economy has gone sour, he said more and more Texans are signing up for the state-federal entitlement program.

The news comes just as House and Senate negotiators are trying to resolve their differences on a state budget of about $180 billion.

“The budget is tight and it’s just gotten tighter,” Sen. Steve Ogden, R-Bryan, said.

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