
House GOP Plan Could Leave Millions Without Coverage, Say Healthcare Leaders
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The House GOP spending plan has been criticized by healthcare leaders for threatening to leave millions without coverage. The House Energy and Commerce Committee’s proposal includes work requirements for some adults and caps on taxes that states impose on medical providers, potentially prompting states to raise their own taxes or cover fewer people. The Congressional Budget Office estimates that the plan would result in 8.6 million Americans losing coverage and an additional 5 million losing coverage with the expiration of expanded tax credits that support the Affordable Care Act.
The House GOP’s Proposed Spending Plan and Its Impact on Medicaid
Despite avoiding severe Medicaid cuts, the House GOP’s spending plan could leave millions uninsured, warn hospitals and healthcare leaders. Bruce Siegel, MD, president and CEO of America’s Essential Hospitals, anticipates that the proposal could even lead to hospital closures.
The House Energy and Commerce Committee’s plan includes imposing work requirements on some adults and capping the tax that states impose on medical providers. The impact might necessitate states raising their own taxes or reducing the number of people they cover. Though conservative Republicans had hoped for more substantial Medicaid cuts, the existing plan would still result in many losing their coverage. Healthcare leaders suggest this could increase financial pressures on hospitals, possibly leading to closures.
According to the Congressional Budget Office, the House GOP’s plans would lead to 8.6 million Americans losing coverage, and a total of 13.7 million more being without health coverage by 2034. The plan would cut $715 billion by 2034.
Healthcare Sector Reacts to the House GOP’s Proposal
Leaders in the healthcare sector, including the American Hospital Association and Catholic hospitals, have strongly criticized the proposed cuts. They argue that these changes will result in millions of Americans losing access to healthcare and cause financial strain for hospitals. Some predict that hospitals may end up reducing services or closing.
Hospitals have been urging Congress to maintain funding for Medicaid, with Fitch Ratings warning that big cuts to Medicaid could thwart the recovery of nonprofit hospitals.
Essential Elements of the House GOP’s Plan
Despite President Trump’s claims that he won’t cut Medicaid funding, the House GOP plan imposes significant changes. It includes work requirements for certain individuals, caps on provider taxes, and cost-sharing requirements for recipients with incomes over 100% of the federal poverty level. The proposal also cracks down on Medicaid funding for undocumented individuals and prohibits the use of Medicaid funds for gender transition procedures for those under 18.
Lawmakers Divided on the Proposed Plan
Chairman of the House Energy and Commerce Committee, U.S. Rep. Brett Guthrie, R-Kentucky, claims the plan preserves funding for the most vulnerable. On the other hand, U.S. Rep. Frank Pallone, D-N.J., the ranking Democrat on the committee, views the proposal as an unnecessary gutting of the system. He asserts that the cuts would overwhelmingly take healthcare away from millions of Americans.
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