House Republicans are weighing a menu of $5.7 trillion in potential federal spending cuts, with more than $3 trillion targeting healthcare. The 50-page outline, obtained by LFI, is one of several drafts circulating among GOP lawmakers as they prepare President Trump’s second-term agenda.
At the center of the plan: Medicaid reductions totaling $1.7 trillion over the next decade. Proposals include eliminating ACA enhanced subsidies, reviving Medicaid work requirements, and limiting states’ use of provider taxes.
“Medicaid has a gigantic bulls-eye on it,” said Spencer Perlman, director of healthcare research at Veda Partners. “The administration wants to reduce federal exposure or cut items altogether, but I don’t think the votes exist to dramatically change Medicaid.”
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