In Late-Night Move, GOP Quietly Slashes Medicaid for Millions to Fund Tax Breaks for the Rich

Staff Writer
House Speaker Mike Johnson listens to a colleague inside the House Chamber on Capitol Hill. (File photo)

Late Sunday night, House Republicans quietly introduced a bill that would slash Medicaid, cutting healthcare coverage for millions of low-income Americans — including children and people with disabilities. The move would free up billions of dollars to fund tax breaks for the wealthy, sparking outrage from critics who argue the bill sacrifices the health and well-being of vulnerable populations to benefit the rich.

Released by the House Energy and Commerce Committee, this legislation is part of a broader budget plan that Republicans aim to pass by Memorial Day. If enacted, the bill would impose harsh new rules on Medicaid, the health program that serves low-income families, children, seniors, and people with disabilities.

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Key provisions of the bill include work requirements for certain Medicaid recipients and new payment mandates for adults earning just above the federal poverty line. For a single person in 2025, the poverty line is set at $15,650. These changes would likely result in millions losing their Medicaid coverage.

A preliminary analysis by the Congressional Budget Office (CBO) estimates that the bill would cut Medicaid spending by at least $715 billion over the next decade and leave at least 8.6 million people without health insurance.

“Many of the Medicaid proposals from House Republicans are technical and wonky, and will be difficult for the public to absorb,” said Larry Levitt, executive vice president for health policy at KFF. “What won’t be difficult to absorb: CBO’s estimate that the changes will increase the number of people without health insurance by at least 8.6 million.”

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Rep. Frank Pallone Jr. (D-N.J.), the ranking Democrat on the Energy and Commerce Committee, condemned the bill, calling it a direct attack on Americans who rely on Medicaid for their healthcare.

“This bill confirms what we’ve been saying all along: Trump and Republicans have been lying when they claim they aren’t going to cut Medicaid and take away people’s healthcare,” Pallone said. “Let’s be clear, Republican leadership released this bill under cover of night because they don’t want people to know their true intentions.”

The bill also introduces a new work requirement: at least 80 hours of work, community service, or related activities per month for many adults. Most people enrolled in Medicaid already work, and similar requirements at the state level have previously led to widespread loss of coverage due to bureaucratic red tape.

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The proposal also shifts more costs onto Medicaid recipients, requiring some to pay higher premiums and fees. For example, someone earning $20,000 a year could face an additional $1,000 in fees.

Bobby Kogan, senior director of federal budget policy at the Center for American Progress, was sharply critical of the bill. “If you make $20,000, a state might slap $1,000 of fees onto your Medicaid,” he said. “True sicko shit.”

“My heart aches for the people whose lives will be ruined if this becomes law,” Kogan added. “So it’s our job to stop it.”

The changes are part of a broader effort by Republicans to reshape Medicaid and use the savings to fund tax breaks that primarily benefit the wealthy. As Pallone put it, “Taking healthcare away from children and moms, seniors in nursing homes, and people with disabilities to give tax breaks to people who don’t need them is shameful.”

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The bill’s release under the cover of night has raised concerns about transparency. The GOP’s tactics have been described as an attempt to hide their true intentions from the public, hoping the sweeping cuts to healthcare won’t face the scrutiny they deserve.

“If this bill passes, millions of Americans will lose their healthcare coverage, hospitals will close, seniors will not be able to access the care they need, and premiums will rise for millions of people,” Pallone warned. “Democrats have defeated Republican efforts to cut healthcare before, and we can do it again.”

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