Bush vetoes SCHIP

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As expected, President Bush Wednesday vetoed legislation to expand the federally supported State Children's Health Insurance Program.

Both the House and Senate had approved the bill, which would have increased funding for the program by $35 billion. The legislation sought a 61-cent rise in the cigarette tax to raise funds for the measure. Nursing homes had fought against an earlier House version that would have funded the SCHIP increase through Medicare cuts.

The president has said all along that the congressional version of the legislation was too broad and that he would consider a modest $5 billion increase in funding for the program. While the Senate mustered a two-thirds majority to override the president's veto, the House had not, as of press time.