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Senate Pushes Deeper Medicaid Cuts as Advocates Warn of Dire Consequences

Advocates say tougher work requirements with reduced provider taxes threaten life-saving home services for people with disabilities

Members of Little Lobbyists, a family-led organization that advocates for children with complex medical needs and disabilities, visited Capitol Hill last week to urge senators to vote against cuts to Medicaid. (Robbie Jeanne)
U.S. President Donald Trump talks to reporters upon his arrival at Morristown Municipal Airport in Morristown, New Jersey, U.S., June 20, 2025. REUTERS/Ken Cedeno/File Photo
John Thune at the U.S. Capitol Building on June 3, 2025.

Overview

  • The Senate version deepens proposed cuts beyond those approved by the House by imposing stricter work requirements and more frequent eligibility reviews
  • It would cap Medicaid provider taxes and restrict state-directed payments, moves expected to strip billions in federal funding from states
  • More than 1,100 organizations have condemned the plan as life-threatening, warning that optional services like home and community-based care would face the first reductions
  • With no CBO score yet available, analysts predict multibillion-dollar state budget shortfalls that could shift costs onto other payers and drive up out-of-pocket expenses
  • Senate Republicans aim to pass the legislation by July 4 as part of President Trump’s broader domestic agenda despite mounting bipartisan opposition