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On the Hill: Medicaid in the Spotlight amid Budget Negotiations

February 19, 2025
Julia Grady

As budget discussions intensify on Capitol Hill, House Republicans last week outlined plans to cut federal spending by approximately $2 trillion. Medicaid is emerging as a likely target for reductions, as the House Committee on Energy and Commerce has been directed to find $880 billion in spending cuts. America’s Essential Hospitals is actively advocating against any cuts to Medicaid and Medicare, emphasizing the significant harm such reduction would inflict on the vulnerable communities served by our members.  

Key Hearings 

The House Committee on Ways and Means on Feb. 11 held a hearing focused on modernizing health care and improving preventative care incentives. Health Subcommittee Republicans focused on reducing government intervention in health care, emphasizing the role of private sector innovation, preventative care, and health savings accounts. They also raised concerns over the rising burden of chronic conditions. Health Subcommittee Democrats focused on protecting and expanding government health care programs, including the Affordable Care Act, Medicaid, and the Inflation Reduction Act. They strongly opposed cuts to the National Institutes of Health and Medicaid, arguing that these would reduce access to health care, harm low-income populations, and stifle medical research.  

Meanwhile, the Senate continues its confirmation process for President Trump’s cabinet nominees, with Robert Kennedy, Jr. now officially serving as Secretary of Health and Human Services.  

Committee Activity This Week 

The Senate is in session Tuesday through Friday this week following Monday’s federal holiday in observance of Presidents’ Day. 

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