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GOVERNMENT

Leavitt faces a significant task ahead as HHS chief

He lists overseeing the pending Medicare drug benefit and addressing FDA problems as goals.

By Joel B. Finkelstein, amednews staff. Feb. 7, 2005.

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Washington -- Saying that Michael Leavitt has a tough job ahead of him as the man who is taking over the U.S. Dept. of Health and Human Services might be something of an understatement.

The former Utah governor is considered an excellent manager by many. He is "a true consensus builder and negotiator," according to AMA President John C. Nelson, MD, MPH.

Leavitt also has gained invaluable experience serving since November 2003 as the Environmental Protection Agency's administrator. But HHS presents unique and daunting challenges, experts said.

For one thing, the agency is huge, with a budget of more than $583 billion, bigger than even the Defense Dept. The new secretary also will face a roiling debate over Medicaid, implementation of broad Medicare reforms and recent blows to the credibility of HHS' research and public health branches.

Leavitt was questioned on these issues and more late last month during two days of Senate committee confirmation hearings, at which he indicated that he was ready to take on big challenges. The full Senate voted to confirm Leavitt on Jan. 26.

"We are moving toward what I would characterize as a large-scale discussion on the health care system in this country. And I welcome the discussion. It needs to be rigorous. We cannot be timid. We need to be bold and transformational," he said.

His first job likely will be defending President Bush's budget proposal, due out later this month. The plan is expected to contain some difficult cuts to Medicaid, experts said.

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