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House Republicans Unveil Trump-Backed Plan to Cut Medicaid
House Republicans have announced a major proposal to cut $880 billion from Medicaid. The move is a key part of former President Donald Trump’s new economic plan, known as the “big, beautiful bill.” The cuts aim to help cover the cost of $4.5 trillion in tax breaks.
Biggest Healthcare Fight Since Obamacare Repeal Attempt
The proposal, released late Sunday, has started a huge political battle. It is the biggest healthcare debate since Republicans tried to repeal the Affordable Care Act (Obamacare) in 2017. While Republicans say the changes will reduce “waste, fraud and abuse,” Democrats warn that millions could lose their healthcare coverage.
CBO Says 8.6 Million Could Lose Coverage
A report from the nonpartisan Congressional Budget Office (CBO) estimates that 8.6 million Americans could lose their health coverage over the next 10 years if the bill becomes law.
Republicans Say Cuts Will Fund Middle-Class Tax Breaks
Rep. Brett Guthrie of Kentucky said the savings will allow Republicans to renew Trump-era tax cuts for middle-class families. He added that the bill keeps their promise to hardworking Americans.
Democrats Call the Plan "Shameful"
Democrats strongly oppose the bill. Rep. Frank Pallone of New Jersey said it would force hospitals to close, raise insurance costs, and leave seniors without needed care.
Internal GOP Divide Over Medicaid Cuts
Not all Republicans support the plan. Some GOP lawmakers have told House Speaker Mike Johnson they cannot back cuts that hurt programs their voters rely on. Even Trump has promised not to cut Medicaid in the past.
Sen. Josh Hawley of Missouri wrote in an opinion piece that the plan is “morally wrong and politically suicidal.”
Work and Eligibility Requirements for Medicaid
The bill includes new rules for Medicaid, which currently provides free or low-cost care to over 70 million Americans. The changes would:
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Require able-bodied adults without dependents to work, study, or volunteer 80 hours per month.
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Increase eligibility checks from once to twice a year.
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Set tougher income checks for Obamacare coverage.
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Deny Medicaid to people with homes valued over $1 million.
Out-of-Pocket Costs for Some Medicaid Users
Families making over 100% of the poverty level (around $32,000 for a family of four) would pay up to $35 for some services. This would not apply to emergency care, prenatal, pediatric, or primary doctor visits.
Immigrants and State Medicaid Programs Affected
The bill reduces federal funds by 10% for states that allow undocumented immigrants to access Medicaid. It also ends a 5% funding boost given to states during COVID-19 and closes a loophole used by some states to increase Medicaid funding through provider taxes.
Energy and Climate Rollbacks Also Included
While healthcare is the focus, the bill also includes cuts to green energy programs from President Biden’s Inflation Reduction Act. It proposes ending energy loans and fast-tracking permits for oil and gas projects.
