Becker's Healthcare February 27, 2025
Jakob Emerson

Looming federal Medicaid cuts could shift a massive financial burden to state governments, potentially requiring them to make up between $700 billion and $1.1 trillion in funding over the next decade, according to a new analysis from the Urban Institute and the Robert Wood Johnson Foundation.

On Feb. 25, House Republicans passed a budget resolution that orders the Energy and Commerce Committee, which oversees Medicare and Medicaid, to find $880 billion in savings from fiscal years 2025 through 2034. The budget resolution does not specify how the committee must cut costs by $880 billion, but Medicare and Medicaid are by far the largest programs under its oversight.

The analysis assumes that per capita caps, which would limit the amount of...

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