The House GOP has proposed nearly $1 trillion in cuts to Medicaid and food stamps. If approved, these cuts could have a significant impact on millions of Americans who rely on these safety net programs. Medicaid currently covers over 71 million low-income and disabled Americans.
The proposed legislation would reduce federal support for Medicaid by nearly $700 billion over a decade. This could strip coverage from more than 10 million people, according to the Congressional Budget Office. The package would also institute work requirements for certain Medicaid recipients aged 19 to 64.
They would need to work at least 80 hours a month to keep their benefits. Many people who are already working or who qualify for exemptions could still lose coverage due to the bureaucracy of regularly reporting work hours or applying for exemptions. Hospitals and nursing homes could also take a financial hit.
The legislation would limit states’ ability to levy taxes on health care providers, which are often used to boost provider rates and fund health initiatives.
House GOP budget proposal impacts millions
This could prompt some providers to reduce services, raise rates, or even close down, especially in rural and low-income areas.
The proposed changes to food stamps, formally known as the Supplemental Nutrition Assistance Program (SNAP), would require more recipients to work to qualify for benefits. Currently, about 42 million Americans receive food stamps. Grocery store owners warn that cuts to SNAP could harm local economies and cost jobs.
The final outcome of these proposals remains uncertain as the debate continues in Congress. However, experts say the potential loss of coverage and benefits could create significant challenges for vulnerable populations and strain state resources and healthcare providers. While Democrats claim the bill would cause 13.7 million Americans to lose health insurance, a closer look at the Congressional Budget Office analysis suggests the realistic number is closer to 8.6 million.
The larger figure includes estimated coverage losses from another policy set to expire separately from this legislation. As lawmakers deliberate, the stakes are high for the millions of Americans who depend on Medicaid and food stamps as crucial lifelines. The proposed cuts, if enacted, would represent an unprecedented rollback of these long-standing safety net programs.