Townhall has the scoop:
Capitol Report has learned about a provision tucked away in the Senate Budget Reconciliation Bill that would direct Medicaid money intended for Katrina affected states (Mississippi, Alabama, Louisiana) to Alaska.
The Budget Reconciliation package (PDF) contains $71.4 billion in new savings but it also spends $32.4 billion. Portions of that new spending were intended to be Katrina relief funds, but it seems Alaskan interests have once again succeeded in redirecting funds (PDF) to the state which has become famous for its "Bridge to Nowhere."
...the provision will provide an additional $130 million in federal Medicaid funding for Alaska...