The federal government since last year has been paying 6.2% more of its share of Medicaid as a means to help individual states stave off the effects of a sluggish economy. Under the bill, the enhanced payments would phase down over two quarters in 2011, first to 3.2% and finally to 1.2% through June.
The $26.1 billion bill also includes a provision that makes certain inhalation, infusion and injectable drugs not dispensed through retail community pharmacies subject to the average manufacturer's price scale.
The Medicaid portion of the bill costs roughly $16.1 billion.
The Senate passed the same version of the bill last week, forcing the House to interrupt a scheduled five-week break and return to Washington for the vote.